past and present economic growth and development in the middle east and north africa region

8/6/2019 Past and Present Economic Growth and Development in the Middle East and North Africa Region

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Past and Present Economic Growth

and Development in the Middle East

and North Africa Region:

ImplicationsonForeignPolicyfortheUnitedStates

VineetKhanna,UniversityofMaryland

DefenseandDiplomacyCenter,Spring2011



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Over the past 30 years, the Middle East and North Arica (MENA) region has seemed to lag behind other developing markets

even with strong inrastructure development and an improved socioeconomic environment relative to historical data. With a population o 381 million1 and a developing economy, this region has much potential and could be quite promising to the likes o private

investors, whether it be wealthy individuals or asset management rms, or multinational corporations. Additionally, this makes the

region an important thing to consider or overall US oreign policy. But beore these investors and companies will eel condentenough to invest in the region, as they have in Latin America and developing Asia, they will need to eel that the prospective returnon the risks that they are taking is enough to enter this market. The barriers that this region must overcome to allow or impactulinnovation and growth may seem insurmountable but through political and economic reorm, they are possible. And so, the United

States oreign policy towards the region should be adapted to take into account these issues and actors. A policy that works tostabilize and grow this region will do more or the United States and the MENA region than the current policy.

The current political unrest in the region doesn’t bring investors to the area, but progress to democratically elected governments

that look out or their citizens’ interests and work on transparency and governance or local corporations as well as multinationacorporations may attract more FDI. Statistics such as the Doing Business Index, Global Competitiveness Index, Real GDP growth andunemployment show that the region has made progress in the past ew years but certain actors have been hampering this growth

These actors include, but aren’t limited to, lack o competitiveness in the global market, unattractive environments or startingbusinesses and stagnant growth due to dependency on the government. This is especially true since the same issues haven’t stalled

other emerging markets as it has the MENA region. The governments o the region will require a laser-like ocus on political andeconomic reorm, and this push must be constant to attract investors and corporations.

There are a ew initiatives that could stimulate private investment and development to the region. First and oremost, companiesand investors should ask or governance and transparency or their investments and development projects, because they need to

assure that they are capable o investing in the area without having to worry about political and social risks. Another key actor whichremains necessary or any developing economy is the development o capital markets. Developed capital markets will oster innova

tion and growth through the ecient access and utilization o unds. Lastly, the region needs to diversiy out o the public sector andinto more industries. This will compliment the above-mentioned initiatives in ueling innovation and growth. And all o this would lead

to a more competitive MENA region.

Led by the rise in oil demand during and aer World War II, the MENA region started to become a global player. The “Intervention

ist-Redistributive” Model came to prominence around this time.2 This was because new nations were created by the colonial poweraer World War II, and the new governments’ wealth rom oil allowed or them to provide or their citizens, and to an extent the

governments had to as the region was in relatively poor socioeconomic shape. This model provided education, housing, health careand ood subsidies utilizing state planning, nationalization o businesses, and government programs.3 Even though oil revenues werea key resource or this type o economic model, both oil exporting and non-oil exporting states were able to benet rom this, with

the non-oil exporting states exporting their labor to oil exporting states. Countries that exported oil also assisted these other stateswith loans, grants and similar aid.4 This economic model can be tied to a rise in both pan-Arabism and nationalism. All o this led to

cooperation amongst countries in the MENA region.

From 1950 to 1970, the region increased its oil production rom 17% o the world’s total to 41%.

5

The high oil prices that lasted throughthe early 1980s allowed or the region to accumulate large sums o wealth.6 This wealth, in turn, allowed or much investment ininrastructure and development in the region. The public investment model grew the public sector and many citizens o the region

became public employees. The public sector oered better wages, benets and job security.7 This created an immense dependenceon the government or jobs as well as the lack o innovation and competition. Farooq Mitha in his historical socioeconomic analysis

o the region says, “Citizens traded restrictions on political participation and transparency or economic stability and state run programs, which provided social services and welare. The vast amounts o oil revenues also permitted the creation o powerul security

oriented institutions and high levels o military spending to protect the authoritarian governments rom the public activism.”8 Eectively, the citizens gave up civil liberties or nancial stability. This trade-o has allen apart, as can be inerred rom the unrestand uprisings in the region today. Citizens o countries that have oppressive regimes and/or haven’t been provided with the welare

and nancial stability they were expecting have realized that this trade-o either isn’t working or the government simply isn’t givingthem what they expected.

I IDUCI

2

II ISICL LSIS



The decline in oil prices led to a decrease o income or migrant workers rom non-oil exporting countries and coincided with in-

creased international competition, which together hampered the growth that the region had experienced prior to the 1980s.9 Alongwith the decline in oil revenue, the domestic policies o the region hindered private investment and FDI and prevented the economies o this region rom integrating into the global market.10 All o this caused an economic slowdown, which caused public debt to

skyrocket due to the public sector composing a vast majority o the economy. This led countries to look into economic reorms tostabilize the region and consider new economic models to allow their economies to be less dependent on the state as well as more

resilient in the ace o recessions and other economic shocks.

However, some o the outcomes o the Redistributive-Interventionist model and the attempts at reorm that ollowed could have

been benecial to the people o the region in the prospects or growth and development. The high government spending in education allowed or there to be a relatively well-educated work orce, but since most o these well-educated people took public secto

positions, the drive or innovation and competiveness didn’t exist. Additionally, there was a lot o capital invested in inrastructurethroughout the economic boom; some o which remains unctional while some is in need o repair or upgrade.11 The basic ground

work has been laid, but the countries in the region will need to step up diversication and development o legal and political institutions to build stronger economic conditions o o this base.

The situation in the MENA region has changed signicantly since the end o World War II, and the outlook seems promising, but

many actors may challenge this growth. These include the current unrest in the region and the rise in oil and ood prices. The MENAregion as a whole has a relatively well-educated workorce that is capable o competing in the global economy, and in utilizing innovation and technology in many o its industries as well as in the public sector.12 Yet there are still areas requiring improvement. These

improvements and reorms include: developing more ecient capital markets, creating resilient economies and societies, increasinginnovation in the region, and, increasing use o technology to create eciencies and lower costs.

Prior to the nancial crisis in 2008, the region reduced its unemployment rate by roughly 1% annually.13 Since 2009 the unemploy

ment rate has remained steady at 10.3%.14 As previously stated, there is little job creation and heavy public sector employment. Thisinherently leads to low labor orce participation due to limited job prospects and poor incentives or changing the status quo. Thiscan be seen using the employment-to-population ratios, which was 45.4% in 2010, meaning roughly hal the population was not work

ing compared to the global average employment-to-population ratio o roughly 60%.15 Apart rom the above reasons, this low laboorce participation also has to do with the gender gap in employment. The employment-to-population ratio broken down by gende

shows a 47.2% dierence between male and emale rates.16 This is an 8.7% improvement since the 1990s, but still shows the male

dominant culture o much o this region.17 Low labor orce participation is especially hard on the youth in the region. The unemployment rate or youth in the region is roughly 25%.18 The region will have to implement reorms that will allow or increased labor orceparticipation by both the youth and women. This will require, among other things, a diversication and privatization o industries as

well as a change in the mindsets o conservatives in society, embodied by such things as limiting women rom participating in theworkorce. Implementing a change in the mindset o citizens isn’t the job o the government, but the government can work to pushor the youth and women to acquire skills and jobs and provide the tools to do so. Additionally, a change in culture can only come

rom within the society, which is taking place through the Internet, social media, and a better-connected world. A good example othis is the current upheaval in the MENA region that was organized and ueled through social-networking sites such as Facebook.

These resources and the connectivity to other individuals in the country/region were not available even 10 years ago.i

Another pair o statistics to consider is the percentage change in output in the region as well as real GDP growth over the courseo the past ew years. Using these two statistics we can compare the MENA region to other emerging markets and the global average. When compared to the rest o the world, the MENA region seems to be increasing output year over year at an increasing rate

Comparing how the MENA region perorms relative to the emerging and developing economies allows or greater insight. In thiscase the MENA region lagged the overall average o emerging and developing economies in every year except or 2003.20 For the

MENA region to grow it needs to increase its productive output in terms o quantity and variety, this will increase the number orevenue streams and therein improve global prominence and hedge against the risk rom over-concentration in a ew industries

And so, it is important to grow, and in turn, create jobs in the private sector since the public sector doesn’t have the same capacityto grow and/or the ability to be competitive in the global marketplace.

MENA real GDP growth over the years has improved but still lags behind developing Asia, which is the leader amongst emergingand developing regions.21 Additionally the MENA region hasn’t returned to pre-nancial crisis levels. The emerging and developing

economies overall have been said to be much more resilient than the developed economies, in regards to responding to the globa

III.CurrentSituation

i. See Annex A or complete breakdown.



market slowdown caused by the nancial crisis in 2008. In 2009, the MENA region lagged behind developing Asia by 4.9%, bu

surpassed Latin America & the Caribbean by 3.7%.22 Latin America & the Caribbean had negative growth in 2009, o -1.7%.23 But in2010 the MENA region, at 4.1%, lagged both developing Asia and Latin America & the Caribbean by 5.3% and 1.6%, respectively. 2

This is especially interesting, as the MENA region had out-grown Latin America & the Caribbean region prior to the nancial crisis

And so the act that the MENA region hasn’t bounced back as quickly aer the crisis, points to faws in its economic structure. Themajor faw is a lack o resilience, which is required o a developing economy or it to continue to grow and become a more advanced

economy, through economic cycles. This lack o resilience is caused by lack o diversication/privatization o industries, innovationand new technologies and the persistence o high unemployment.ii

The above indicators are seen as more conventional measures o economies. The Global Competitiveness Index, the Doing Business report, and the Human Development Index allow or a more qualitative analysis, still using quantitative data. They also assist

in understanding how development is progressing. These indicators also show where economies and countries are perorming weland where they are lagging.

The Global Competitiveness Index model “rests on the belie that the determinants o competitiveness are numerous and interact

with each other in a complex manner.”26 There are 12 categoriesiii that make up these determinants. These are: institutions, inrastructure, macroeconomic environment, health and primary education, higher education and training, goods market eciency, labomarket eciency, nancial market development, technological readiness, market size, business sophistication and innovation.27 Ad

ditionally, countries are grouped into three dierent groups, each refecting dierent levels o growth. The three are: actor-drivenstage, eciency-drive stage and innovative-driven stage.28 The 12 categories are then allocated to the three groups based upon

recommended conditions or economic growth in that group. For example, the institutions, inrastructure, macroeconomic environment, health and primary education categories are considered “basic requirements” or the actor-driven economies.29 Algeria

Egypt, Kuwait, Libya, Morocco, Qatar, Saudi Arabia and Syria are placed in transition between actor-driven and eciency driven.This means their actors o success in being competitive should be ocused 40% to 60% on basic requirements and 35% to 50% oneciency enhancers.30 Jordan, Lebanon and Tunisia are placed in the eciency-driven stage, which means that 40% should be o

cused on basic requirements and 50% eciency enhancers.31 Bahrain and Oman are stated as being in transition between eciencydriven and innovation-driven; they need to ocus between 20% and 40% on basic requirements, 50% on eciency enhancers and

10% to 30% on innovative actors.32 The United Arab Emirates is considered an innovation-driven economy, along with the UnitedStates, Germany, and other developed economies. The UAE should ocus 20% on basic requirements, 50% on eciency enhancers

and 30% on innovation actors.33 What these data classications show is that none o the countries in the Middle East are consideredsolely actor-driven economies.iv This means that the countries are well above basic economies and are in the process o developing their economies to be competitive in the global marketplace. O the stated 12 categories, the categories most hampering the

Arab countries’ competitiveness are the institutions, labor market eciency, nancial market development, technological readinessand innovation. Some countries, such as the UAE have done a good job o bringing multinational corporations to their countries

to stimulate innovation and improve technological readiness; other countries should attempt to ollow this. The best way or othe

countries in the region to do this is to improve their perormance in the categories where the UAE improved. In general, this wouldinclude systematic development and investments in inrastructure as well as improving the legal ramework to create an environment or growth. Lastly, this is an analysis o the region as a whole, and so certain countries may be lagging or excelling in specic

categories.v

The Doing Business report “presents quantitative indicators on business regulation and that protection o property rights that can be

compared across 183 economies.”34 These are measured through the ollowing indicators: starting a business, dealing with construction permits, registering property, getting credit, protecting investors, paying taxes, trading across borders, enorcing contracts and

closing a business.35 The report says that these indicators are used to analyze economic outcomes and identiy what reorms haveworked, where, and why.36 Diving into a ew o these categories will allow or a deeper understanding o where the MENA region is

lagging relative to other emerging economies.

In the starting a business category, the region has the second highest number o procedures to start a business and average time

(in days).37 The area is also the most expensive place to start a business with cost at 38% and paid in minimum capital at 104% (o income).38 The MENA region could be stopping entrepreneurs and multinationals rom opening businesses there just because o the

cost o starting that business. Starting and expanding businesses is a key aspect o a developing economy, because it helps drive private sector job growth and innovation. The depth o inormation required to get credit in the region is relatively low but the strength

o legal rights is the lowest amongst all regions.39 The relaxed standards on mandatory inormation that needs to be provided couldbe seen as a good thing or businesses, but more importantly, such standards may cause increased risk. These relaxed standardscould lead to deault, because borrowers may not be as extensively checked prior to lending and their ability to pay back the loans

ii. See Annex A or complete breakdown.iii. See Annex B or complete breakdown.iv. There is no similar data or North Arica.v. See Annex A or complete breakdown.



could be hampered by excessive risk-taking, by both lender and borrower, or the inability o the borrower to turn a prot. For exam

ple, one o the causes o the US subprime mortgage crisis was that banks were lending to individuals with no documented incomesor documentation o any sorts or that matter. And this inherently caused many borrowers to deault on their loans. Additionally, thelack o legal rights in accessing credit isn’t good or most businesses attempting to start up in the area, as loans are usually required

to start or expand a business, and companies may be hesitant to borrow in places where they aren’t entirely protected. In tradingacross borders, the region’s numbers are competitive with all o the emerging markets when it comes to exports and imports. But

an important note to touch on here is that the region’s countries should work to grow the amount o intraregional trade. This wouldbe extremely helpul to the regional economy as a whole, and allow or collaboration and innovation, which would be extremely

helpul in growing the economy and the private sector. Innovation is more plausible when many individuals are working on things

independently o one another and then come together. Many companies have set up websites and programs where inventors andthought leaders in a specic industry can come together to solve a problem that company may be having. Returning to the issue o

legal complications, enorcing contracts in the MENA region is essentially on par with most other emerging economies,40 but this isan area where the region can work to dierentiate itsel. As stated earlier, the recovery rom the nancial crisis in 2008 has gained

traction much quicker or emerging economies, drastically increasing the amount o investments in these emerging economies in2009 and 2010. But the MENA region has not experienced this trend to the extent o other developing markets.41

In protecting investors, the MENA region is the lowest in ease o shareholder suits and tied or last with Latin America in strengtho investor protection.42 This is one o the biggest institutional actors that keep investors rom making investments in a region that

is considered to have immense potential. And this is one o the key areas the region’s governments should be working to improveespecially since the region has been plagued by private wealth net outfows or many years.43 This net outfow implies that the inves

tors in the region would rather invest in other parts o the globe than in their home countries and region. Additionally, institutionaimprovements in protecting investors and enorcing contracts would make the region a much more appealing investment as the

region is around average in most other categories. This makes dierentiation in institutional eciency a key driver o growth relativeto other developing markets. And so, the Doing Business report shows that the MENA region needs to work on dierentiating itselthrough the development o legal institutions that protect businesses and institutions.vi

The Human Development Index (human centered development) works like the GNP but takes into account all the dierent actors

impacting the GNP value.44 The report is a composite measure o health, education and income.45 It assesses the levels and progressusing a concept o development much broader than that allowed by income alone. The Human Development index is made up o

three dimensions which are broken down into our indicators. The three dimensions are healthy, education and living standards. Andthe our indicators are lie expectancy at birth (fows into health), mean years o school and expected years o schooling (fows intoeducation), and gross national income per capita (fows into living standards).46 The Human Development Report breaks down the

HDI statistics into the our indicators as well as calculating a hybrid HDI.vii The Arab States’ “Hybrid HDI” at 0.66 is above that o theaverage developing countries value, but below almost all economies when they are broken down per region.47 O the our indicators

the Arab States lag in literacy in 2010, but have made immense improvements when looking at change (in percent) rom 1970 to 2010

and 1990 to 2010.48 The Arab States gross enrolment is slightly below the developing economies average and improvement wouldallow or a higher valued workorce into the uture.49 All in all the Arab States are well positioned to compete with other developingcountries but there is much room or improvement. One important area that the HDR says all o the emerging economies are dealing

with is income inequality. And a widening gap between the upper and lower class, as well as the shrinking o the middle class, maylead to instability, i it already hasn’t. The HDR goes on to say that health and education improvement aren’t necessarily correlatedto growth in income.50 Nonetheless, or job growth and private sector development and investment, health and education improve

ment are helpul.

The discussion and data analysis above suggest that the United States could make much progress in developing solid relationshipswith governments and citizens in the MENA region through a dierent policy approach. This would be a policy approach based on

supporting sustainable economic development. As we have seen, there are many binding constraints in the region that require indepth analysis and understanding beore they can be acted upon. In addition to this, the region has a very dierent culture rom tha

o the United States and so it’s important or policy makers to spend time understanding this culture to develop the best possiblesolutions. While this may seem obvious, it seems to be a major issue that isn’t being addressed in the region. This can be seen romthe issues o transition in Iraq and Aghanistan.

The Obama Administration has been ollowing a policy o promoting democracy in the region. Similar to that o Bush, but dieren

in the way that it has been presented. In Obama’s 2009 speech in Cairo he said, “No system or government can or should be im-

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IV.PolicyImplications

vi. See Annex A or complete breakdown.vii. See Annex B or complete breakdown.



posed by one nation upon any other.”51 In the context o the speech, he was saying that the US is pushing or democracy but will not

impose it on any government. While the administration is attempting to not impose anything on other governments, it’s still pushingor democracy. This is a poor approach as the rhetoric o the speech and the actions o the administration are quite dierent. Ad-ditionally, President Bush’s declaration o the three pillars o American oreign policy: deense, diplomacy and development, imply

the use o military-led development, which has been relatively ineective in the MENA region. Any development or aid that directlyinvolves the military being on the ground in a certain country will cause some confict or dislike between the locals and soldiers, as

these are oreign military personnel. Finally, past administrations have been inconsistent in their policy stance towards the MENAregion, partially because o dierent stances, but additionally to specic countries or strategic purposes. For example, the US has

supported the Al Saud amily, ruling amily o Saudi Arabia. The Saudi government is an Islamic absolute monarchy, but regardless

the United States works with this government. Presently, the US oreign policy creates and doesn’t address many constraints thatare hampering MENA region growth and the development o US relations in the region.

There are clear trends that emerge and we can identiy numerous binding constraints on the region’s economies that hamper growth

and impact US oreign policy. The constraints can be broken up between political and societal constraints, and economic onesWithin the political and societal constraints the major areas are: oppressive governments and societies, the role that religion plays

in society and politics, and general instability in the region. The economic constraints are: the dependency on the public sector, alack o private sector growth and development, income inequality and poverty, and private wealth net cash outfows. An additionaconstraint that alls under both categories is the lack o legal security and institutions in the region, which arises rom socio-politica

and economic conditions and also leads to adverse outcomes in those areas. These constraints hamper growth and development inthe region as well as create an environment that is tough to navigate rom a policy perspective. The sensitive nature o the United

States’ relationship with the region also makes it challenging to push any particular policy as people o the region may see it as beingorced upon them.

The aorementioned political constraints have numerous implications on the region’s development. The United States has beenocusing on partnering with countries or strategic reasons, which is necessary, but it is also important that the US partner and ally

itsel with governments and regimes that aren’t oppressive and/or not working in the best interests o its citizens, because it wouldseem to be more inline with American philosophy to support governments that provide their citizens with civil liberties. Additionally

i the US aligns itsel with oppressive regimes now and there is regime change urther down the road, this could be detrimental tosentiment towards the US by those citizens. This can especially be seen now with the political unrest in the region. Along with this

the United States intervening directly in the region doesn’t help as much as giving the region the tools it needs. The trouble the USis having in Iraq and Aghanistan with their development is proo o this. The conventional policies being applied in both countriesthrough strategic interventions neither stimulate the economy nor stabilize the region. The US needs to work to help create long-

term stability and strong partnerships by showing the region what may help and letting people o the region do it.

Among the economic constraints is the issue o underutilization o inrastructure. As evidenced earlier, the region invested a lot into

developing inrastructure during a period o high oil prots, but the return on this investment has been hampered by unrest and suchactors as high unemployment and public sector dependence. Additionally, the region doesn’t utilize its inrastructure to innovateand collaborate on projects and ideas through interregional initiatives and trade. Eectively, the physical groundwork has been laid

out but people and governments aren’t using it to grow or expand. All o this leads to a less competitive MENA region relative toother emerging economies, evidenced, in part, by the Competitive Index. Aer considering these constraints, where the MENAregion may be able to dierentiate itsel by building and providing legal institutions that protect investors and inventors. Innovation

and trust, two key drivers o economic and productivity growth, are thusly discouraged by the ailure to adequately protect patentrights and investor contracts. Copyright inringement is a big issue in many developing economies, such as Developing Asia.52 This

doesn’t necessarily decrease innovation, but it diminishes the drive and motive to innovate by punishing those who invest in researchand development by diusing the prot. Stricter laws and an ecient legal system will create an environment to innovate as wel

as draw multinational corporations to the region. In addition to this, another area where the MENA region is lacking is in incomeinequality. There is a huge gap between the rich and the poor, and this creates unrest, which can lead to political instability.53 Thisis another important area that the region can improve, through creating jobs that would be or the middle class, and through creat

ing/adjusting legislation and laws to be benecial classes. All o this would help the region grow and prosper, while making it morecompetitive.

From a policy perspective, the US needs to oer the tools and guidance to the MENA region and be less involved in the physica

work. The US needs to work to align itsel with helping the societies o these countries, and not necessarily the governments. Andalong with this, the United States needs to work with governments in the region to improve political and economic institutions andpolicy to help their citizens by growing the economy and creating jobs, specically in the private sector. Specic economic reorms

should be the creation o jobs through the development o the private sector, and decrease in public sector dominance. This canbe done by taking steps to attract multinational corporations. These steps would include improving legal institutions and rights

implementing new technologies and creating an environment o innovation. A great example o this is the United Arab Emirates,which has taken immense steps in opening their doors to multinational corporations and creating jobs or their citizens. This along

with urther developing the capital markets by having stricter lending policies and legal protection or investors, which would bring



in more capital, will help x the economic constraints currently in the reasons. As or reorms, to policy, to address the political and

social constraints, the US should work to improve the legal system or citizens, which can be a rst step in greater civil libertiesor citizens, especially in the more oppressive countries. The overall US oreign policy should have less political reorms and moreeconomical/social reorms, because political reorm hasn’t worked well in the past, partially because governments and citizens don’

want to be told how to run their countries.

The above reorms should be the basis o the US oreign policy towards the MENA region. This guidance and aid would includeassisting in implementations o new technologies, pushing or institutions to help incubate and oster growth and innovation, stron

ger legal institutions and pushing or the public sector to play a smaller role in the overall economy. The US needs to work to solve

problems in the region, while not imposing on the governments and people o the region. The development and growth o the regionshould be organic and untouched by outsiders, as this is the best way to sustain growth and create a stable society A more competi

tive MENA region, would allow or a more competitive global marketplace, which in turn leads to higher amounts o collaborationand innovation. All o which are positive externalities to the MENA region as well as the entire world. The path to democracy is a

gradual process that each country needs to go through on its own. There are no ast lanes to a stable democracy, and so the USshould work to help lay the groundwork or this.

1. CIA World Factbook2. Aysan, Ahmet. How to Boost Private Investment in the MENA Countries: The Role o Economic Reorms. 2002.3. Ibid4. Ibid5. Ibid

6. Ibid7. Ibid8. Mitha, Farooq A. Economic Reorm in the Middle East and North Arica (MENA). 2007.9. Ibid10. Aysan, 2002.11. Noumba Um, Paul. Inrastructure and Economic Growth in the Middle East. 2009.12. Hanouz, Margareta Drzeniek. The Arab World Competitiveness Review 2010. 2010.13. Kapsos, Steven. The Global Employment Trends 2011 : The challenege o jobs recovery. 2011.14. Ibid15. Ibid16. Ibid17. Ibid18. Ibid19. International Monetary Fund. World Economic Outlook 2010: Recovery, Risk and Rebalancing. 2010.20. Ibid21. Ibid

22. Ibid23. Ibid24. Ibid25. Ibid26. Hanouz, 2010.27. Ibid28. Ibid29. Ibid30. Ibid31. Ibid32. Ibid33. Ibid34. The World Bank and the International Finance Corporation. Doing Business 2011: Middle East and North Arica, Making a Dierence or Entrepreneurs. 2011.35. Ibid36. Ibid37. Ibid

38. Ibid39. Ibid40. Ibid41. Elliott, Dominic. Rise o Emerging Markets Triggers Alarm. Wall Street Journal. 2009.42. The World Bank and the International Finance Corporation, 2011.43. Hanouz, 2010.44. Klugman, Jeni. Human Development Report 2010, The Real Wealth o Nations: Pathway to Human Development. 2010.45. Ibid46. Ibid47. Ibid48. Ibid49. Ibid50. Ibid51. Obama, Barrack. Cairo Speech Transcript. New York Times. 200952. The World Bank and the International Finance Corporation, 2011.53. Klugman, 2010.

7

eferences



nnexes

A1. Unemployment, All

A2. Annual Employment Growth

8

Contents

Annex A: Employment/Labor Statistics...........................................................................................8

Annex B: Global Competitiveness Index.........................................................................................13Annex C: Doing Business Indicies.......................................................................................................14Annex D: Human Development Index................................................................................................20



A3. Unemployment, Male

A4. Unemployment, Female

A5. Unemployment, Youth

9



A6. Labor Force Participation, All

A7. Labor Force Participation, Male

A8. Labor Force Participation, Female

10



A9. Labor Force Participation, Youth

A10. Labor Force Participation, Adults

A11. Employment-to-Population Ratio, All

11



A12. Employment-to-Population Ratio, Male

A13. Employment-to-Population Ratio, Female

A14. Real GDP growth

12



nnexB(GlobalCompetitivenessIndex)



C2. Starting a Business

]nnexC(DoingBusinessIndex)

C1. Doing Business MENA Aggregate Raning



C3. Dealing with Construction Permits

C4. Registering Property



C6. Protecting Investors

C5. Getting Credit



C7. Paying Taxes

C8. Trading Across Borders (Export)



C10. Enorcing Contracts

C9. Trading Across Borders (Import)



C11. Closing a Business



D1. Components o the Human Development Index

D2. Trends in the HDI, Since the 1970s

IndexD(umanDevelopmentIndex)



T R I C Nk k

past and present economic growth and development in the middle east and north africa region

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