The Death of Rentierism in the Kingdom of Saudi Arabia
Author: Brianna Seymour
Format: Kindle Edition
Saudi Arabia has the largest oil field in the world, as well as the largest oil company. They are the global swing producer of sweet crude petroleum, and they have the power to dictate economic and political policies around the world. Since the first barrel of oil was exported out of the country in 1938, the government has provided cash payments and subsidies to its citizens. Saudi Arabian nationals have been given free healthcare and education, as well as subsidies for electricity and gasoline. Saudi Arabia is considered a "rentier" country due to the fact that the main source of government income is derived from the extraction, production and export of oil. This book predicts that the end of rentierism is soon approaching for the Middle East's most powerful country. With a population explosion that is out of control and Aramco bleeding the oil fields dry from over-production, Saudi Arabia will soon be unable to export oil for profit.
This book analyzes the steps and pitfalls that Saudi Arabia is facing in its quest to continue subsidies to its citizens, and to continue filling the coffers of the powerful Al Saud family. Alternative natural resources, diversification of its economy, privatization of government sectors, and the educational development of women are all considered as possible options to rescue this powerful country that will soon be out of oil.