Locked Out of Development
Insiders and Outsiders in Arab Capitalism
Format:Paperback
Publisher:Cambridge University Press
Published:19th Jan '23
Currently unavailable, and unfortunately no date known when it will be back
This Element explains how divisions between insiders and outsiders among firms and workers in the Arab world hold back development.
This Element argues that the low dynamism of low- to mid-income Arab economies is explained with a set of inter-connected factors constituting a 'segmented market economy'. It explains how divisions between insiders and outsiders among firms and workers in the Arab world hold back development.This Element argues that the low dynamism of low- to mid-income Arab economies is explained with a set of inter-connected factors constituting a 'segmented market economy'. These include an over-committed and interventionist state with limited fiscal and institutional resources; deep insider-outsider divides among firms and workers that result from and reinforce wide-ranging state intervention; and an equilibrium of low skills and low productivity that results from and reinforces insider-outsider divides. These mutually reinforcing features undermine encompassing cooperation between state, business and labor. While some of these features are generic to developing countries, others are regionally specific, including the relative importance and historical ambition of the state in the economy and, closely related, the relative size and rigidity of the insider coalitions created through government intervention. Insiders and outsiders exist everywhere, but the divisions are particularly stark, immovable and consequential in the Arab world.
'This brisk, clear, and devastating portrayal of the consequences of decades of misguided economic policy in the Arab world is a bracing, if deeply disheartening, read.' Lisa Anderson, Foreign Affairs
'… nuanced and valuable.' Yusuf Murteza, LSE Review of Books blog
ISBN: 9781009045575
Dimensions: 230mm x 154mm x 8mm
Weight: 190g
75 pages