Challenges and opportunities for transition to knowledge-based economy in Arab Gulf countries

This paper uses the descriptive and comparative approaches and uses the OECD (1996) definition of knowledge-based economy, the World Bank Knowledge Index and Knowledge Economy Index and other indicators to examine progress and challenges in transition to knowledge-based economies in Arab Gulf countries. We fill the gap in the Gulf literature and present more comprehensive analysis of progress and challenges impedes transition to knowledge-based economies in Arab Gulf countries. Our findings support the first hypothesis concerning relative progress in transition to knowledge-based economies in Arab Gulf countries. Our results corroborate the second hypothesis that transition to knowledge-based economies faces several challenges in Arab Gulf countries. Our findings support the third hypothesis concerning variation in transition to knowledge based economies across Arab Gulf countries. Therefore, it is essential for Arab Gulf countries to implement sound and coherent policies to enhance transition to knowledge based economy in Arab Gulf countries.

Keywords: Knowledge, knowledge index, knowledge-based economy, Arab Gulf countries

JEL Classification: O10, O11, O30