GRM 2010 GRM 2011

Abstract Details

 
AUTHOR NAME
 
Family Name:
Tsai
 
First Name:
I-Tsung
 
ABSTRACT OF PAPER
 
Title of Paper:
Economic Diversification and the Emergence of Inclusive Economic Institutions in the Gulf Cooperation Council States
 
Paper Proposal Text :
Economic diversification as a key strategy in sustaining economic growth and national security is at the priority of all Gulf Cooperation Council (GCC) states’ agenda. This paper analyzes the influence of economic diversification on the emergence of Inclusive Economic Institutions in GCC. While the social conflict theory suggests that inclusive economic institutions is unacceptable to absolutist political institutions, empirical evidence shows that limited economic inclusivity has been developed in GCC likely due to the intensifying regional integration and competition which weaken the rulers’ rent extraction capacity, the rulers’ mandate for wealth distribution versus rent extraction in rentier states, and the interest on long term gain that would benefit the rulers and the population through market-based economy. This paper provides an overview on the economic diversification activities directly undertaken by the GCC governments and analyze the governing structures of the state-owned and semi-state owned initiatives. The result provides critical implications on how the political institutions of rentier states may reinforce the rulers’ power with the state’s direct involvement in new economic initiatives that benefit the entire population, and the influence of tribalism on economic diversification.
 
 
 

WITH THE GENEROUS SUPPORT OF