المستخلص: |
The economic growth impact of the GCC market liberalization and increasing access to trade to the free market is an important empirical issue worthy of investigation. Key studies have identified the need to diversify the GCC economies beyond their heavily oil-based status, particularly since this cannot be relied upon to reach long-term sustainable development. Therefore, oil-rich nations like those with GCC economies, particularly Saudi Arabia, need to diversify from oil to achieve this. Trade liberalization plays a prominent and reliable role in the process of promoting this growth, according to several empirical studies as well as Saudi Arabia possessed the largest economy in the GCC. This paper applies a time series approach to examine the impact of exports and imports on its economic prosperity between 1970 and 2015. The empirical results suggest that economic growth stimulates exports, whereas imports only play a minor role in improving economic growth. A free market is therefore potentially important to any future diversification of the economy as part of stimulating growth in these economies.
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