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The boom and eventual bust of resource-dependent regions has played out across the world many times over the last 50 years.

As extractive industries decline demands are made for subsidies to protect the industry while policy-makers search for new industries to replace lost jobs and maintain economic development.

This report examines the current status of the coal transition in Shanxi and proposes recommendations for how reform can be managed to ensure that economic, social and environmental factors are built into the process. These recommendations draw on international experience, in particular, the experience summarized in case studies from South Wales in the United Kingdom, Appalachian Kentucky in the United States and Asturias in Spain.