Analysis of the recent Sudanese Industrial Policy in the New Structural Economics Framework: The Way towards Economic Transformation

Yagoub Elryah^1,

¹Economic Studies Department, Industrial Research and Consultancy Center IRCC

Cite this paper:
Yagoub Elryah. Analysis of the recent Sudanese Industrial Policy in the New Structural Economics Framework: The Way towards Economic Transformation. Journal of Behavioural Economics, Finance, Entrepreneurship, Accounting and Transport. 2016; 4(2):35-39. doi: 10.12691/jbe-4-2-3

Abstract

Economic growth and per capita income in Sudan have substantially declined in the past five years. Major reason for this is the failure of the economy to grow because of absence of proper economic policies to manage the structural endowments. In this study I would like to address the following research questions, why is structural change and industrial upgrading becoming increasingly important as a determinant of country’s economic transformation, and how should these components be linked for a New Structural Economics framework. I have argued that the most of the recent developed economies have achieved the potential economic development lie in the politics of the different societies that adopted these policies. In contrast, the failure industry policies in the recent lower middle-income countries, in the case of Sudan that the economic policies were generally very bad, this can be devoted to the fact that the policies were driven by the desire to maintain political power and this will not support economic growth. Furthermore, I found evidence that a proper industrial policy and steadily economic growth in Sudan, the political equilibrium is necessary to change political institutions.

Keywords:
economic policy structural change comparative advantage New Structural Economics

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