1.2 Explain The Reason For The Growth 4 Points

“Since the beginning of Operation Iraqi Freedom in 2003, the U.S.-Qatar political relationship soured badly, driven in particular by Qatar’s foreign policy initiatives and maddening behavior on the UN Security Council from 2006-07. The Amir thought they made a big mistake toppling Saddam Hussein. Qatar continued high level engagement with Hamas leaders, even as the US seeks to isolate them, and supports the Syrian government, even while the U.S. worked to support the democratic majority. Qatar is also often accused of funneling money to Hamas, senior Qatari leadership appeared to have grown jealous of the US relationships with regional rivals (including Egypt, Saudi Arabia, and Jordan) and annoyed that they don’t give Qatar more attention, including senior-level visits and visibility in

Saudi Arabia has made tremendous milestones in claiming its deserved position as a renowned world economy. In its bid to take its place among the club of the world’s largest economies, Saudi Arabia has had to make numerous economic development activities since the 1970s. First and foremost was the elevation of the oil mining status to the largest oil reserves or mining countries of the world. Huge amounts of revenue from the sale of oil boosted the establishment of various projects that the country had much desired. The Oil reserves became the countries single largest source of revenue that would drive the country from the underdeveloped sphere to the doorstep of the wealthiest nations. The government of Saudi Arabia has set the development of the country’s economy since the 1970s to conform to a predetermined five-year plans starting with the year 1970-1975 (Al Mallakh & el Mallakh, 2015). These are set as a focus on the long-term goals of the economy set out as achievable goals within a five-year implementation process.This has led to massive economic developments of the country throughout the ages; some of the milestones that the country has made economically are as discussed.

Persian Gulf Development Literature Oil Curse Literature Arab and Islamic Factors Regional Ovemiew and Historical Background Dubai's Development History

Monetary policy uses changes in the quantity of money to alter interest rates and in turn affect the level of overall spending. The object of monetary policy is to influence the nation’s economic performance, as measured by inflation, the employment rate and the gross domestic product, an aggregate measure of economic output. Monetary policy is controlled by the Central Bank and influences money supply.

Prompt: Analyse how aggregate demand, aggregate supply, saving, investing, business cycles, and GDP effect the nation's economy (including types of unemployment, poverty, economic growth, and inflation).

This oil rich country is vibrant and economically strong. According to Roy Sudip of Euromoney, Qatar has the world’s third biggest gas reserves, equivalent to more than 300 years-worth of stock at both current and forecast production rates, as well as significant oil reserves (https: web-b-ebscohost.com). Furthermore, its GDP is $212 billion and GDP per capita ranked 5th in the world. Qatar has one of the highest standard of living and economic productivity. Its annual growth rate has averaged just over 19 percent in 2006 – 11, driven by the country’s growing liquefied natural gas

Qatar is a small country with a steadily increase in the population rate, from 676,000 thousand in 2000 to 1.5 million in 2010, which shows an escalation by more than one million over a period of ten years (QSA , 2011). The cause of change in the population percentage lies on the elevated standard of living, which includes average wages Hukoomi (2014), health care and world class education system. Their wealth led to driving infrastructure investments and nation-building projects, which require workers support from around the globe (Harkness & Khaled, 2014). However, despite this rapid socioeconomic development within a short period of time, Qatar is trying to preserve and maintain their cultural essence and inherited position.

Monetary policy, ‘The government’s policy relating to the money supply, bank interest rates, and borrowing’ (Collin: 130), is another tool available to the government to control inflation. Figure 4 shows, that by increasing the interest rate (r), from r1 to r2, the supply of money (ms) is reduced from Q1

‘Despite having their roots in a mixture of internal and external factors, the most appropriate response to current problems of economic performance in countries of the Middle East is to pursue stabilization and structural adjustment policies, supported by IMF/World Bank lending packages.’ Critically appraise this statement with reference to the recent experience of one MENA country of your choice.

Kuwait’s plans to expand its oil and gas production capacity have faced decades of delays, almost entirely due to debilitating discord between Kuwait’s Parliament (the National Assembly) and executive branch of government. The oil ministry and state-owned Kuwait Petroleum Corp (KPC), however, are at last moving forward with significant new oil and gas projects as the Parliament and Cabinet cooperate on budget deficits, declining oil revenue, and economic growth prospects.

Over the past 50 years one country has stood out from the rest. From its abundant resource of oil to owning one of the top soccer teams in the world. By choosing a different government system from its surrounding countries and investing heavily. Qatar had the quickest turnaround from a fishing village to one of the top GDP per capita, in the world. Qatar is currently the richest country in the world today. Located in western Asia, next to Saudi Arabia and the gulf coast, a small peninsula is where Qatar can be found. It is a part of Arab sovereign states and it is about 7,000 square miles. The people of Qatar are called Qatari, only a few true native Qatari remains, most of the citizens there are immigrants. Compared to its surrounding countries, Qatar has a different lifestyle than its neighbors. Qatar abundant resources and choosing a different path from the rest of the Middle East has shaped it to be one of the richest country in the world by incorporating a different government system, managing their resources and its liberal culture.

‘Global FDI flows rose by 9 percent in 2013 to $1.45 trillion from $1.33 trillion in 2012’ (UNCTAD, 2014) Between 2012 and 2013, FDI inflows increased in all major economies - developed, developing and transition economies. FDI flows to developed economies increased by 9 percent, reaching $566 billion, for developing countries they achieved a new high of $778 billion and inflows to transition economies grew by 28 percent to $108 billion and accounting for 7percent of global FDI inflows.

Despite the reforms started from the second half of the 1980s, the growth performance of the MENA region has revealed a disappointing pattern due to the large fall in international oil prices. Where low growth rates failed to provide sufficient employment opportunities to the rapidly expanding labor force and led to a deterioration of living standards and a rise in poverty rates. Consequently, most MENA economies have experienced a marked slowdown and/or macroeconomic crisis [Bosworth & Collins (2003)].

The Middle East region is a conservative cultural and religious area that grew at only half the rate of other developing countries during the 1990s. A number of factors such as structural imbalances, the so-called 'curse of natural-culture and religious conflicts, are highlighted for the slow economic development in the Middle East. Similarly, Abed (2003) identifies five main causes holding back the economic growth of the Middle East i.e. lagging political reforms, dominant public sector; underdeveloped financial markets; high trade restrictiveness and inappropriate exchange regimes. apart from these , some of the others factors include the lack of integration into the global

As shown in the Figure 1, the UAE has jumped to the 11th position in 2014 against the 13th in 2013 and the 15th in 2012. The United Arab Emirates reported a $9.6 billion inflow of FDI in 2012, up from $7.7 billion the year before. (A.T. Kearney Foreign Direct Investment Confidence Index, 2014. p. 20). Besides Dubai, the foreign direct investment policies in the UAE have to be applied on the national scale and would be preferably to open more industries to the foreign investors. As matter of fact, the World Expo 2020 which will be staged in the UAE represents an opportunity to revise the foreign ownership policies in order to bring more investments in the country.