Natural Resource Abundance, Growth and Diversification in MENA : The Effects of Natural Resources and the Role of Policies
The Middle East and North Africa (MENA) region is one of the richest in the world in terms of natural resources. It holds more than 60 percent of the world's proven oil reserves, mostly located in the Gulf region, and nearly half of global gas...
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| Format: | Brief |
| Language: | English en_US |
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World Bank, Washington, DC
2014
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| Online Access: | http://documents.worldbank.org/curated/en/2012/10/16988573/natural-resource-abundance-growth-diversification-mena-effects-natural-resources-role-policies http://hdl.handle.net/10986/20576 |
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okr-10986-205762021-04-23T14:03:56Z Natural Resource Abundance, Growth and Diversification in MENA : The Effects of Natural Resources and the Role of Policies Diop, Ndiame Marotta, Daniela de Melo, Jaime CLOSED ECONOMIES COMPETITIVENESS DIVERSIFICATION ECONOMIC ACTIVITIES ECONOMIC EFFICIENCY ECONOMIC LITERATURE ECONOMIC OPPORTUNITIES ECONOMIC PERFORMANCE ECONOMIC POLICY EXCHANGE RATE EXCHANGE RATES EXPORT DIVERSIFICATION EXPORTS FISCAL POLICIES FISCAL POLICY FLEXIBLE EXCHANGE RATES GDP GROSS DOMESTIC PRODUCT GROWTH PROSPECTS GROWTH RATES HUMAN CAPITAL INCOME INCOME GROUP INCOMES INCOMES INCREASE INDUSTRIAL POLICY INFRASTRUCTURE INVESTMENTS INPUT PRICES INSTITUTIONAL ENVIRONMENT INTERMEDIATE INPUTS JOB CREATION LABOR FORCE LIBERALIZATION LONG RUN MACROECONOMIC POLICIES MACROECONOMIC STABILITY MARKET FAILURES MARKET REGULATIONS MARKET SHARES NATURAL RESOURCE NATURAL RESOURCES NEGATIVE EFFECT NEGATIVE IMPACT OIL OIL EXPORTERS OVERVALUATION PER CAPITA INCOMES POLICY IMPLICATIONS POLICY MAKERS POLICY REFORMS POOR COUNTRIES PRODUCTIVITY PROVEN OIL RESERVES PUBLIC EXPENDITURE PUBLIC GOODS PUBLIC INVESTMENT PUBLIC SECTOR REAL EXCHANGE RATE REAL EXCHANGE RATES REGIONAL INTEGRATION REGIONAL TRADE REGULATORY RESTRICTIONS RICH COUNTRIES TRADE DIVERSION TRADE LIBERALIZATION TRADE POLICIES TRANSPARENCY UNDERVALUATION VOLATILITY WAGES WEALTH WEALTH DISTRIBUTION WELFARE GAINS WORLD ECONOMY The Middle East and North Africa (MENA) region is one of the richest in the world in terms of natural resources. It holds more than 60 percent of the world's proven oil reserves, mostly located in the Gulf region, and nearly half of global gas reserves. Not surprisingly, oil represents close to 85 percent of the merchandise exports of the region, making it highly susceptible to fluctuations in international prices. A long strand of economic literature suggests that such dependence may hurt a country's growth prospects and job creation by reducing the scope for economic diversification. A forthcoming WB publication investigates how MENA can overcome this challenge and encourage greater economic diversification. The study examines the pattern of structural transformation in MENA and explores the role of natural resources and macroeconomic policies in driving the current (limited) diversification outcomes. The authors explore analytical questions, such as: (i) the impact of the real exchange rate on manufacturing and tradable services competitiveness in MENA; (ii) the role of fiscal policy in supporting diversification; (iii) how 'weak links' (input sectors with low productivity) play a critical role in explaining the concentration of economic activities, in addition to the classical Dutch disease effect; and (iv) the impact of macroeconomic factors on the drive for regional integration. The main findings are summarized in this quick note. The study highlights that the negative effect of rents is compounded by the negative impact of policy and regulatory restrictions on entry, and of business conduct on the development of services sectors. 2014-11-19T20:51:47Z 2014-11-19T20:51:47Z 2012-10 http://documents.worldbank.org/curated/en/2012/10/16988573/natural-resource-abundance-growth-diversification-mena-effects-natural-resources-role-policies http://hdl.handle.net/10986/20576 English en_US MENA knowledge and learning quick notes series;no. 75 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank, Washington, DC Publications & Research :: Brief Publications & Research Middle East and North Africa North Africa Middle East |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English en_US |
| topic |
CLOSED ECONOMIES COMPETITIVENESS DIVERSIFICATION ECONOMIC ACTIVITIES ECONOMIC EFFICIENCY ECONOMIC LITERATURE ECONOMIC OPPORTUNITIES ECONOMIC PERFORMANCE ECONOMIC POLICY EXCHANGE RATE EXCHANGE RATES EXPORT DIVERSIFICATION EXPORTS FISCAL POLICIES FISCAL POLICY FLEXIBLE EXCHANGE RATES GDP GROSS DOMESTIC PRODUCT GROWTH PROSPECTS GROWTH RATES HUMAN CAPITAL INCOME INCOME GROUP INCOMES INCOMES INCREASE INDUSTRIAL POLICY INFRASTRUCTURE INVESTMENTS INPUT PRICES INSTITUTIONAL ENVIRONMENT INTERMEDIATE INPUTS JOB CREATION LABOR FORCE LIBERALIZATION LONG RUN MACROECONOMIC POLICIES MACROECONOMIC STABILITY MARKET FAILURES MARKET REGULATIONS MARKET SHARES NATURAL RESOURCE NATURAL RESOURCES NEGATIVE EFFECT NEGATIVE IMPACT OIL OIL EXPORTERS OVERVALUATION PER CAPITA INCOMES POLICY IMPLICATIONS POLICY MAKERS POLICY REFORMS POOR COUNTRIES PRODUCTIVITY PROVEN OIL RESERVES PUBLIC EXPENDITURE PUBLIC GOODS PUBLIC INVESTMENT PUBLIC SECTOR REAL EXCHANGE RATE REAL EXCHANGE RATES REGIONAL INTEGRATION REGIONAL TRADE REGULATORY RESTRICTIONS RICH COUNTRIES TRADE DIVERSION TRADE LIBERALIZATION TRADE POLICIES TRANSPARENCY UNDERVALUATION VOLATILITY WAGES WEALTH WEALTH DISTRIBUTION WELFARE GAINS WORLD ECONOMY |
| spellingShingle |
CLOSED ECONOMIES COMPETITIVENESS DIVERSIFICATION ECONOMIC ACTIVITIES ECONOMIC EFFICIENCY ECONOMIC LITERATURE ECONOMIC OPPORTUNITIES ECONOMIC PERFORMANCE ECONOMIC POLICY EXCHANGE RATE EXCHANGE RATES EXPORT DIVERSIFICATION EXPORTS FISCAL POLICIES FISCAL POLICY FLEXIBLE EXCHANGE RATES GDP GROSS DOMESTIC PRODUCT GROWTH PROSPECTS GROWTH RATES HUMAN CAPITAL INCOME INCOME GROUP INCOMES INCOMES INCREASE INDUSTRIAL POLICY INFRASTRUCTURE INVESTMENTS INPUT PRICES INSTITUTIONAL ENVIRONMENT INTERMEDIATE INPUTS JOB CREATION LABOR FORCE LIBERALIZATION LONG RUN MACROECONOMIC POLICIES MACROECONOMIC STABILITY MARKET FAILURES MARKET REGULATIONS MARKET SHARES NATURAL RESOURCE NATURAL RESOURCES NEGATIVE EFFECT NEGATIVE IMPACT OIL OIL EXPORTERS OVERVALUATION PER CAPITA INCOMES POLICY IMPLICATIONS POLICY MAKERS POLICY REFORMS POOR COUNTRIES PRODUCTIVITY PROVEN OIL RESERVES PUBLIC EXPENDITURE PUBLIC GOODS PUBLIC INVESTMENT PUBLIC SECTOR REAL EXCHANGE RATE REAL EXCHANGE RATES REGIONAL INTEGRATION REGIONAL TRADE REGULATORY RESTRICTIONS RICH COUNTRIES TRADE DIVERSION TRADE LIBERALIZATION TRADE POLICIES TRANSPARENCY UNDERVALUATION VOLATILITY WAGES WEALTH WEALTH DISTRIBUTION WELFARE GAINS WORLD ECONOMY Diop, Ndiame Marotta, Daniela de Melo, Jaime Natural Resource Abundance, Growth and Diversification in MENA : The Effects of Natural Resources and the Role of Policies |
| geographic_facet |
Middle East and North Africa North Africa Middle East |
| relation |
MENA knowledge and learning quick notes
series;no. 75 |
| description |
The Middle East and North Africa (MENA)
region is one of the richest in the world in terms of
natural resources. It holds more than 60 percent of the
world's proven oil reserves, mostly located in the Gulf
region, and nearly half of global gas reserves. Not
surprisingly, oil represents close to 85 percent of the
merchandise exports of the region, making it highly
susceptible to fluctuations in international prices. A long
strand of economic literature suggests that such dependence
may hurt a country's growth prospects and job creation
by reducing the scope for economic diversification. A
forthcoming WB publication investigates how MENA can
overcome this challenge and encourage greater economic
diversification. The study examines the pattern of
structural transformation in MENA and explores the role of
natural resources and macroeconomic policies in driving the
current (limited) diversification outcomes. The authors
explore analytical questions, such as: (i) the impact of the
real exchange rate on manufacturing and tradable services
competitiveness in MENA; (ii) the role of fiscal policy in
supporting diversification; (iii) how 'weak links'
(input sectors with low productivity) play a critical role
in explaining the concentration of economic activities, in
addition to the classical Dutch disease effect; and (iv) the
impact of macroeconomic factors on the drive for regional
integration. The main findings are summarized in this quick
note. The study highlights that the negative effect of rents
is compounded by the negative impact of policy and
regulatory restrictions on entry, and of business conduct on
the development of services sectors. |
| format |
Publications & Research :: Brief |
| author |
Diop, Ndiame Marotta, Daniela de Melo, Jaime |
| author_facet |
Diop, Ndiame Marotta, Daniela de Melo, Jaime |
| author_sort |
Diop, Ndiame |
| title |
Natural Resource Abundance, Growth and Diversification in MENA : The Effects of Natural Resources and the Role of Policies |
| title_short |
Natural Resource Abundance, Growth and Diversification in MENA : The Effects of Natural Resources and the Role of Policies |
| title_full |
Natural Resource Abundance, Growth and Diversification in MENA : The Effects of Natural Resources and the Role of Policies |
| title_fullStr |
Natural Resource Abundance, Growth and Diversification in MENA : The Effects of Natural Resources and the Role of Policies |
| title_full_unstemmed |
Natural Resource Abundance, Growth and Diversification in MENA : The Effects of Natural Resources and the Role of Policies |
| title_sort |
natural resource abundance, growth and diversification in mena : the effects of natural resources and the role of policies |
| publisher |
World Bank, Washington, DC |
| publishDate |
2014 |
| url |
http://documents.worldbank.org/curated/en/2012/10/16988573/natural-resource-abundance-growth-diversification-mena-effects-natural-resources-role-policies http://hdl.handle.net/10986/20576 |
| _version_ |
1764445715540475904 |