The Neoliberal Model's Planned Role in Iraq's Economic Transition / The Middle East Journal

Abstract

For many in the Bush Administration Iraq is now the test case for whether the US can create, through introducing a series of neoliberal economic reforms, a system of American style free market capitalism in the Arab world. The neoliberal model as applied to Iraq's economic tr..ansformation will entail a policy mix stressing a greater role for the market in the allocation of resources, a muchreduced role for the state, and increasing integration in the world economy. Although the model appears sound in terms of its theoretical construct and empirical validity, questions remain concerning its likely success in the Iraqi context.