The Conventional view of supply and market price of mineral resources says that when supply is more and demands are less, then the mineral resource price increases. When the resource has less availability then the price increases. It's according to the demand and supply method of economics.
Pros and cons of the US General Mining Law of 1872: this law was designed to encourage mining of minerals such gold, silver, copper and uranium on public lands. Pros of the laws are:
1 Any person could file a mining claim of a land on all public land, the claimant have bear the cost of mining and pay government some fixed amount out of it.
2 Federal government would earn huge sums from it.
3 After mining, the land could be leased for commercial purposes or to build hotels, lounges, golf courses etc.
4 Private companies earn mining revenues as well as the land.
The cons associated with the law are:
1. Mining companies have left behind a toxic mess on the land, after declaring themselves bankrupt and didn't clean up the mess created.
2. Environmental controls were not strict enough to protect environment to get polluted.
If the US relies on its domestic uranium resources, assuming a 100% recovery rate, the resources will last forever because they can be recovered again and again and reused. World resources are much more in amounts than resources in US alone, but the usage may vary according to the needs of industries in US, it consume more amounts than other countries to prepare goods and fulfill the demands of other countries for the products. It helps in booming its economics and market sector.
Key concept : this section talks about the nonrenewable resources and the time limit they have as their life span. They cannot be regenerated again by man and needs to be used carefully.
Five nations which supply most of the nonrenewable minerals are the United States, Canada, Russia, South Africa, and Australia.
US dependency on others for nonrenewable mineral resources: The U.S. imports metals resources from other countries, the resources are the manganese, cobalt, chromium, and platinum as they are essential for The US military and economic strength but itself the US does not have reserve of these resources and thus depends on imports from other countries.
Importance of earth minerals for china, Japan, and the US: the earth minerals are used in the military, electronics, rocket engines etc. one of the important mineral is tungsten. US geological survey says that the China has 57 % of tungsten used in world, Canada has 12% and the US has only 4%. Thus US has to import the tungsten for its usage.