Economic Systems at Work in Kuwait

• What will be produced with your country's resources?

Kuwait’s greatest resource is oil. Gasoline, jet fuel, diesel and other
fuel is produced from this resource.
• How will these goods be produced?
These goods are made from the crude oil pumped out of the ground.
It is heated until it is a boiling liquid. The liquids are then separated
into petrol and diesel.
• Who will use these goods?
Many countries will use the oil produced by Kuwait. South Korea is
their largest export partner consuming 16.8%. However, countries
such as the United States, China, Japan and Singapore are all export
partners with Kuwait.
• Will these goods be exported?
Yes. The oil will be exported for revenue for the country.

What is the country that you are Kuwait

researching:
Write a brief summary of the Kuwait is a small country in size
economic system of the but a large country in economic
country: Identify and explain power. Their economy is open.
the type of economic system. The country lacks economic
diversification. It relies heavily
on the oil industry for over 90%
of all export and government
revenue. Sixty percent of those
employed are expats. Kuwaiti
citizens are provided with
subsidies from oil revenues. All
businesses must be at least 51%
Kuwaiti owned.
Select three key economic Kuwait’s unemployment rate is
indicators such as poverty rates, 2.4%. This is extremely low in
labor distribution, use of comparison to many other
resources, etc. and analyze what countries. To help put it in
 Economic Systems at Work in Kuwait
this information says about the
country, how does it compare to
other countries, change over
time, etc.
perspective, the United States
has a 4.4% unemployment rate.
According to the CIA World
Factbook, these rates have not
changed within the past couple
of years.
Kuwait’s labor force is primarily
composed of expats. It’s labor
force is 2.695 million strong.
Considering it’s population is
only 4.4 million including expats
many Kuwaiti citizens do not
work nor consider themselves
unemployed. The country only
has 2.8 million Kuwaiti citizens.
Additionally, there were no
numbers to report of people
below the poverty line in Kuwait.
This was very similar to Saudi
Arabia but differed greatly from
other neighboring countries like
Jordan (14%) and Iraq (23%).
Kuwait’s external debt was
$48.91 billion as of 31 Dec 2017.
This was an increase of $10.57
billion from 2016. Their debt is
rising at an alarming rate. The
country currently maintains
$33.13 billion in reserves of gold
and foreign exchange but there is
still a deficit. The countries
reserves only increased by $2
billion from 2016 to 2017. They
are still doing extremely well in
 Economic Systems at Work in Kuwait
comparison to other Middle
Eastern countries such as the
U.A.E. The U.A.E. had $239.7
billion of debt with only $89.79
of financial reserves.
Identify the GDP - per capita for GPD PPP is $303.7 Billion
the country.