Determinants of Economic Complexity in MENA Countries

Year 2021, Volume: 6 Issue: 1, 5 - 16, 29.06.2021

A. Yasemin Yalta , Talha Yalta

Abstract

Middle East and North Africa (MENA) countries lag behind most of the emerging economies in terms of economic complexity. This study contributes to the literature by exploring the determinants of economic complexity in the MENA region for the period between 1970-2015 by employing a system GMM approach. The findings reveal that human capital is positively associated with economic complexity. However, natural resource rent has a negative influence on economic complexity, supporting the existence of Dutch disease for this country group. The results also indicate that the effect of natural resource rents on economic complexity depends on the accumulation of human capital

Keywords

Economic complexity, Economic growth, MENA, System GMM

Supporting Institution

Economic Research Forum

Thanks

This work was sponsored by the Economic Research Forum (ERF) and has benefited from both financial and intellectual support. The contents and recommendations do not necessarily reflect the ERF’s views. The authors would also like to thank the anonymous reviewers for extremely useful comments and suggestions.

MENA Ülkelerinde Ekonomik Kompleksitenin Belirleyicileri

Abstract

Orta Doğu ve Kuzey Afrika (MENA) ülkeleri, ekonomik kompleksite açısından gelişmekte olan ekonomilerin çoğunun gerisinde kalmaktadır. Bu çalışma, 1970-2015 döneminde MENA bölgesi ülkelerinde ekonomik kompleksitenin belirleyicilerini sistem GMM yaklaşımı kullanarak araştırarak literatüre katkı sağlamaktadır. Bulgular, beşeri sermayenin ekonomik kompleksite ile pozitif olarak ilişkili olduğunu göstermektedir. Ancak, doğal kaynak rantının ekonomik kompleksite üzerinde olumsuz bir etkisi vardır. Bu da bu ülke grubu için Hollanda hastalığının varlığını doğrulamaktadır. Sonuçlar ayrıca, doğal kaynak rantlarının ekonomik kompleksite üzerindeki etkisinin beşeri sermaye birikimine bağlı olduğunu göstermektedir.

Keywords

Ekonomik Kompleksite, Ekonomik Büyüme, MENA, Sistem GMM

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