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1. Labor Market Nationalization Policies and Firm Outcomes: Evidence from Saudi Arabia

Author:
Patricia Cortes, Semiray Kasoolu, and Carolina Pan
Publication Date:
07-2020
Content Type:
Working Paper
Institution:
The John F. Kennedy School of Government at Harvard University
Abstract:
Saudi Arabia is home to the world’s third largest migrant population. Under mounting pressure to increase the private sector employment of Saudis during the last decade, a series of nationalization policies on the labor force have been imposed since late 2011. In this paper, we study how the first nationalization policy, Nitaqat, affected the overall labor market and non-oil firms in the private sector, especially exporting firms. Our rich and novel data allow us to assess the effect of the policy on a wide set of outcomes: employment decisions by composition and size, the output and productivity of exporting firms, labor costs, and exit from the market. Using a difference-in-difference analysis, we compare the 2011 to 2012 change in outcomes between firms above and firms below the threshold required for the minimum share of Saudi workers in a firm. Our results suggest that the policy succeeded in encouraging firms to increase the share of Saudis in private firms. It also increased the share of Saudi women in the workforce, suggesting that the policy had a positive effect on increasing female labor force participation. However, these gains came at a very high cost to firms: our findings suggest that the policy led to a reduced firm size, reduced productivity and output of exporting firms, increased wage bill, increased share of low-skilled Saudi workers, and higher firm exit rates.
Topic:
Business, Labor Market, and Nationalization
Political Geography:
Saudi Arabia and Gulf Nations

2. Current law constraining the President: a series on Congress’s options to limit arms sales and aid to Saudi Arabia, part 2

Author:
Jacques Singer-Emery
Publication Date:
01-2019
Content Type:
Journal Article
Journal:
Harvard Journal of Middle Eastern Politics and Policy
Institution:
The John F. Kennedy School of Government at Harvard University
Abstract:
This is the second of a three-part essay series on the different paths the U.S. Congress might take to limit Washington’s support for the Saudi-led coalition in Yemen. As explained in Part 1 of this series, the Trump administration’s continued support for the Saudi coalition’s war in Yemen has triggered a range of Congressional responses. Although Congress faces challenges in passing new legislation to denounce Saudi Arabia’s actions in Yemen and its killing of Jamal Khashoggi, the White House’s Saudi policy implicates at least four pieces of existing legislation: the Arms Export Control Act (AECA), the War Powers Resolution, the Foreign Assistance Control Act (FAA), and the Leahy Laws. These laws were all passed during the Cold War to curtail the executive’s increasing ability to unilaterally sell arms, supply military aid, and order U.S. troops to assist allies in a theater of war. The executive must abide by these laws. If the President refuses or cuts corners, Congress can bring him to heel directly via impeachment, or indirectly through court orders that force executive branch agencies to halt the restricted activity.
Topic:
Government, War, Law, Courts, and Legislation
Political Geography:
Yemen, Saudi Arabia, North America, United States of America, and Gulf Nations

3. Constraining U.S. foreign policy by enforcing current law: a series on Congress’s options to limit arms sales and aid to Saudi Arabia, part 3

Author:
Jacques Singer-Emery
Publication Date:
01-2019
Content Type:
Journal Article
Journal:
Harvard Journal of Middle Eastern Politics and Policy
Institution:
The John F. Kennedy School of Government at Harvard University
Abstract:
This is the third of a three-part essay series on the different paths the U.S. Congress might take to limit Washington’s support for the Saudi-led coalition in Yemen. Credible allegations of Saudi war crimes and human rights abuses in Yemen should trigger the FAA and Leahy Laws to prevent U.S. aid from reaching the Saudi-led coalition, as discussed in part 2 of this series. However, the U.S. Constitution forbids Congress from unilaterally issuing orders to any executive agency, including the Defense and State Departments. Accordingly, both the Foreign Assistance Control Act (FAA) and the Leahy laws place the onus on the executive to identify and respond to gross violations of human rights. Thus far, the executive has turned a blind eye to the Saudi coalition’s actions. Congress could independently find that Saudi Arabia has engaged in a “consistent pattern of gross violations of internationally recognized human rights” by commissioning its own investigations. But if the executive remains unconvinced, Congress only has two options to enforce the FAA and the Leahy laws: impeach the President, or obtain a court order requiring the executive withhold aid and arms pursuant to these laws. The first action is unlikely to occur here, but the second is a viable option. To secure a court order, Congress must show that the executive’s refusal to follow the FAA and the Leahy laws uniquely injures the legislative branch in a way that only the courts can remedy.
Topic:
Government, International Law, Law, War Crimes, Weapons, Courts, and Legislation
Political Geography:
Yemen, Saudi Arabia, North America, United States of America, and Gulf Nations

4. Iron Curtain over the Arab world: Evaluating Trump’s inaction on the murder of Jamal Khashoggi

Author:
Adham Sahloul
Publication Date:
01-2018
Content Type:
Journal Article
Journal:
Harvard Journal of Middle Eastern Politics and Policy
Institution:
The John F. Kennedy School of Government at Harvard University
Abstract:
The murder of Saudi Arabian columnist Jamal Khashoggi on October 2nd in the Saudi consulate in Istanbul has been a clarion call for the Washington foreign policy community, one that is redefining the United States’ relations with the Saudi Kingdom and, by extension, US strategy in the Middle East. The Khashoggi affair will outlive President Donald Trump; the reputation of Saudi’s leadership is beyond repair, and with Global Magnitsky sanctions and the newly proposed bipartisan Saudi Arabia Accountability and Yemen Act, the US Congress appears ready to act where the executive has fallen short. The CIA has concluded that Saudi Arabia’s Crown Prince Mohammed bin Salman (MbS) ordered Khashoggi’s murder. Trump, who has threatened “severe consequences” for whomever is found responsible, seemed over the past month to be looking for a way out of naming, shaming, and punishing MbS himself. In his statement on November 20th, Trump confirmed many observers’ worst fears about this president’s worst instincts, saying that US security, economic, and political interests transcend this incident. For a sitting US president to balk at the notion of holding an ally accountable and making even a symbolic effort to address such a gruesome crime with clear chains of responsibility constitutes a new low in US foreign policy
Topic:
International Relations, Foreign Policy, Crime, Human Rights, Politics, Trump, Journalism, and Crisis Management
Political Geography:
Turkey, Middle East, Saudi Arabia, North America, United States of America, and Gulf Nations

5. The Currency-Plus-Commodity Basket: A Proposal for Exchange Rates in Oil-Exporting Countries to Accommodate Trade Shocks Automatically

Author:
Jeffrey Frankel
Publication Date:
03-2017
Content Type:
Working Paper
Institution:
The John F. Kennedy School of Government at Harvard University
Abstract:
The paper proposes an exchange rate regime for oil-exporting countries. The goal is to achieve the best of both flexible and fixed exchange rates. The arrangement is designed to deliver monetary policy that counteracts rather than exacerbates the effects of swings in the oil market, while yet offering the day-to-day transparency and predictability of a currency peg. The proposal is to peg the national currency to a basket, but a basket that includes not only the currencies of major trading partners (in particular, the dollar and the euro), but also the export commodity (oil). The plan is called Currency-plus-Commodity Basket (CCB). The paper begins by fleshing out the need for an innovative arrangement that allows accommodation to trade shocks. The analysis provides evidence from six Gulf countries that periods when their currencies were “undervalued”, in the sense that the actual foreign exchange value lay below what it would have been under the CCB proposal, were periods of overheating as reflected in high inflation and of external imbalance as reflected in high balance of payments surpluses. Conversely, periods when the currencies were “overvalued,” in the sense that their foreign exchange value lay above what it would have been under CCB, featured unusually low inflation and low balance of payments. These results are suggestive of the implication that the economy would have been more stable under CCB. The last section of the paper offers a practical blueprint for detailed implementation of the proposal.
Topic:
Economics, Oil, Exchange Rate Policy, Commodities, and Currency Basket
Political Geography:
Middle East, Saudi Arabia, and Gulf Nations

6. Americans are morally responsible for America’s war on Yemen a series on Yemen, part 1

Author:
Shireen Al-Adeim
Publication Date:
01-2017
Content Type:
Journal Article
Journal:
Harvard Journal of Middle Eastern Politics and Policy
Institution:
The John F. Kennedy School of Government at Harvard University
Abstract:
This is the first of a three-part series of essays on Yemen highlighting the magnitude and impact of the civil war on Yemenis. Yemen continues to suffer in silence as the world turns away from its ongoing misery. Despite over two and a half years of war, the average American seems oblivious to the United States’ role in fueling the conflict in Yemen. While wealthy Arab states like Saudi Arabia and the United Arab Emirates bombard the Middle East’s poorest country, pushing the country toward famine and an unprecedented cholera outbreak, the US government (beginning with the Obama administration and continuing with Trump) has continued to fully support the Saudi-led coalition through the sale of weapons, mid-air refueling, targeting intelligence, and other logistical support.
Topic:
International Relations, Government, War, and Military Affairs
Political Geography:
Middle East, Yemen, Saudi Arabia, and United States of America

7. The US-Saudi coalition’s impact on Yemen’s health – a series on Yemen, part 2

Author:
Shireen Al-Adeim
Publication Date:
01-2017
Content Type:
Journal Article
Journal:
Harvard Journal of Middle Eastern Politics and Policy
Institution:
The John F. Kennedy School of Government at Harvard University
Abstract:
This is the second of a three-part series of essays on Yemen highlighting the magnitude and impact of the civil war on Yemenis. Starting in March 2015, Saudi Arabia led a coalition of several Arab countries in bombing Yemen, its neighbor to the south. The coalition’s indiscriminate bombing has targeted countless homes, schools, markets, and even hospitals. Yemenis have become accustomed to double-tap and triple-tap strikes that target rescuers after an attack. One notable case was a double-tap strike that killed at least 140 mourners at a large funeral home in Sana’a, Yemen’s capital. The number of deaths resulting from US/Saudi airstrikes and fighting between Saudi-allied and Saleh/Houthi-allied forces has been conservatively estimated at 10,000 deaths and 40,000 injuries. The hidden costs of war, however, are much greater.
Topic:
Health, Poverty, War, and International Affairs
Political Geography:
Middle East, Yemen, Saudi Arabia, North America, United States of America, and Gulf Nations

8. Yemen: drained, uncertain, and ignored – a series on Yemen, part 3

Author:
Mohamed Saleh
Publication Date:
01-2017
Content Type:
Journal Article
Journal:
Harvard Journal of Middle Eastern Politics and Policy
Institution:
The John F. Kennedy School of Government at Harvard University
Abstract:
This is the third of a three-part series of essays on Yemen highlighting the magnitude and impact of the civil war on Yemenis. Yemen is located on the southern edge of the Arabian peninsula, with the Red Sea and Egypt to its west, the Gulf of Aden and the Horn of Africa to its south, Oman on its northeastern border, and Saudi Arabia along its northern border. Once benign representations of Yemen’s geography and sovereignty, those borders now symbolize nothing but profound anguish. The edges outlining a nation whose people remain imprisoned while waiting for life-saving aid which may not come. What at one point was a country grappling with the contradictions of 21st century development and economic growth has been bombed so viciously and blockaded so resolutely that close to a million of its inhabitants may die from a disease easily cured by oral rehydration therapy – a medical expression for treatment by purified water and modest amounts of sugar, salt, and zinc supplements. Condiments and a few bottles from a local pharmacy in any European country, and water. That is all. And yet the international community continues to watch in horror, its reaction anemic, its response stunted.
Topic:
Civil War, War, Arab Spring, Humanitarian Intervention, and International Community
Political Geography:
Iran, Middle East, Yemen, Saudi Arabia, United States of America, and Gulf Nations

9. Making Saudi Arabia Fun Again?

Author:
Salman al-Dosari, Aziza al-Manea, 'Adel Khamis al-Zahrani, Hind al-Mutairi, and Abdulrahman al-Rashed
Publication Date:
01-2017
Content Type:
Journal Article
Journal:
Harvard Journal of Middle Eastern Politics and Policy
Institution:
The John F. Kennedy School of Government at Harvard University
Abstract:
The General Entertainment Authority was created last year as part of Saudi Arabia’s “Vision 2030” plan. The primary goal of Vision 2030 is to diversify Saudi Arabia’s oil-dependent economy, but it also aims to foster a “vibrant society” with “meaningful entertainment for citizens.” Public cinemas are banned in the kingdom, and some Saudis seek diversion abroad, often in nearby Bahrain and Dubai. So far, the General Entertainment Authority has provoked a mixed reaction: some have lauded its work to bring more cultural events to Saudi Arabia, while others accuse it of moving too quickly, and not offering enough options to less wealthy Saudis. Here are excerpts of what five Saudi pundits had to say about the issue.
Topic:
Culture, Reform, Media, News Analysis, and Leisure
Political Geography:
Middle East, Saudi Arabia, and Gulf Nations

10. Harvard Journal of Middle Eastern Politics and Policy: Spring 2016

Author:
Kristin A. Wagner, Satgin Hamrah, Benjamen Franklen Gussen, Robert Mason, Robert Maguire, Adi Saleem Bharat, Lauren Fisher, Joseph Sadek, Dalia Ghanem-Yazbek, and Serhat S. Çubukçuoğlu
Publication Date:
01-2016
Content Type:
Journal Article
Journal:
Harvard Journal of Middle Eastern Politics and Policy
Institution:
The John F. Kennedy School of Government at Harvard University
Abstract:
Our Spring 2016 volume encapsulates the dangerous developments in MENA over the course of the past year. While the international community hoped for a resolution to the five-year Syrian Civil War, the conflict has further divided the region into a sectarian split, pitting Shia Iran and the Sunni gulf states on opposing sides. Additionally, Russia’s brief military intervention, finally winding down as of March 2016, has further destabilized the country and significantly increased the flow of refugees into the heartland of Europe. With the November 2015 Paris attacks, the threat of the so-called Islamic State (Daesh) to the west was finally realized, calling into question ongoing efforts to counter violent extremism, as well as to resolve the Syrian Civil War. Meanwhile, Turkey’s increasing two-front war against the Kurdistan Workers’ Party (PKK) and Daesh has resulted in a series of deadly terrorist attacks throughout the country, putting further pressure on Turkish leadership to both find a solution to the Kurdish question and stem the refugee flow transiting northward from Syria. It is through this lens that the Spring 2016 edition has been crafted. With conflict and instability abound, we present first an exclusive interview with Speaker of the Iraqi Parliament Salim al-Jabouri. On a more positive note, JMEPP also interviewed Tunisia’s Minister of Economic Infrastructure and Sustainable Development, Hedi Larbi, on Tunisia’s relative stability and success in its post-Jasmine Revolution transition. This year’s featured articles include Robert Mason’s assessment of the Saudi leadership and the perilous position it now finds itself in, both geopolitically and domestically; and Serhat S. Çubukçuoğlu’s eyes on Turkey’s natural gas ambitions as being linked to settling the Cypriot peace talks, as well as re-establishing partnerships with its regional neighbors in the eastern Mediterranean. Benjamen Franklen Gussen creates a new picture of a geographically reoriented Middle East, while Dylan MaGuire analyzes the no-fly zone option in Syria, with a look back to previous operations in Iraq and Libya. Focusing on gender, Dr. Dalia Ghanem-Yazbeck looks at integration and inclusion of women in Algeria’s military, yet presents a critique on its superficiality. With an eye on Turkey’s destabilized southern border region, Joseph Sadek provides commentary on the political and geostrategic jostling between Turkey and its Kurdish population, as well as the complex relationships between Turkey, the PKK, and Syrian People’s Protection Units (YPG) rebels. Turning to terrorism, Lauren Fisher presents an argument against the stovepipe methodology of countering violent extremism by exploring the complexities behind the topic. Finally, we conclude with a literature review by Adi Saleem Bharat on the Boycott, Divest, Sanction (BDS) movement as it pertains to academia.
Topic:
Conflict Resolution, Conflict Prevention, Security, Development, Gender Issues, Peace Studies, Infrastructure, Armed Forces, Violent Extremism, Women, Radicalization, Islamic State, Political stability, Arab Spring, Humanitarian Intervention, Syrian War, Negotiation, Kurds, and BDS
Political Geography:
Iraq, Israel, Libya, Palestine, Algeria, Saudi Arabia, Syria, Tunisia, and Cyprus