IDEAS home Printed from https://ideas.repec.org/a/jis/ejistu/y2020i01id437.html
   My bibliography  Save this article

Concentration of Economic Activities in the Kingdom of Saudi Arabia

Author

Listed:
  • HAMIDOUCHE M’hamed
  • BOURCHID ABDELKADER Salim

Abstract

The comprehension of economic aggregates at the spatial level is important because it allows knowing the characteristics of each geographic region. So, the estimates of the economic activity's concentration in the Kingdom of Saudi Arabia that we developed are based on aggregated data from the national system of economic statistics which are based on an administratively determined geographical area scale. These concentrations are expressed as indexes, known as Hoover's which reveals a high concentration of the trade and construction sector in the Kingdom of Saudi Arabia, while the Kingdom's Gini index make known that was an equal distribution of wages. Whereas, the similar indexes which are Ellison-Glaeser and Maurel & Sédillot, reveal a strong concentration located in the cities of Riyadh, Makkah and Easte province. In addition, the Herfindahl index illustrates that Mining and quarrying is the sector that provides more jobs. And from another point of view, the Krugman index indicates that financial and insurance sector activity is a specialization in the Kingdom. It’s therefore appropriate to note that our concentration measurements are derived from aggregated data on economic activities in a spatial dimension defined by the administrative areas of the Kingdom of Saudi Arabia.

Suggested Citation

  • HAMIDOUCHE M’hamed & BOURCHID ABDELKADER Salim, 2020. "Concentration of Economic Activities in the Kingdom of Saudi Arabia," European Journal of Interdisciplinary Studies, Bucharest Economic Academy, issue 01, March.
  • Handle: RePEc:jis:ejistu:y:2020:i:01:id:437
    as

    Download full text from publisher

    File URL: https://ejist.ro/files/pdf/437.pdf
    Download Restriction: no

    File URL: https://ejist.ro/abstract/437/Concentration-of-Economic-Activities-in-the-Kingdom-of-Saudi-Arabia.html
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Shorrocks, A F, 1980. "The Class of Additively Decomposable Inequality Measures," Econometrica, Econometric Society, vol. 48(3), pages 613-625, April.
    2. Thibault Lagache & Gabriel Lang & Nathalie Sauvonnet & Jean-Christophe Olivo-Marin, 2013. "Analysis of the Spatial Organization of Molecules with Robust Statistics," PLOS ONE, Public Library of Science, vol. 8(12), pages 1-7, December.
    3. Rysman, Marc & Greenstein, Shane, 2005. "Testing for agglomeration and dispersion," Economics Letters, Elsevier, vol. 86(3), pages 405-411, March.
    4. Ciccone, Antonio & Hall, Robert E, 1996. "Productivity and the Density of Economic Activity," American Economic Review, American Economic Association, vol. 86(1), pages 54-70, March.
    5. Tomoya Mori & Koji Nishikimi & Tony E. Smith, 2005. "A Divergence Statistic for Industrial Localization," The Review of Economics and Statistics, MIT Press, vol. 87(4), pages 635-651, November.
    6. Brown, Malcolm C., 1994. "Using gini-style indices to evaluate the spatial patterns of health practitioners: Theoretical considerations and an application based on Alberta data," Social Science & Medicine, Elsevier, vol. 38(9), pages 1243-1256, May.
    7. K. J. Arrow, 1971. "The Economic Implications of Learning by Doing," Palgrave Macmillan Books, in: F. H. Hahn (ed.), Readings in the Theory of Growth, chapter 11, pages 131-149, Palgrave Macmillan.
    8. Pyatt, Graham, 1976. "On the Interpretation and Disaggregation of Gini Coefficients," Economic Journal, Royal Economic Society, vol. 86(342), pages 243-255, June.
    9. Ellison, Glenn & Glaeser, Edward L, 1997. "Geographic Concentration in U.S. Manufacturing Industries: A Dartboard Approach," Journal of Political Economy, University of Chicago Press, vol. 105(5), pages 889-927, October.
    10. Leslie Hannah & J. A. Kay, 1977. "Concentration in Modern Industry," Palgrave Macmillan Books, Palgrave Macmillan, number 978-1-349-02773-6, December.
    11. Combes, Pierre-Philippe, 2000. "Economic Structure and Local Growth: France, 1984-1993," Journal of Urban Economics, Elsevier, vol. 47(3), pages 329-355, May.
    12. Eric Marcon & Florence Puech, 2009. "Generalizing Ripley's K function to inhomogeneous populations," Working Papers halshs-00372631, HAL.
    13. Cowell, Frank A, 1988. "Inequality Decomposition: Three Bad Measures," Bulletin of Economic Research, Wiley Blackwell, vol. 40(4), pages 309-312, October.
    14. Eric Marcon & Florence Puech, 2003. "Evaluating the Geographic Concentration of Industries Using Distance-Based Methods," Post-Print halshs-00372646, HAL.
    15. Silber, Jacques, 1989. "Factor Components, Population Subgroups and the Computation of the Gini Index of Inequality," The Review of Economics and Statistics, MIT Press, vol. 71(1), pages 107-115, February.
    16. Atkinson, Anthony B., 1970. "On the measurement of inequality," Journal of Economic Theory, Elsevier, vol. 2(3), pages 244-263, September.
    17. Maurel, Francoise & Sedillot, Beatrice, 1999. "A measure of the geographic concentration in french manufacturing industries," Regional Science and Urban Economics, Elsevier, vol. 29(5), pages 575-604, September.
    18. Dagum, Camilo, 1987. "Measuring the Economic Affluence between Populations of Income Receivers," Journal of Business & Economic Statistics, American Statistical Association, vol. 5(1), pages 5-12, January.
    19. GUILLAIN, Rachel & LE GALLO, Julie, 2007. "Agglomeration and dispersion of economic activities in Paris and its surroundings : An exploratory spatial data analysis," LEG - Document de travail - Economie 2007-01, LEG, Laboratoire d'Economie et de Gestion, CNRS, Université de Bourgogne.
    20. Frank A. Cowell & Fatemeh Mehta, 1982. "The Estimation and Interpolation of Inequality Measures," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 49(2), pages 273-290.
    21. Arbia, G. & Espa, G. & Giuliani, D. & Mazzitelli, A., 2012. "Clusters of firms in an inhomogeneous space: The high-tech industries in Milan," Economic Modelling, Elsevier, vol. 29(1), pages 3-11.
    22. Eric Marcon & Florence Puech, 2003. "Evaluating the geographic concentration of industries using distance-based methods," Journal of Economic Geography, Oxford University Press, vol. 3(4), pages 409-428, October.
    23. Eric Marcon & Florence Puech, 2003. "Evaluating the Geographic Concentration of Industries Using Distance-Based Methods," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00372646, HAL.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. William R. Kerr & Scott Duke Kominers, 2015. "Agglomerative Forces and Cluster Shapes," The Review of Economics and Statistics, MIT Press, vol. 97(4), pages 877-899, October.
    2. Marcon, Eric & Puech, Florence, 2017. "A typology of distance-based measures of spatial concentration," Regional Science and Urban Economics, Elsevier, vol. 62(C), pages 56-67.
    3. HAEDO, Christian & MOUCHART, Michel, 2012. "A stochastic independence approach for different measures of concentration and specialization," LIDAM Discussion Papers CORE 2012025, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    4. Barlet, M. & Briant, A. & Crusson, L., 2013. "Location patterns of service industries in France: A distance-based approach," Regional Science and Urban Economics, Elsevier, vol. 43(2), pages 338-351.
    5. Lafourcade, Miren & Mion, Giordano, 2007. "Concentration, agglomeration and the size of plants," Regional Science and Urban Economics, Elsevier, vol. 37(1), pages 46-68, January.
    6. Cutrini, Eleonora, 2009. "Using entropy measures to disentangle regional from national localization patterns," Regional Science and Urban Economics, Elsevier, vol. 39(2), pages 243-250, March.
    7. Di Giacinto, Valter & Pagnini, Marcello, 2011. "Local and global agglomeration patterns: Two econometrics-based indicators," Regional Science and Urban Economics, Elsevier, vol. 41(3), pages 266-280, May.
    8. Nakajima, Kentaro & Saito, Yukiko Umeno & Uesugi, Iichiro, 2012. "Measuring economic localization: Evidence from Japanese firm-level data," Journal of the Japanese and International Economies, Elsevier, vol. 26(2), pages 201-220.
    9. Stéphane Mussard & Françoise Seyte & Michel Terraza, 2006. "La décomposition de l’indicateur de Gini en sous-groupes : une revue de la littérature," Cahiers de recherche 06-11, Departement d'économique de l'École de gestion à l'Université de Sherbrooke.
    10. Valter Di Giacinto & Marcello Pagnini, 2008. "Agglomeration within and between regions: Two econometric based indicators," Temi di discussione (Economic working papers) 674, Bank of Italy, Economic Research and International Relations Area.
    11. Bickenbach, Frank & Bode, Eckhardt, 2006. "Disproportionality measures of concentration, specialization, and polarization," Kiel Working Papers 1276, Kiel Institute for the World Economy (IfW Kiel).
    12. Giulio Cainelli & Roberto Ganau & Yuting Jiang, 2020. "Detecting space–time agglomeration processes over the Great Recession using firm-level micro-geographic data," Journal of Geographical Systems, Springer, vol. 22(4), pages 419-445, October.
    13. Valerien O. Pede & Raymond J. G. M. Florax & Henri L. F. de Groot & Gustavo Barboza, 2021. "Technological leadership and sectorial employment growth: A spatial econometric analysis for U.S. counties," Economic Notes, Banca Monte dei Paschi di Siena SpA, vol. 50(1), February.
    14. Gilles Duranton & Henry G. Overman, 2005. "Testing for Localization Using Micro-Geographic Data," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 72(4), pages 1077-1106.
    15. Nicole Palan, 2010. "Measurement of Specialization – The Choice of Indices," FIW Working Paper series 062, FIW.
    16. Stéphane Mussard & Michel Terraza, 2009. "Décompositions des mesures d'inégalité : le cas des coefficients de Gini et d'entropie," Recherches économiques de Louvain, De Boeck Université, vol. 75(2), pages 151-181.
    17. Diego Giuliani & Giuseppe Arbia & Giuseppe Espa, 2014. "Weighting Ripley’s K-Function to Account for the Firm Dimension in the Analysis of Spatial Concentration," International Regional Science Review, , vol. 37(3), pages 251-272, July.
    18. Maria Dav? & Isidora Barbaccia, 2015. "Measuring agglomeration by spatial effects: a proposal," RIVISTA DI ECONOMIA E STATISTICA DEL TERRITORIO, FrancoAngeli Editore, vol. 2015(1), pages 44-70.
    19. Ludwig von Auer & Andranik Stepanyan & Mark Trede, 2019. "Classifying industries into types of relative concentration," Journal of the Royal Statistical Society Series A, Royal Statistical Society, vol. 182(3), pages 1017-1037, June.
    20. repec:elg:eechap:14395_6 is not listed on IDEAS
    21. Karsten Rusche & Uwe Kies & Andreas Schulte, 2011. "Measuring spatial co-agglomeration patterns by extending ESDA techniques," Review of Regional Research: Jahrbuch für Regionalwissenschaft, Springer;Gesellschaft für Regionalforschung (GfR), vol. 31(1), pages 11-25, June.

    More about this item

    Keywords

    spatial concentration; specialization; economic integration;
    All these keywords.

    JEL classification:

    • P35 - Political Economy and Comparative Economic Systems - - Socialist Institutions and Their Transitions - - - Public Finance
    • P47 - Political Economy and Comparative Economic Systems - - Other Economic Systems - - - Performance and Prospects
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:jis:ejistu:y:2020:i:01:id:437. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Alina Popescu (email available below). General contact details of provider: https://edirc.repec.org/data/frasero.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.