Karen E. Young

Senior Research Scholar, Center on Global Energy Policy, Columbia University’s School of International and Public Affairs

Karen E. Young is a political economist focusing on the Gulf, the broader Middle East and North Africa region, and the intersection of energy, finance, and security. She is a senior research scholar at the Columbia University Center on Global Energy Policy. She was a senior fellow and founding director of the Program on Economics and Energy at the Middle East Institute. She was a resident scholar at the American Enterprise Institute and has been a professorial lecturer at the George Washington University, teaching courses on the international relations of the Middle East. She regularly teaches at the U.S. Department of State Foreign Service Institute. Earlier, she was a senior resident scholar at the Arab Gulf States Institute in Washington and a research fellow at the Middle East Centre at the London School of Economics and Political Science. She led a seminar series on emerging markets in the Middle East and North Africa at the Johns Hopkins School of Advanced International Studies. At the American University of Sharjah, she served as an assistant professor of political science from 2009-14. Prior to joining AUS, she held research and administration roles at New York University in New York City.  

Young’s second book, The Economic Statecraft of the Gulf Arab States: Deploying Aid, Investment and Development Across MENAP, was published at the end of 2022 with I.B. Tauris/Bloomsbury. Her first book, The Political Economy of Energy, Finance and Security in the United Arab Emirates: Between the Majilis and the Market, was published by Palgrave Macmillan in 2014. She founded and wrote dozens of articles for Market Watch at the Arab Gulf States Institute in Washington. She has published articles in the Financial Times, Bloomberg, Foreign Affairs, Foreign Policy, Lawfare, Al Monitor, ORIENT, Oxford Analytica, Washington Institute for Near East Policy, the Conservative Middle East Council, The National and Gulf News, Journal of Arabian Studies, Georgetown Journal of International Affairs, Current History, Gulf Affairs, Security Dialogue, Internationale Politik, and Middle East Policy, among many academic and analytical outlets. Her comments have been featured on NPR, CBS, CBC, and AFP and in The New York Times, Financial Times, Bloomberg, The Wall Street Journal, The Washington Post, Reuters, Al Arabiya, Arab News, Debtwire, MEED, and MEES. Her work has been supported by grants from the Smith Richardson Foundation, Carnegie Corporation of New York, the Fulbright Program (Ecuador 1997-99; Bulgaria 2005-06), International Research and Exchange Board, American Council of Learned Societies, Woodrow Wilson Center, U.S. State Department Middle East Partnership Initiative, American Political Science Association MENA Fellows Program, and Emirates Foundation (via LSE).  

Book Launch – The Gulf States and the Horn of Africa: Interests, Influences and Instability

On April 7, AGSIW hosted a discussion examining the complex interactions between the Gulf Arab states and the countries of the Horn of Africa.

Petro Diplomacy 2021: Gulf Countries in a Net-Zero World

For the seventh consecutive year, AGSIW convened its Petro Diplomacy conference.

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The Geoeconomics of Reconstruction in Yemen

The conflict in Yemen has exacted a disastrous toll on the country. This paper considers the outside forces in the conflict, seeking to elucidate who they are, what the nature is of their involvement, and what their converging and conflicting interests mean for reconstruction.

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Spending to Grow in Saudi Arabia

Saudi Arabia is seeing some positive news in the return on investment in its outwardly placed capital in new technology.

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Privatization in Saudi Arabia: Vision 2030 Ready to Sell

There have been four important changes to the kingdom's economic policies that may pave the way for increased foreign investment, though not likely immediate job growth.

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A Home of One’s Own: Subsidized Housing as a Key Lever of Gulf Domestic Policy

Abu Dhabi Crown Prince Mohamed bin Zayed announced a new social support program for citizens in the emirate to double the number of the government's annual subsidized housing loans.

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Unwinding the JCPOA Opens Doors for China and Amplifies Risk in the Gulf

For traditional U.S. partners and allies in the Gulf and beyond, the unwinding of U.S. participation in the JCPOA will create some multidimensional consequences.

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Tying the Region in Knots: How the JCPOA is Tethered to Gulf Economic and Security Challenges

U.S. President Donald J. Trump faces a deadline for the recertification of sanctions relief on May 12, when a waiver of a key sanctions law expires, and would need to be renewed lest the sanctions provided for in that law snap back into force.

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Trade Wars and Bond-Offs: Side Effects of Tariffs and Tactical Borrowing Hit the Gulf

There are simultaneous efforts by Qatar and Saudi Arabia to attract investors for new bond issues this week. The “bond-off,” or race to sale, is yet a new example of the use of economic means to achieve political ends.

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U.S.-Saudi Economic Ties: Why Saudi Arabia Matters

Though the Oil Link may be broken, the United States and Saudi Arabia remain linked by economic and investment ties, energy markets and a shared interest in global economic stability.

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Saudi Economic Reform Update: Saudization and Expat Exodus

Saudization, or the reservation of certain jobs and sectors for Saudi nationals, is part of the government’s effort to transform its private sector.

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Payment Delayed: The Economic Risk of Gulf Contracting Practices

If you are in the construction business and a Gulf government is your client, be sure to be paid in advance.

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Oman’s Investment and Reform Strategy: “Slow and Go”

It is a difficult time in the Gulf to leverage public resources to meet growing demand for jobs, for infrastructure development, and for efforts to build economies less reliant on oil revenue.

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New Year, New Economic Pain

The new year is likely to bring some serious economic pain to parts of the Gulf, especially Saudi Arabia.

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Unlocking Growth: How the Gulf Security Sector Can Lead Economic Diversification

The vast reorganization of fiscal policy in the Gulf Arab states has upended decades of practice in cyclical government spending tied to oil revenue.

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Turkey-GCC Trade and Business Relations: Banking and Finance Sector Engagement

Financial ties between Gulf Cooperation Council (GCC) countries and Turkey mutually support economic growth and diversification.

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Corruption Purge Overshadows Stalled Reality of Saudi Economy

Saudi Arabia is in a period of top-down restructuring, creating risk and opportunity for its citizens and ruling family.

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Bahrain’s Road to Economic Reform: One Size Does Not Fit All

Bahrain’s current fiscal situation is evidence that sometimes, even with the right policy mix, generating growth can be difficult.

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Saudi Arabia’s Neom: State-Led Growth Meets New Global Capitalism

Mohammed bin Salman envisions a new kind of Saudi Arabia, or at least the opening of a space complete with yoga studios, beach resorts, and robots in place of migrant laborers. This is the image of Neom.

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UAE Fiscal Policy: Shining Light on Federal Resource Sharing

Government bonds are a popular remedy to budget deficits across the Gulf Cooperation Council states right now.

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The Cost of Private Education

Education is costly, and in the Gulf, it is becoming a very important component of private sector economic activity.

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The Coming Economic Disorder: The Political Perils of Economic Liberalization in the Gulf

Economic liberalization tends to bring with it social, if not always political, openings. By definition, liberalization challenges existing orders.

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How Egypt Wound Up in the Center of a Gulf Cooperation Council Dispute on Qatar

Egypt is at the ideological center of the ongoing dispute between Qatar and its fellow Gulf Cooperation Council members Saudi Arabia, the United Arab Emirates and Bahrain.

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Self-Imposed Barriers to Economic Integration in the GCC

Qatar has lodged a complaint with the World Trade Organization against the United Arab Emirates, Saudi Arabia, and Bahrain for blocking its air traffic and increasing the costs of basic food and medicine imports.

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Enter Erdogan: Turkey’s Economic Stake in the GCC Dispute

On the heels of the G-20 summit in Hamburg, Turkish President Recep Tayyip Erdogan announced plans to visit Kuwait, Saudi Arabia, and Qatar.

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Prioritizing Renewable Energy in a Time of Fiscal Austerity

Surging population growth, large-scale infrastructure investment, and economic development progress have led to increased energy demand in the GCC states.

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A New Politics of GCC Economic Statecraft: The Case of UAE Aid and Financial Intervention in Egypt

The Arab Gulf States (AGS), or the member states of the Gulf Cooperation Council (GCC) (Saudi Arabia, Kuwait, Oman, Bahrain, Qatar and the United Arab Emirates), have historically used foreign aid and humanitarian aid as a quiet tool of their respective foreign policies within the wider Middle East.

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Qatar Crisis Heightens Obstacles to the Economic Reform Agenda

The isolation of Qatar is but one example of how the politics of the Gulf Arab states are getting in the way of economic diversification and transformation.

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Isolating Qatar Reveals Economic Vulnerabilities of the GCC

The past week has witnessed an unprecedented escalation of tensions among the Gulf Cooperation Council states, culminating with Saudi Arabia, the United Arab Emirates, and Bahrain severing ties with Qatar.

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After the EU Global Strategy – Building Resilience

The six states of the Gulf Cooperation Council (GCC) – Saudi Arabia, Qatar, Kuwait, Bahrain, United Arab Emirates and Oman – are in a period of profound change, both economic and social.

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War at Any Price: Domestic and Regional Economic Consequences of Yemen’s Civil War

While the immediate costs to the Yemeni people have been clear, the future cost to Gulf neighbors, Saudi Arabia and the United Arab Emirates in particular, may be more than these states have estimated.

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Limited Benefits to U.S. Infrastructure in Saudi PIF Investment

One of the many deals that emerged from U.S. President Donald J. Trump’s visit to Saudi Arabia last week was the announcement of a $20 billion investment from the Saudi sovereign wealth fund, the Public Investment Fund (PIF), into Blackstone Group.

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As Reform Agenda Waffles, Citizens Take Life to the Streets

This post is part of an AGSIW series on Saudi Vision 2030, a sweeping set of programs and reforms adopted by the Saudi government to be implemented by 2030.

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The Lure of Technology in the Gulf

Gulf states are turning to technology as a placement for outward investment and as a source of generating jobs and economic growth in domestic markets.

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Economic Nationalism at the Expense of GCC Integration

There are a number of new tax initiatives unfolding across the Gulf Cooperation Council, the most publicized and cohesive of which is the value-added tax to be introduced collectively in 2018.

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Pricing the Trump Risk in Gulf Economies

U.S. financial markets reacted swiftly to the weekend’s flurry of mixed messages generated by President Donald J.

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The Gulf States' Foreign Policies

On December 29th, 2016 the Mitvim Institute and the Friedrich-Ebert-Stiftung hosted Dr.

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Reformers are Holding Ground: Saudi Arabia’s New Fiscal Policy

This post is part of an AGSIW series on Saudi Vision 2030, a sweeping set of programs and reforms adopted by the Saudi government to be implemented by 2030.

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Easing Labor Market Restrictions in the Gulf

Labor markets in the Gulf Cooperation Council states are notoriously rigid: in their protection of nationals in public sector employment, in the preferential treatment of nationals in ownership structures of private firms, and in the tight regulation of foreign workers’ mobility.

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Women’s Labor Force Participation Across the GCC

This paper examines women’s integration in the labor force in the Gulf Arab states, paying special attention to differences in public and private sector employment, and national and migrant female labor participation.

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Can the Saudi Economy Be Reformed?

The Gulf states are acknowledging a difficult truth: the oil and gas–powered, state-led economic development model that lifted them from isolation and poverty less than a century ago must change.

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Saudi Arabia’s Impeccable Timing in Debt Markets

This post is part of an AGSIW series on Saudi Vision 2030, a sweeping set of programs and reforms adopted by the Saudi government to be implemented by 2030.

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The Irony of Kuwait’s Economic Reform Agenda

On October 16, Kuwait’s Emir Sheikh Sabah al-Ahmed al-Sabah dissolved Parliament, citing concerns about security and finances in an era of reduced oil revenue.

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For Saudi Economic Reforms, Timing is Everything

This post is part of an AGSIW series on Saudi Vision 2030, a sweeping set of programs and reforms adopted by the Saudi government to be implemented by 2030.

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The Gulf’s Entanglement in Egypt

If experience is any guide, President Abdel Fattah al-Sisi’s management of the Egyptian economy is in for a rough ride.

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Failing Gulf Megafirms Leave Workers Broke and Stranded

In August, reports of workers, many of them construction laborers from India and the Philippines, laid off from their jobs without pay and without access to food or a way home, shocked citizens and residents of the Gulf and outsiders alike.

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The Korean Connection

There is an important, and unexpected, interlocutor in Saudi-Iranian relations right now.

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Regional Integration, Teachable Moments, and the Politics of Fear

The politics of integration across sovereign boundaries can be precarious, even fickle, as the British referendum to leave the European Union on June 23 illustrated.

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Smart(er) Money in the Gulf

The fiscal retrenchment unfolding across the Gulf Cooperation Council since the advent of lower oil prices in late 2014 is bound to have effects on the deployment of Gulf capital, particularly via sovereign wealth funds and state-owned investments.

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Book Review: The Gulf States in International Political Economy

The Gulf States in International Political Economy by Kristian Coates Ulrichsen is a welcome addition to scholarship on the growing economic and political power of the six states of the Gulf Cooperation Council: Saudi Arabia, Kuwait, Bahrain, Qatar, the United Arab Emirates and Oman.

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This Time We Mean It: Staying the Course on Economic Reforms

This post is part of an AGSIW series on Saudi Vision 2030, a sweeping set of programs and reforms adopted by the Saudi government to be implemented by 2030.

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Saudi’s Summer of Anticipation

This post is part of an AGSIW series on Saudi Vision 2030, a sweeping set of programs and reforms adopted by the Saudi government to be implemented by 2030.

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Understanding Vision 2030: Anticipating Economic Change in Saudi Arabia

This post is part of an AGSIW series on Saudi Vision 2030, a sweeping set of programs and reforms adopted by the Saudi government to be implemented by 2030.

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Business Politics in the Gulf

As much as things are changing in the Gulf Cooperation Council, in terms of the relationship between state and economy with the much-heralded post-oil transformation underway, there are many aspects of state-business relations that remain the same.

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Drop in the Bucket: Reduced Fuel Subsidies Offer Little Deficit Relief

The Gulf Cooperation Council states have drastically reduced subsidies of fuel, with the exception of Kuwait, which planned to reduce fuel subsidies but met stiff resistance from Parliament.

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Gulf Economic Statecraft Hits Lebanon

Hezbollah leader Hassan Nasrallah recently railed against the influence of Gulf money and political support in Lebanon.

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Declining Gulf States' Financial Support Adds to Egypt's Currency Woes

The Egyptian central bank devalued the pound on March 14, in a long expected move that sought to find a middle ground between the black market trade value of the Egyptian pound and the government’s de facto peg to the U.S.

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Blood in the Water: Speculation on Gulf Currency Pegs Misses First Victims of Downturn

Hedge fund sharks and currency speculators are circling the Gulf states right now, in search of market opportunities in the wake of the deteriorating fiscal balances of oil rich governments.

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Tough Love or Useful Ally? IMF Recommendations for Taxes in GCC

Christine Lagarde, managing director of the International Monetary Fund, paid a visit to the United Arab Emirates this week.

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The Perfect Storm: Labor Markets and Economic Downturn in the Gulf

The prolonged slump in oil prices continues to disrupt the economic development model of the Arab Gulf states.

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Economic Reform Barometer

Austerity, subsidy cuts, and diversification are buzz words in the Gulf states right now.

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Exuberance in Europe, Restraint in America: Iran Sanctions Realities

Since the U.S.-led nuclear deal with Iran took effect on January 16, Iran has orchestrated a flurry of diplomatic activity between European trade ministers, while courting attention from Russia and China.

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Enter China: The New Bilateral Middle East Aid-Security-Trade Nexus

Perhaps a legacy of the Obama administration will be a Middle East that is more engaged with bilateral ties that go East and not just West.

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Market Watch: GCC Bank Sector Under Pressure

The commercial bank sector across the Gulf Cooperation Council is a product of a particular pattern of economic development that has relied heavily on state investment in, and (at least partial) state ownership of, major industry.

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Market Watch: New Year, Same Economy

Flaming tensions between Iran and Saudi Arabia this week did little to spike oil prices.

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Regional Politics Impact GCC Economic Reforms

Of all of the possible economic reforms to help Gulf states meet the demands of current fiscal spending amidst the decline in revenues from oil exports, a coherent and shared GCC tax regime is not one of them.

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Market Watch: Gulf States' Fiscal Situation Accelerates Consensus for Economic Reform

The Gulf economic model has historically envisioned the state as an engine of growth, a source of employment, and as a provider of a range of social and economic benefits, including healthcare, housing, subsidized energy, and free education.

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Market Watch: Why Renewable Energy Makes Sense for the UAE

The major drivers behind the UAE’s commitment to renewable energy are both political and economic in nature.

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Market Watch: Egypt’s Economic Recovery Linked to Gulf Banks and Foreign Investment

When Egyptian President Abdel Fatah al-Sisi confidently addressed Arab Gulf heads of state and foreign ministers and delegates of the Manama Dialogue on Friday, he made no mention of a continued need of Gulf aid and loans to Egypt, instead his remarks focused on regional security cooperation and the preference for Arab state-led intervention in Middle East conflicts.

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Market Watch: It’s all in the Financing – Renewable Energy Potential in the GCC and Iran

In the heat of the Gulf summer, Dubai closed a deal to build solar power plants that will produce renewable energy at the world’s lowest production cost, 5.98 U.S.

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Market Watch: “Monetizing Assets” – Has a Great Gulf Sell-Off Begun?

As early as March, oil and gas producing countries from Angola to Saudi Arabia began selling assets to offset declining energy prices.

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Refugee Crisis and Economic Migration: Regional Economic Interdependence and the Arab Gulf States

The institutional design of the Arab Gulf states sought to build economic capacity, social services, and basic infrastructure for small citizen populations.

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Markets Serving States: The Institutional Bases of Financial Governance in the Gulf Cooperation Council States

Institutionalization in the Gulf Cooperation Council (GCC) states is proceeding within the financial sector in many ways as a result of economic growth, rather than as a precursor or foundation of economic growth.

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Economic Institutions on Demand: Evolving Financial Governance in the Gulf Cooperation Council States

Georgetown Journal of International Affairs: 16.2 Happy Birthday, UN Institutionalization in the Gulf Cooperation Council (GCC) States is proceeding within the financial sector in many ways as a result of economic growth, and as Gulf states create new economic institutions to govern their markets, they are also creating a framework that can both limit and enable broader political goals of financial and economic statecraft.

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Book Review – The Wages of Oil: Parliaments and Economic Development in Kuwait and the UAE

Perspectives on Politics, Volume 13, Issue 03, September 2015, pp 898-899 Michael Herb is an accomplished scholar of the Gulf Arab states and his new book appeals to the growing academic and policy interest in the sub-region.

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Market Watch: Volatile Global Markets and the Arab Gulf States

The equities market rout on Monday left the Shanghai Composite Index down over 40 percent from its peak in June.

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Market Watch: From Lenders to Borrowers: The New Public Finance of the Arab Gulf States

Governments generally make bad loan customers, as seizing territory is generally not possible for banks trying to collect unpaid loans.

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Seizing the Moment: Why Fuel Deregulation is Happening Now in the UAE

The United Arab Emirates has done the unthinkable among many rentier economies by reducing petrol subsidies and tying the price of fuel to international markets.

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Imagining Economic Opportunity in Iran

While a nuclear agreement between Iran and the P5+1 is a diplomatic breakthrough, there has also been a massive realignment of investment and infrastructure targets across the Middle East that has been in process for many months, if not years, in anticipation of this week’s announcement.

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The Limits of Gulf Arab Aid: Energy Markets and Foreign Policy

Abstract The Arab Gulf States (AGS), or the member states of the Gulf Cooperation Council (Saudi Arabia, Kuwait, Oman, Bahrain, Qatar and the United Arab Emirates), have historically used foreign aid and humanitarian aid as a quiet tool of their respective foreign policies within the wider Middle East.