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The State and the Private Sector in Jordan

In: Economic Challenges Facing Middle Eastern and North African Countries

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  • Taher H. Kanaan

Abstract

This chapter reviews the role of the public sector in the Jordanian economy and the response of economic policy to the changing wisdom regarding the state’s role in sustainable development. The study advocates the principle that activities whose output and inputs are traded in open markets are plausible candidates for privatization. To the extent that output or input markets are imperfect, however, and market forces are unable to deliver the efficient resource use or optimal welfare benefits expected from privatization, commercialization is recommended. The study also relates the Jordanian case to the political economy of public governance, emphasizing the relevance of the new institutional economics to that case.

Suggested Citation

  • Taher H. Kanaan, 1998. "The State and the Private Sector in Jordan," Palgrave Macmillan Books, in: Nemat Shafik (ed.), Economic Challenges Facing Middle Eastern and North African Countries, chapter 5, pages 78-100, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-349-26124-6_5
    DOI: 10.1007/978-1-349-26124-6_5
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