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The Impact of Mineral Resource Development on the Mongolian Economy
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ABSTRACT The Impact of Mineral Resource Development on the Mongolian Economy by TSEREN-OCHIR ERDENEZAYA Graduate School, Changwon National University Changwon, Gyeongnam, Korea Mongolia is a country where subsist is based on agriculture from the past, especially stock farming. In 1921, even after being the second socialist country in the world, soon after Russia, Mongolia strengthened, centering around an economic industrial infrastructure. Even though underground resources were abundant in Mongolia, a mineral industry could not be flourished because of a lack of excavation technology. As time passed, however, Mongolia accepted the free market economy, and Mongolia's economy growth started to be visualized in 2000. Mongolia's economic growth is related to a large amount of mineral resources in its domestic sources. Mongolia is the eighth richest country in mineral resources. There, around eighty mineral resources including coals, coppers, gold, iron, bronze, silver, molybdenum, uranium, and zinc are in abundance. Mongolia's capacity of coal is 1.733 billion tons; bronze, 55,000 tons; and uranium, 63,000 tons. As international prices are increased, the world is focused on the natural resources of Mongolia. This can be a primary opportunity factor for Mongolia. Thus, that is the opportunity that can develop the industries and the economics through development of mineral resources. In 2010, the mining industry of Mongolia was occupied 28.2% of total GDP, 85.6% of the total amount of export, and 69.8% of industrial production. These show how much the mining industries can have an influence on Mongolia's economy. The mining industries are getting very significant, with a large world markup tendency.