THE ECONOMIES OF ISRAEL SAUDI ARABIA AND TURKEY

THE ECONOMIES OF ISRAEL, SAUDI ARABIA, AND TURKEY Israel Saudi Arabia Turkey SS 7 E 5 The student will analyze different economic systems. c. Compare and contrast the economic systems in Israel, Saudi Arabia, and Turkey.

The Economy of Israel • Mixed market economy. • The most diversified economy in the Middle East. • Skilled and educated workers manufacture high- tech equipment. • Tourism • Government involved in controlling agriculture. • Grows most of its own food despite water shortages.

Israel has few natural resources and is in conflict with surrounding countries. This has led Israel to develop ___ ? : (pick) 1. An industry based on oil. 2. A booming trade market with its neighbors. 3. A diversified economy built on highly educated workers

Two challenges facing Israel’s economy are ____ (pick) 1. Scarce water and conflict with neighbors. 2. Low literacy rates and oil reserves. 3. Autocratic government and lack of skilled workers.

Economy of Saudi Arabia • Before 1930 a traditional economy: camel herding and textiles. • 1930 oil discovered • Today, mostly a command economy run by Saudi royal family. • Income from oil accounts for 60% of nation’s GDP. • Oil will eventually run out-trying to invest in other industries - become a mixed market economy. • One third of Saudi Arabia’s workforce comes from other countries. • Investment in education is important raise the country’s low literacy rates.

Over the last 50 years, why have people been leaving the nomadic life in Saudi Arabia and moving to cities? (pick) Water has been drying up 2. Many wars in the region 3. Discovery of oil has changed the economic system 1.

Saudi Arabia is currently moving away from a command system towards a ____: 1. Traditional System 2. Mixed Market System 3. Communist System

Economy of Turkey • Before 1980’s was a command economy • Today becoming mixed market • Private agriculture, manufacturing and textiles • Government still controls much of banking, transportation, and communications. • A poor nation with low literacy rates • Trying to join the EU –European Union

SW Asia Countries on the Economic Continuum Saudi Arabia Command Turkey Mixed Israel Market