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The Malfunctioning of the Gulf Cooperation Council Single Market: Features, Causes and Remedies

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  • Abdulghaffar, Mahmood
  • Al-Ubaydli, Omar
  • Mahmood, Omar
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    Abstract

    Five years after its inception, the Gulf Cooperation Council (GCC) single market is malfunctioning in a litany of ways: there remain restrictions on the movement of goods, capital and labor across political boundaries. This paper describes the GCC single market’s malfunctions. We also propose remedies, taking advantage of the single market experiences of, among others, the European Union. A key conclusion is that there is an absence of GCC supranational political institutions powerful enough to enforce rules, with the exception of the Supreme Council, which is itself not designed to deal with day-to-day issues such as enforcing a single market. Consequently, the GCC needs to alter its institutional structure if it wants the single market to operate correctly.

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    Bibliographic Info

    Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 55413.

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    Date of creation: 19 Apr 2014
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    Handle: RePEc:pra:mprapa:55413

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    Keywords: Single market; Economic integration; Gulf Cooperation Council;

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    1. Bottasso, Anna & Sembenelli, Alessandro, 2001. "Market power, productivity and the EU Single Market Program: Evidence from a panel of Italian firms," European Economic Review, Elsevier, vol. 45(1), pages 167-186, January.
    2. Buiter, Willem H, 2008. "Economic, Political, and Institutional Prerequisites for Monetary Union Among the Members of the Gulf Cooperation Council," CEPR Discussion Papers 6639, C.E.P.R. Discussion Papers.
    3. Magda Kandil & Mohamed Trabelsi, 2010. "Is The Announced Monetary Union In Gcc Countries Feasible? A Multivariate Structural Var Approach," Working Papers 522, Economic Research Forum, revised May 2010.
    4. Terry M. Moe, 2012. "Delegation, Control, and the Study of Public Bureaucracy
      [The Handbook of Organizational Economics]
      ," Introductory Chapters, Princeton University Press.
    5. Ali Darrat & Fatima Al-Shamsi, 2005. "On the path of integration in the Gulf region," Applied Economics, Taylor & Francis Journals, vol. 37(9), pages 1055-1062.
    6. Chris Allen & Michael Gasiorek & Alasdair Smith, 1998. "The competition effects of the Single Market in Europe," Economic Policy, CEPR & CES & MSH, vol. 13(27), pages 439-486, October.
    7. Michèle Belot & Sjef Ederveen, 2012. "Cultural barriers in migration between OECD countries," Journal of Population Economics, Springer, vol. 25(3), pages 1077-1105, July.
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