Sources of growth in Morocco: an empirical analysis in a regional perspective

Abstract

This paper investigates the Moroccan growth experience since 1960 and compares it with the rest of the Middle East and North Africa (MENA). While Morocco and the MENA have faced a decreasing growth rate over the period, Moroccan growth was higher and much more volatile. The contribution of labor to growth remained constant over the period, while the contributions of capital and total factor productivity decreased markedly. The growth experience of Morocco was further impacted by the predominance of a rural population and the frequency of drought years. In contrast to the MENA, human capital had a positive impact on growth.

Keywords:

• source of growth
• Morocco
• MENA
• JEL Classification: O11
• O40
• O53

Acknowledgments

The author thanks Lahcen Achy, Najib Harabi, Mohamed Lahouel and participants in the GRP workshop (Cairo, January 2002) for very useful comments. Thanks also go to two anonymous referees for very constructive comments; all remaining imperfections are the author’s.