Resource Curse Reduction through Innovation - A Blessing for All - The Case of Kuwait Resource Curse Reduction through Innovation - A Blessing for All - The Case of Kuwait By Meshaal Jaber Al Ahmad Al Sabah Resource Curse Reduction through Innovation - A Blessing for All - The Case of Kuwait, by Meshaal Jaber Al Ahmad Al Sabah This book first published 2013 Cambridge Scholars Publishing 12 Back Chapman Street, Newcastle upon Tyne, NE6 2XX, UK British Library Cataloguing in Publication Data A catalogue record for this book is available from the British Library Copyright © 2013 by Meshaal Jaber Al Ahmad Al Sabah All rights for this book reserved. No part of this book may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior permission of the copyright owner. ISBN (10): 1-4438-4216-8, ISBN (13): 978-1-4438-4216-7 I dedicate this book in memory of my father Sheikh Jaber Al Ahmad Al Jaber Al Sabah who firmly established in me a sense of moral and ethical thinking, to my mother who gave me the love of life, to my wife, brothers and sisters who gave me a life of love, and to my beloved country The State of Kuwait. TABLE OF CONTENTS List of Tables...............................................................................................x List of Figures............................................................................................xii Acknowledgements..................................................................................xiii Summary..................................................................................................xiv Chapter One.................................................................................................1 Introduction and Overview of the Study 1.1 Introduction 1.2 Purpose of this study - innovation in the “blessing-curse” context 1.3 Defining innovation within the context of this study 1.4 Innovation and the resource curse hypothesis 1.5 Systematic approach 1.6 Chapter outline 1.7 Conclusion Chapter Two..............................................................................................16 Literature Survey: The Resource Curse 2.1 Introduction 2.2 Conceptualizing the resource curse and blessing 2.3 The presence of a resource curse 2.4 Resource curse: the transmission mechanism 2.5 Decision making within the confines of the resource curse 2.6 Curse effects – political and social issues 2.7 Kuwait within this context 2.8 Resource curse and governance 2.9 Conclusion viii Table of Contents Chapter Three............................................................................................49 The Political and Economic Development Framework 3.1 Introduction 3.2 Social changes in Kuwait from an historical perspective 3.3 Constitutional imperatives driving change 3.4 Kuwaiti economic growth and development 3.5 Kuwait seeking growth and development in the new millennium 3.6 Institutions supporting innovation in Kuwait 3.7 Conclusion Chapter Four..............................................................................................83 Leveraging Innovation and Increasing Return on Innovation for Long Term Security 4.1 Introduction 4.2 National systems of innovation – EU Survey of Innovation 4.3 Improving the innovation performance of the EU 4.4 National innovation systems in Kuwait 4.5 Progress of Kuwait towards fulfillment of national policies and strategies 4.6 Socio-economic imperatives of Kuwait 4.7 Innovation in context 4.8 The role of the state and national ‘systems’ of Innovation 4.9 How national states can facilitate innovation 4.10 Kuwait’s future depends on innovation 4.11 The promotion and facilitation of technological innovation 4.12 A review of models of innovation 4.13 Innovation as a driver of economic growth in Kuwait 4.14 Innovation capacity in the Gulf and Kuwait 4.15 Results of the public finances 4.16 Innovation in the commercial and financial service sectors 4.17 Recorded results of Kuwait’s competitive ability 4.18 The Kuwaiti Workforce 4.19 Innovation and education 4.20 Human growth and development: health initiatives 4.21 Conclusion Resource Curse Reduction through Innovation ix Chapter Five............................................................................................147 Conclusions 5.1 Introduction 5.2 Evaluation of innovation in Kuwait 5.3 The revealing of dilemma facing Kuwait 5.4 The need for innovation, diversification and knowledge creation 5.5 Leveraging innovation for long term security 5.6 Implication for further work 5.7 The challenges encountered 5.8 Implications for future research – innovation in relation to productivity 5.9 Common good for all 5.10 Final thoughts Bibliography............................................................................................159