An Analysis of Saudi Arabia s Natural Resource

Abstract

As the most significant oil exporter in OPEC with relatively one of the least dense populations among OPEC members, Saudi Arabias economy might not show the apparent symptoms of a resource curse as other countries like Venezuela and Algeria. Hence, this assessment of the Saudi economys health was needed to see whether it is suffering from the resource curse and whether its innovation attempts in energy can lead to better economic health. Assessing factors included diversification of revenue, sectoral data, measuring innovation, and analyzing institutional quality. These factors show that Saudi Arabia is indeed suffering from the natural resource curse. Amid the reform efforts, this curse can be lifted with shrewd public policy that empowers the public-private partnership in different sectors.