Macroeconomics
Baland Rabayah
The Impact of COVID-19 on the Private Economy ...

COVID-19 had a profound impact on global economic output, resulting in a contraction of approximately 3% in world GDP in 2020. Furthermore, the impact was not only significant but also unevenly distributed, with certain nations being more severely affected than others. While the effects of COVID-19 on economic performance are well-documented on both global and national levels, one may ask: what effect did COVID-19 have on a regional scale?

In this analysis, we develop a simple model to understand the impact of the COVID-19 pandemic on the private economic output of different municipalities in Bahrain. To the authors' knowledge, this is not only the first study to explore the municipal-level effects of the COVID-19 pandemic on economic growth but also the first to estimate private economic activity at the municipal level for the Kingdom of Bahrain. As of 2022, our results indicate that most municipalities had returned to their pre-pandemic levels of economic activity. However, when compared to pre-pandemic economic trends, the results show that the Muharraq and Northern Municipalities were the most affected compared to the rest of the economy.

The Impact of COVID-19 on the Private Economy of Bahraini Municipalities

Energy Economics

Can the adoption of electric cars reduce energy and emission outcomes in the Kingdom of Bahrain?

Can the adoption of electric cars reduce energy and emission outcomes in the Kingdom of Bahrain?

In this discussion paper, we look at the potential effects of adopting electric cars and their outcomes on the Kingdom of Bahrains Energy consumption and CO2 emissions. We construct a simplified model that looks at different potential adoption rates of electric vehicles and how this affects transportation energy and emissions outcomes based on assumptions about fuel consumption, internal combustion engine (ICE) vehicle fuel efficiencies, and other essential variables. We find that under our assumptions, the Kingdom would see 17% lower energy usage for transportation sector, 0.84% lower overall energy usage, 8% reduction in per year emissions for the transportation sector, and a 0.51% reduction in overall emissions per year.

Did COVID-19 reduce local fuel demand in the Kingdom of Bahrain?

Did COVID-19 reduce local fuel demand in the Kingdom of Bahrain?

COVID-19 has led to severe disruptions in how society interacts in 2020 and onwards. With COVID-19 restrictions being placed in the earlier stages of the pandemic, the need for daily mobility towards work, education, and leisure centers had dwindled significantly. However, it is unknown to what extent the COVID-19 pandemic and its restrictions affected fuel demand in the Kingdom of Bahrain. This article aims to explore how the early-stage pandemic affected gasoline and diesel consumption in the Kingdom. Furthermore, we also extrapolate from the findings on the potential hypothetical benefits of transitioning to a “work at home” type of environment and whether this would have any significant economic effects that the Kingdom would reap.