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The New Geography of Jobs: A Case Study of Saudi Arabia (Case Study Sample)


For this assignment, I was required to present a deeper argument on the issues affecting Saudi Arabia especially with matters related to employment and education level amongst the country\'s population

The New Geography of Jobs: A Case Study of Saudi Arabia
The New Geography of Jobs is a book written by an Italian economic professor Enrico Moretti, which looks at the issue of jobs in different sectors of the economy, particularly in relation to the innovation and manufacturing/service industries. The writer makes a case for individual mobility in the various economies, to be able to grow and expand the involved economies. He further argues for an increase in innovation oriented industries as opposed to only manufacturing oriented industries that are quite popular in many economies all over the world. He uses the examples of India and China, who have many labor intensive industries, focusing mainly on manufacturing as opposed to innovation, which only benefit a few people while a big chunk of their populations remains in poverty.
Innovation versus Manufacturing Sector Jobs
In relation to Saudi Arabia, the book resonates quite well with the situation there. Saudi Arabia has over the past decade experienced a huge growth and expansion in the manufacturing industry. Though the country's manufacturing industry is heavily dependent on the oil extraction and refining industry, it has over the past ten years evolved to other key sectors. These include the manufacturing of chemicals, fertilizers, metals as well as plastic materials. This has come in the backdrop of huge importations of general machinery that indicates a rapid growth of Saudi Arabia's manufacturing industry. Manufacturing jobs industry in Saudi Arabia has served to increase job opportunities in local communities, since most of these manufacturing industries require labor to be able to produce their finished products. The manufacturing industries also help in the development of infrastructural systems in the local communities, but at the same time negatively impact the environment of the local communities through pollution of water sources and the air.
Nevertheless, innovation sector jobs have had a bigger impact in ensuring a rapid growth and expansion of the Saudi Arabian economy in general. This is because the innovation sector jobs in Saudi Arabia heavily support individual mobility. The innovation sector jobs have had a great impact on the Saudi Arabian economy, proving to be the catalyst for rapid economic growth and expansion. This is in comparison to the manufacturing sector jobs, as well as other non-innovation sector jobs existing in the Saudi Arabian market. Innovation sector jobs ensure the utilization of new, fresh ideas and solutions to be able to offset existing or even new and emerging market needs.
Innovation sector jobs have ensured the production of better products, which are more efficient, durable, increasing the sales and profits for those working in this sector of the economy. To the local communities in Saudi Arabia, innovative sector jobs has ensured the multiplication of employment opportunities, as opposed to general labor intensive jobs who main job opportunities are labor oriented. These jobs have brought local prosperity to the local communities and other service related industries like increased health care facilities and business services.
Causes and Impacts of Widening Inequality
Saudi Arabia has experienced a widening income inequality between the poor and the super-rich in the country. One of the biggest causes of this income inequality is that most of the country's oil export revenues, which are the main sources of revenue that sustain the Saudi Arabian economy, are only enjoyed by a few of the Kingdom's elite and ruling class. Most of the country's wealth creating sectors of the economy and income producing capital assets ...
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