A Circular Causation Model of the Oil and Gas Sector Relative to the Nonoil Sector in the Sultanate of Oman

Authors

  • Masudul Alam Choudhury Institute of Islamic Banking and Finance International Islamic University Malaysia, Malaysia
  • Saeed Al-Muharrami College of Economics and Political Science Sultan Qaboos University, Muscat, Sultanate of Oman, Oman
  • Mohammad Saleh Ahmed Department of Mathematics and Statistics Sultan Qaboos University, Muscat, Sultanate of Oman, Oman

DOI:

https://doi.org/10.32890/ijms2014.21.2.2

Keywords:

Economic development, development planning, sectoral planning, Oman development policies

Abstract

The goal of Omanization as a comprehensive focus of the productive and social transformation of the Omani economy with the retention of her domestic output and labour component in total national economic activity is studied by using the methodology of circular feedback between some critical macroeconomic variables that relate to oil and non-oil sectoral development. The existing scenario points out that the structural shape of inter-sectoral allocation of resources and their socio-economic results is based on marginal rates of substitutions. Contrarily, the development structure based on inter-sectoral and inter-variable causality leads to the suggestion of the complementary (participatory) development outlook. The emergent model of circular causation is used to study both cases; the ‘as is’ estimation case and the ‘as it ought to be’ simulation case in view of eff ective Omanization taken up in its broad defi nition of socio-economic sustainability. The simulation results that give rise to fresh directions on socio-economic structures and policy-making are further studied by the method of Spatial Domain Analysis of the GIS method.
 
Keywords: Economic development, development planning, sectoral planning, Oman development policies.

Downloads

Download data is not yet available.

References

Bertuglia, C. S., & Vaio, F. (2005). Nonlinear models in social http://ijms.uum.edu.my/ processes: The model of Volterra-Lotka and some of its variants in ecology. In Nonlinearity, chaos & complexity, the dynamics of natural and social systems (pp. 93–107). Oxford, UK: Oxford University Press.

Central Bank of Oman. (2013). Annual Report 2012. Muscat, Oman.

Choudhury, M. A. (2009). Dialectics in socio-scientific inquiry: Islam contra occident. International Journal of Sociology and Social Policy, 29, 9–10.

Choudhury, M. A., & Hossain, M. S. (2006). Development planning in the Sultanate of Oman. New York: Edwin Mellen Press.

Choudhury, M. A., & Al-Sahlawi, M. (2000, September 3). Oil and non-oil sectors in Saudi Arabia. OPEC Review, XXIV.

Choudhury, M. A., Hossain, M. Z., & Hossain, M. S. (2011). Estimating an ethical index of human wellbeing. Journal of Developing Areas, 45(1), 375–409.

Fitzpatrick, T. (2003). Postmodernism and new directions. In P. Al-cock, A. Erskine & M. May (Eds.), Social policy (pp. 125–133). Oxford, England: Blackwell.

Jackson, E. T., & Kassam, Y. (Eds.) (1998). Knowledge shared, participatory evaluation in development cooperation. West Hartford, CONN: Kumarian Press.

Liebenstein, H. (1966). Allocation efficiency vs. x-Efficiency. American Economic Review, 56(Issue 3), 392–415.

Myrdal, G. (1958). The principle of cumulation. In P. Streeten (Ed.), Value in social theory, a selection of essays on methodology by Gunnar Myrdal (pp. 198–205), New York: Harper & Brothers.

North, D. C. (1981). A theory of institutional change and the economic history of the Western World. In his Structure and change in economic history [Chapter15]. New York: W.W. Norton.

Popper, K. (1998). Conjectures and refutations: The growth of scientific knowledge. London: Routledge & Kegan Paul.

Romer, P. M. (1986). Increasing returns and long-run growth. Journal of Political Economy, 94, 1002–1037. IJMS 21 (2), 21–48 (2014)

Shakun, M. F. (1988). Evolutionary systems design, policy making under complexity and group decision support systems. Oakland, CA: Holden-Day.

Taleb, N. N. (2007). The black swan: The impact of the highly improbable. New York: Random House.

Simon, H. (1957). Models of man. New York: John Wiley & Sons.

Simon, H. A. (1960). Decision-making and organizational design. In D. S. Pugh (Ed.), Organization theory (pp. 202–223). Hammondsworth, Middlesex, Eng: Penguin Books. http://ijms.uum.edu.my/

Soros, G. (2000). Reflexivity in financial markets. Reflexivity in history. In Open society (pp. 59–90). New York: Public Affairs.

Toner, P. (1999). Gunnar Myrdal (1898–1987): Circular and cumulative causation as the methodology of the social sciences. In Main currents in cumulative causation, the dynamics of growth and development [Chapter 5]. Houndmills, Hampshire: Macmillan Press.

Tordo, S., Warner, M., Monzano, O. E., & Anouti, Y. (2013). Local content policies in the oil and gas sector. World Bank Study. Washington D.C: World Bank.

Downloads

Published

30-12-2014

Issue

Vol. 21 No. 2 (2014): International Journal of Management Studies (IJMS) Vol. 21, No. 2 December 2014

Section

Articles

Research impact

Harvested 2026-09-08
0 citations recorded so far

Counts differ between services because each indexes a different body of literature. None of them is the whole picture.

Identifiers DOI 10.32890/ijms2014.21.2.2

Most read articles by the same author(s)