Smart Development

Abstract

Nations that have sought to overcome the resource curse and other barriers to economic growth have pursued, for some time, greater development through a number of strategies: from import substitution in the 1950s to current strategies based on micro-finance and human-capabilities approaches. Needless to say, the international community is still searching for the elusive Holy Grail of an optimal development strategy. One strategy that has attracted greater attention and a growing number of adherents is that of promoting the transition to a knowledge economy. This paper is about one such nation, Saudi Arabia. In analyzing the Kingdom’s quest for a knowledge economy, this article hopes to shed light on the anatomy of the strategy itself and identify important preconditions for and barriers to the strategy’s success. The case study of Saudi Arabia’s quest for a knowledge economy carries important implications and lessons for other nations, especially those with resource economies that are seeking effective plans of economic development and transition.