Two‑Stage DEA Assessment of Knowledge‑to‑Economy Efficiency in GCC Countries Using the Global Knowledge Index, 2021–2024
DOI:
https://doi.org/10.59992/IJFAES.2026.v5n4p1الكلمات المفتاحية:
Global Knowledge Index، Efficiency، Two ‑Stage DEA، GCC، Knowledge Economy، Forecasting، Policy Scenariosالملخص
This paper evaluates how efficiently Gulf Cooperation Council (GCC) countries transform knowledge‑system inputs into knowledge capabilities and, ultimately, into knowledge‑based economic performance, using the Global Knowledge Index (GKI) as an integrated input–output framework over the period 2021–2024. Building on a two‑stage network Data Envelopment Analysis (DEA) model fully embedded in the GKI architecture, Stage 1 measures knowledge‑formation efficiency in converting education, TVET, higher education, RDI, ICT, and enabling‑environment pillars into composite intermediate knowledge outputs, while Stage 2 assesses knowledge‑to‑economy conversion efficiency in translating these outputs into the GKI economy indicator and its pillars of competitiveness, openness, and domestic value added.
The results reveal substantial cross‑country heterogeneity: the United Arab Emirates and Qatar operate on the efficiency frontier in both stages, whereas Saudi Arabia, Kuwait, Bahrain, and Oman exhibit significant input surpluses and output shortfalls, especially in higher education, RDI, and value‑added generation, indicating structural gaps between knowledge formation and economic absorption.
To assess the feasibility of achieving Vision 2030 targets, the study introduces a Δθ‑based forecasting model that quantifies the annual efficiency improvements required for each country to reach frontier or high‑performance thresholds (0.90–0.95) by 2030 and develops a policy‑intensity framework that maps these efficiency gaps into differentiated reform pathways ranging from light to transformational interventions. By extending DEA from static benchmarking to forward‑looking efficiency trajectories, the paper contributes to the technological forecasting and social change literature by offering a GKI‑consistent, multi‑stage efficiency framework that can be used to monitor progress toward national vision targets, stress‑test policy scenarios, and inform strategic planning for knowledge‑based diversification in resource‑rich economies.
المراجع
• Alaeddine, S. O. (2022). Role of knowledge economy in economic growth: An empirical study on selected Arab countries. BAU Journal – Creative Sustainable Development, 4(1).
• Al Kawaiti, A. (2025). A look at the transformation of the higher education landscape in Saudi Arabia. The Middle East Supplement.
• Almulhim, T. (2019). Analysis of Takaful vs. conventional insurance firms' efficiency: Two ‑stage DEA of Saudi Arabia's insurance market. Cogent Business & Management, 6, 1633807. https://doi.org/10.1080/23311975.2019.1633807
• Bafarasat, A. Z. (2021). Prospects of a transition to the knowledge economy in Saudi Arabia and Qatar: A critical reflection through the lens of spatial embeddedness and evolutionary governance theory. Futures, 129, 102731. https://doi.org/10.1016/j.futures.2021.102731
• Bridging the Gap between Knowledge Economy Requirements and Education System Outcomes: An Assessment Model. (2022). UNESCO.
• Foray, D. (2004). The economics of knowledge. MIT Press. https://doi.org/10.7551/mitpress/2613.001.0001.
• GKI Reports. (2021–2024). Global Knowledge Index. Mohammed Bin Rashid Al Maktoum Knowledge Foundation & UNDP.
• IMF. (2022). Bahrain: Selected Issues Paper. International Monetary Fund.
• ILO. (2019). Skills for a greener future: A global view. International Labour Organization.
• Kao, C. (2014). Network data envelopment analysis: A review. European Journal of Operational Research, 239(1), 1–16.
• Khreisat, A., Saqfalhait, N., Spetan, K., & Al‑Tal, R. (2024). Knowledge economy and its impact on economic growth and per‑capita income: Evidence from Arab countries. An‑Najah University Journal for Research – B (Humanities), 38(11), 2145–2188. https://doi.org/10.35552/0247.38.11.2300.
• McKinsey & Company. (2020). Digital Middle East: Transforming the region into a leading digital economy.
• Merhi, A., & Baalbaki, C. (2026). Assessing AI and decision‑making impacts on GCC bank efficiency through a neutrosophic lens. International Journal of Neutrosophic Science, 444–465. https://doi.org/10.54216/IJNS.270236.
• MIT Innovation Initiative. (2021). the innovation ecosystem: Global trends and best practices. MIT Press.
• Mohamed, M. M. A., Liu, P., & Nie, G. (2022). Do knowledge economy indicators affect economic growth? Evidence from developing countries. Sustainability, 14(8), 1–37. https://doi.org/10.3390/su14084774.
• Nature Index. (2022). Global science collaboration report 2022. Springer Nature.
• OECD. (2018). Education policy outlook 2018: Putting student learning at the centre. OECD Publishing.
• OECD. (2019). OECD science, technology and innovation outlook 2019. OECD Publishing.
• OECD. (2020). Digital economy outlook 2020. OECD Publishing.
• OECD. (2021). OECD reviews of innovation policy: Saudi Arabia 2021. OECD Publishing.
• Onour, I. (2012). Efficiency of banks in GCC countries: DEA and bootstrap simulation. SSRN. https://doi.org/10.2139/ssrn.2179501
• PwC. (2025). Building the future: Advancing research and innovation capabilities across the GCC. https://www.pwc.com
• Rehab. (2025). Assessing the efficiency of the Saudi economy through the lens of the Global Knowledge Index (2021–2024). Journal of Administrative and Economic Science.
• UNCTAD. (2021). World investment report 2021: Investing in sustainable recovery. United Nations.
• UNESCO. (2021). UNESCO science report: The race against time for smarter development. UNESCO Publishing.
• WIPO. (2019). Technology Transfer and Commercialization: Policy Approaches. World Intellectual Property Organization.
• WIPO. (2022). Global Innovation Index 2022: What is the Future of Innovation‑Driven Growth? World Intellectual Property Organization.
• World Bank. (2020). the road to a knowledge economy in the Middle East and North Africa. World Bank Publications.
• World Bank. (2021). Kuwait economic monitor: Navigating the transition. World Bank Publications.
• World Bank. (2025). GCC digital transformation 2025. https://www.worldbank.org/gcc-digital-2025.
• World Economic Forum. (2022). Global competitiveness report 2022. WEF.