What can Algeria learn from global experiences of economic transformation

Abstract EN

Algeria has experienced two major economic transformations.

The first one was from a colonial economy based on agriculture to a planned economy emphasis on heavy manufacturing.

The second when Algeria adopted a market economy.

However, both of the transformations have failed to create an independent economy on hydrocarbons.

Thus far, the impact of oil price shock on economic growth.

As a result, the purpose of this paper is to investigate the key lessons on global experience of economic transformation.

The results indicate that the philosophy of ET is improving labour from low to higher productive activities; this includes between sectors to higher value activities.

In practice; technology-led productivity growth, rapid capital accumulation, the role of linkage, the role of market, institutions and government in transformation, are the four source of ET.

Finely, this paper concludes with recommendations to the success economic transformation, which are; education, manufacturing, encouraging private sector, modernized the agricultural sector, the diversification of the economy