Concentration of Economic Activities in the Kingdom of Saudi Arabia

M’hamed Hamidouche and ABDELKADER Salim Bourchid

European Journal of Interdisciplinary Studies, 2020, issue 01

Abstract: The comprehension of economic aggregates at the spatial level is important because it allows knowing the characteristics of each geographic region. So, the estimates of the economic activity's concentration in the Kingdom of Saudi Arabia that we developed are based on aggregated data from the national system of economic statistics which are based on an administratively determined geographical area scale. These concentrations are expressed as indexes, known as Hoover's which reveals a high concentration of the trade and construction sector in the Kingdom of Saudi Arabia, while the Kingdom's Gini index make known that was an equal distribution of wages. Whereas, the similar indexes which are Ellison-Glaeser and Maurel & Sédillot, reveal a strong concentration located in the cities of Riyadh, Makkah and Easte province. In addition, the Herfindahl index illustrates that Mining and quarrying is the sector that provides more jobs. And from another point of view, the Krugman index indicates that financial and insurance sector activity is a specialization in the Kingdom. It’s therefore appropriate to note that our concentration measurements are derived from aggregated data on economic activities in a spatial dimension defined by the administrative areas of the Kingdom of Saudi Arabia.

Keywords: spatial concentration; specialization; economic integration (search for similar items in EconPapers)
JEL-codes: P35 P47 R12 (search for similar items in EconPapers)
Date: 2020
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