martes, 16 de diciembre de 2014

Socioeconomic issues on Egypt

Nature resources are limited in  Egypt related to it´s powerfull neighborhood that has oil sources.




Great economic development its associated to the Nilo river. American academic Acemoglu refers in his late book: Why nations fail, countries who based their economy on nature resources explotation hardly will achieve high development level.

Solution may be to invest on Education to produce a technological development. Improve the industrialization phenomena with the support of Science. This would make economy to develope, a stronger politic system and to abandon dependance on foreign countries.



The american autor says its necesary for nations to have strong institutions with a quality performance. With no doubt, this is not Egypt case, since it has a non estable politic and its continuos politic changes.

The Religion-Political mix has been negative, and the big investment on weapons in a geographic place with strong issues.

One solution could be to achieve stable relations with the neighborhood, which may diminished budget and power to war and weapons , and to invest it on productive áreas like Health, Infrastructure an Education.



To conclude, it´s hard for this kind of countries to develope because of strong countries nearby, and taking in count that war its a big business. It seems better to Egypt to keep depending on nature resource explotation, since as they´ll maintan poor, they´ll keep subordinate.

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