United Arab Emirates Government Polices To Encourage Economic Diversification From The Oil Base

rock inunct color offense TheoryThe crude petroleum plague possibility , which likewise forms part of the more commonplace concept of resource depone , emerged as the negation of the assumption that revenue generation capable on natural resources would create wealth (Stevens , 2003 . The anoint curse theory posits that the countries strongly dependent on the export of natural resources that be non-renewable particularly crude inunct , are likely to pair a slower grounds of economic development (Katz , 2004 . The oil curse theory utilise to countries or economies largely dependent on the export of oil such as the diaphragm East and MENA . A come up of reasons account for this theoryHistorical Development of the Oil Curse TheoryThe oil curse theory emerged during the 1970s when the oil shocks highlighted the impact of oil dependance on exporting countries .

During this prison term , the major oil producing countries in the Middle East implement an trade embargo of oil exports to the United States for semipolitical and economic reasons . The political reason is to call back the United States not to support Israel in its military campaigns . The economic reason is for the oil exporting countries to arouse income generation decrease the supply of oil in the world-wide market at an change magnitude level of demand would energize oil prices (Rosser , 2006 ) However , the embargo gave the opportunity for the oil and aptitude sector in otherwise countries to develop in to meet the demand .! The impact is the produce of competitors increasing the competitive pressureOil Curse in Developing CountriesIn developing...If you involve to get a spacious essay, order it on our website: BestEssayCheap.com

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