nep-ara New Economics Papers
on MENA - Middle East and North Africa
Issue of 2025–02–17
eight papers chosen by
Paul Makdissi, Université d’Ottawa


  1. Targeting in development projects in Egypt: Approaches, challenges, and lessons learned By Shokry, Nada; Jovanovic, Nina; Kurdi, Sikandra; Hamdy, Adham; Elkaramany, Mohamed
  2. Would you rather? Household choice between cash transfers or an economic inclusion program By Allen IV, James; Gilligan, Daniel O.; Kurdi, Sikandra; Yassa, Basma
  3. Increasing Tariffs on Almond and Walnut Exports to Turkey By Beckman, Jayson; Jarrell, Philip; Morgan, Stephen
  4. The Arab League and the Nationalism Dilemma By Khemis Mohammed
  5. Don’t spend it all in one place: The medium-term effects of a national cash transfer program on household well-being By Karachiwalla, Naureen; Gilligan, Daniel O.; Kurdi, Sikandra
  6. Building CoPS Capability for Catching Up During Transitions By Mita, Kaori; Iizuka, Michiko
  7. The Economic Impacts of Flooding in Egyptian Port Cities By Eduardo Amaral Haddad; Inácio F. Araújo; Dina N. Elshahawany; João Gabriel Sacco; Maria Carolina Rogelis-Prada; Antonios Pomonis; Guillermo Toyos; Hogeun Park
  8. Sanctions: Strike as a War, Perceived as an Economic Crisis By Reza Asadian

  1. By: Shokry, Nada; Jovanovic, Nina; Kurdi, Sikandra; Hamdy, Adham; Elkaramany, Mohamed
    Abstract: Effective targeting strategies are vital for almost all development programs. Universal approaches which provide aid to all individuals regardless of need are not always feasible given limited budgets and varying development priorities. Conversely, targeting directs resources to those in greatest need, ensures efficient allocation while upholding principles of social justice, equality, and the right to assistance. This policy note summarizes the outcomes of a workshop held in Cairo on October 20, 2023, which brought together researchers, development practitioners, and policymakers. The high-level dialogue was part of the “Bridging Evidence and Policy†(BEP) seminar series, a collaborative initiative by the Egyptian Food Bank (EFB), the International Food Policy Research Institute (IFPRI), and the Sawiris Foundation for Social Development (SFSD). The BEP series serves as a platform for knowledge exchange and collaborative learning among donors, local and international implementers, and government representatives, with a focus on improving targeting in development projects. This note highlights the key discussions, offering insights into best practices and recommendations to enhance the effectiveness of program targeting.
    Keywords: EGYPT, ARAB COUNTRIES, MIDDLE EAST, NORTH AFRICA, AFRICA, targeting, development projects
    Date: 2024
    URL: https://d.repec.org/n?u=RePEc:fpr:menapn:26
  2. By: Allen IV, James; Gilligan, Daniel O.; Kurdi, Sikandra; Yassa, Basma
    Abstract: We study households’ choice between continued cash transfers and a new economic inclusion program—two global prevalent social protection programs—offered by the Egyptian government. Lower-than-expected early adoption of the new program is correlated with differing perceptions on its design. We randomize official messaging to households describing the new program’s (i) consumption support duration and (ii) income-earning potential. Both treatments increase respondents’ likelihood of recommending the new program. A theoretical model estimated using households’ perceptions of program design predicts interest in the new program, and how it diminishes with increasing effort costs, asset loss probability, risk aversion and loss aversion.
    Keywords: social protection; poverty; poverty reduction; cash transfers; Africa; Northern Africa; Egypt
    Date: 2024
    URL: https://d.repec.org/n?u=RePEc:fpr:menawp:44
  3. By: Beckman, Jayson; Jarrell, Philip; Morgan, Stephen
    Abstract: The retaliatory tariffs against U.S. agricultural exports emerging in mid-2018 have been removed by all countries except for China and Turkey. The tariffs put in place by Turkey largely targeted U.S. tree-nut exports. As of November 2023, Turkey increased the most-favored-nation duty, the tariff that all World Trade Organization members pay, on almonds and walnuts, which further increased the tariff on U.S. exports. This report used a computable general equilibrium model to estimate the impacts to U.S. tree-nut exports from the higher tariff. In addition to the most-favored-nation tariff, the authors examined nontariff barriers that push the effective tariff rate for almonds and walnuts sometimes beyond Turkey’s bound rate (the highest tariff allowed by the World Trade Organization) for imports of tree nuts. The report uses that information to consider a scenario that applied the bound rate for almonds and walnuts to Turkey’s imports. Results indicate that Turkey decreases imports of tree nuts from the United States (and the world) if most-favored-nation tariffs are increased. The effects are magnified if the bound rates are considered. Results from the model indicate that increasing most-favored-nation rates would lead to decreases in U.S. exports to Turkey of almonds by 19.4 percent and walnuts by 26.6 percent.
    Keywords: International Relations/Trade
    Date: 2025–02
    URL: https://d.repec.org/n?u=RePEc:ags:uerseb:349305
  4. By: Khemis Mohammed (University of Kasdi Merbah, Ouargla, Algeria)
    Abstract: Since the Arab League (AL) was founded in 1945, it has frequently been the target of harsh criticism. Additionally, AL's members' conflicting interests–which later became a highly polarized situation–were a result of both their diminishing credibility and their inability to come to a sincere agreement on the fundamental problems. These issues prevented the building from making any more progress in the future. Despite assertions to the contrary, the AL has persistently worked to maintain its piecemeal approach, arguing that Arab unity was its “raison d'être.†It is evident from certain clauses in the founding charter of the AL that the requirement for unanimity over adopted decisions has had a negative impact on the organization's development, as opposed to clauses that preserve the status quo of relationships between Arab states or the unquestionable reverence of each member state's sovereignty. Using theories of IR that offer a deeper understanding of the underlying causes of these institutional deadlocks, this study has also addressed the issue of Arab nationalism by testing its hypotheses in light of Neorealist and social constructivist findings, reviewing the institutional and theoretical framework behind the current structural anomalies within the AL. Thus, if Arab governments choose to adopt a Neorealist premise that in a society governed by self-help mechanisms, the materialistic, selfish viewpoint will continue to dominate state mentality. None could offer a thorough justification for the Arab state's decision to set aside its self-interest in favor of an established transnational organization like AL.
    Keywords: The Arab League, Arab nationalism, inter-subjectivity, international system
    Date: 2024–08
    URL: https://d.repec.org/n?u=RePEc:smo:raiswp:0488
  5. By: Karachiwalla, Naureen; Gilligan, Daniel O.; Kurdi, Sikandra
    Abstract: Cash transfer programs are often effective at increasing household consumption in their early years, but impacts become more nuanced over time as the use of transfers varies. This paper examines the medium-term effects of Egypt’s f lagship cash transfer program, Takaful, on several measures of household wellbeing using a regression discontinuity (RD) design. Findings reveal no significant impacts on household consumption (total, food or non-food), but notable decreases in monthly wage income that are comparable in magnitude to the average monthly transfer. Employment patterns are suggestive of a decrease in hours worked in formal labour among men. There are positive effects on asset ownership, particularly productive assets, indicating a shift toward longer-term investments. Reductions in informal debt suggest improved financial health among beneficiaries and increases in enrollment in primary and preparatory school suggest increased human capital investment as well. These results underscore the potential of cash transfer programs to foster economic stability and investments in the future, even in the absence of significant immediate consumption effects.
    Keywords: cash transfers; consumption; assets; investment; schools; health; Africa; Northern Africa; Egypt
    Date: 2024
    URL: https://d.repec.org/n?u=RePEc:fpr:menawp:45
  6. By: Mita, Kaori; Iizuka, Michiko
    Abstract: The energy transition is said to create emerging “green windows of opportunity (GWO)” in developing countries. On the other hand, many latecomer countries remain importers and users of renewables and clean energy technologies. Renewable energy deployment projects are considered complex systems and products (CoPS) that are capital-intensive, client-driven, and complex economic activities. Previous research on catching up in CoPS has concentrated on large engineering projects, focusing on technological aspects and the role of government interventions at different developmental stages, especially the creation of domestic markets. As many latecomer countries are users of emerging renewable energy technologies, the creation of domestic markets through government interventions is considered essential for successful transitions and capability upgrading to take place. However, capability upgrading and the transition to renewable energy can also occur without the initial presence of a domestic market and strong governmental support, as demonstrated by the case of ACWA Power, a project developer in a latecomer country, in Saudi Arabia. This case shows that upgrading of organizational capabilities took place as the firm engaged in projects in the external market to deploy renewable energy, taking advantage of the GWO. The case suggests that the CoPS can be a viable pathway for catching up in the emerging renewable energy sector, enabling firms to transition and build their organizational capabilities from project-based learning when GWOs are effectively leveraged.
    JEL: O31 O32 O33
    Date: 2024–07–12
    URL: https://d.repec.org/n?u=RePEc:unm:unumer:2024015
  7. By: Eduardo Amaral Haddad; Inácio F. Araújo; Dina N. Elshahawany; João Gabriel Sacco; Maria Carolina Rogelis-Prada; Antonios Pomonis; Guillermo Toyos; Hogeun Park
    Abstract: This study evaluates the economic costs for three Egyptian coastal cities of catastrophic flooding resulting from either sea-level rise or intense rainfall. Using a computable general equilibrium (CGE) framework, we assess the higher-order impacts of physical capital loss on both regional and national economies. Leveraging global flood hazard maps for various scenarios and return periods, and a 100-meter-resolution buildings-exposure model, which estimates the replacement value of residential and non-residential buildings at each floor level, we estimate the share of physical capital at risk. Our analysis covers Egypt’s main port cities on the Mediterranean Sea (Alexandria, Damietta, and Port Said), taking into account seven scenarios and three intensities of destruction. Results indicate significant variability in economic impacts, with coastal flooding due to sea-level rise posing a more substantial threat to Port Said and Damietta, whereas pluvial flooding from intense rainfall would more heavily impact Alexandria. The findings underscore the need for targeted investments in climate resilience, particularly for coastal infrastructure, to mitigate future economic losses.
    Date: 2025–01
    URL: https://d.repec.org/n?u=RePEc:ocp:rpaeco:pp02_25
  8. By: Reza Asadian (Keio University, Graduate School of Media and Governance, Tokyo, Japan)
    Abstract: This research note provides preliminary results, observations, and insights from an ongoing project investigating the impact of sanctions, particularly following the 2018 U.S. withdrawal from the Joint Comprehensive Plan of Action (JCPOA), on Iranian public opinion. The project aims to explore why these sanctions did not trigger a "rally around the flag" effect, commonly seen in times of foreign intervention or conflict. Instead, the sanctions revealed deep internal divisions and widespread dissatisfaction with the Iranian government's mismanagement of the economic crisis. The central hypothesis of this research is that sanctions exhibit a dual nature. On the one hand, sanctions act as a form of foreign intervention that could potentially lead to the unifying "rally around the flag" effect. On the other hand, they function as an economic crisis, which amplifies public frustration and dissatisfaction with the sitting government. This research emphasizes the importance of understanding Iranian public opinion and behavior, in order to determine whether sanctions were perceived primarily as an act of war or as an economic catastrophe.
    Keywords: sanction, nationalism, public opinion, JCOPA
    Date: 2024–08
    URL: https://d.repec.org/n?u=RePEc:smo:raiswp:0474

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