Economic diversification in resource-dependent countries is a difficult process. Most of these countries’ efforts to diversify have been unsuccessful. Alberta is one exception. It has succeeded in diversifying its economy by “diversifying in energy” using explicit policy decisions to promote human capital development in STEM, complement STEM education with education in management and innovation, foster proper market discipline, establish an effective intellectual property rights system, and strengthen links between various industries to support innovation. Kazakhstan’s policymakers can learn valuable lessons from Alberta’s successes. It is also important to understand that some of initiatives that were successful in Alberta may not be appropriate for Kazakhstan because of the latter’s system of state-guided capitalism and limited public service capacity. Finally, evidence from Alberta suggests that promoting “winning” sectors is a way for favored insiders to capture a share of resource rent and seldom succeed.
|Number of pages||31|
|Journal||Politics and Policy|
|Publication status||Published - Feb 25 2018|
- Sustainable Development, Resource Dependency, Economic Diversification, Industrial Policy, Policy Transfer, Innovation, Education, Alberta, Kazakhstan