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    Three essays in resource economics and availability

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    Author
    Jordan, Brett Watson
    Advisor
    Eggert, Roderick G.
    Date issued
    2017
    Keywords
    joint production
    social license to operate
    mineral resource
    by-product
    
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    URI
    https://hdl.handle.net/11124/170986
    Abstract
    This dissertation investigates geologic, economic, social, and environmental barriers to the extraction of mineral resources. Minerals are critical inputs to society’s modern way of life, but their short and long run supply often faces key constraints. Jointly considered, these barriers define the availability of minerals for society’s use. This study adds to the existing literature on mineral resource availability through quantitative evaluation of three issues - geologic abundance as a supply metric, metal joint production, and social license to operate. The issues of geologic abundance and joint production are examined for a hypothetical new end-use for a specific material using estimated industry cost curves and long run availability cures. Joint production is found to be the key driver of low cost supply, not the material’s abundance. The joint production relationship between minerals is then further examined using a flexible form dual revenue approach applied to a different set of materials. The results highlight the flexibility in a mine’s ability to spatially target production from its resource in response to changing prices. Finally, social and political barriers are examined by econometrically estimating the relationship between increased environmental attitudes and mine closures in the United States. This analysis reveals a causal effect of increasing local preferences for environmental quality on nearby mine closures. Enactment of state-level policy is identified as a potential mechanism for earlier-than-expected closure.
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