Antofagasta and Chile in the 21st century

Chile has been remarkably successful in turning its natural resource endowments into a generator of growth and modernisation. However, specific challenges remain for its mining regions, which often bear the costs associated with resource extraction while reaping only a portion of the benefits. Antofagasta, built around copper mining, is Chile’s sixth most populous city and contributes 4.7% of the country’s total GDP. Despite its ability to generate high growth rates and achieve one of the country’s highest standards of living, the quality of life it offers does not appear commensurate with its economic strength, due in part to challenges associated with its nature as a fast-growing urban area economically dependent on natural resources. This chapter examines economic and socio-economic trends in Antofagasta focusing on economic growth, the labour market and skills, and the quality of life offered, particularly in terms of life satisfaction.