Is Middle East and North Africa different? A comparative analysis of growth and structural change in and outside MENA

Nicet-Chenaf Dalila and Eric Rougier
Authors registered in the RePEc Author Service: Dalila Nicet - Chenaf ()

Middle East Development Journal, 2016, vol. 8, issue 2, 177-197

Abstract: By using general method of moments-system estimation on a panel of developing countries over the period 1984–2011, we contrast the Middle East and North African (MENA) countries’ growth pattern with that of middle-income countries from other regions. Three complementary dimensions of growth driver are assessed: accumulation, structural change and institutions. Our comparative analysis shows that MENA economies sharply contrast with other middle-income emerging economies with respect to two main dimensions: (1) the sectoral structure of production and (2) the institutional environment. We show that, during the last three decades, the MENA region has exhibited a specific pattern of growth featuring a low pace of structural change and high corruption levels, which may have hindered highly productive job creation, and eventually bred massive discontent in the region. The assumption of the complementary effect of the accumulation, institutional and structural growth determinants is also supported by our empirical estimations.

Date: 2016
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Working Paper: Is Middle-East and North-Africa different? A comparative analysis of growth and structural change in and outside MENA (2016)
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DOI: 10.1080/17938120.2016.1225453

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