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Algeria, 1962-1984 INFORMATION TO USERS This reproduction was made from a copy of a manuscript sent to us for publication and microfilming. While the most advanced technology has been used to pho­ tograph and reproduce this manuscript, the quality of the reproduction is heavily dependent upon the quality of the material submitted. Pages in any manuscript may have indistinct print. In all cases the best available copy has been filmed. The following explanation of techniques is provided to help clarify notations which may appear on this reproduction. 1. Manuscripts may not always be complete. When it is not possible to obtain missing pages, a note appears to indicate this. 2. When copyrighted materials are removed from the manuscript, a note ap­ pears to indicate this. 3. Oversize materials (maps, drawings, and charts) are photographed by sec­ tioning the original, beginning at the upper left hand comer and continu­ ing from left to right in equal sections with small overlaps. 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Further reproduction prohibited without permission. 8626317 Houiti, Ahmed INDUSTRIALIZATION AND ECONOMIC DEVELOPMENT: THE EXPERIENCE OF POST-INDEPENDENCE ALGERIA, 1962-1984 The American University Ph.D. 1986 University Microfilms International 300 N. Zeeb Road, Ann Arbor, Ml 48106 Copyright 1985 by Houiti, Ahmed All Rights Reserved Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. PLEASE NOTE: In all cases this material has been filmed in the best possible way from the available copy. Problems encountered with this document have been identified here with a check mark V . 1. Glossy photographs or pages______ 2. Colored illustrations, paper or print_______ 3. Photographs with dark background_____ 4. Illustrations aro poor copy ^ 5. Pages with black marks, not original copy______ 6. Print shows through as there is text on both sides of page_______ 7. Indistinct, broken or small print on several pages / 8. Print exceeds margin requirements______ 9. Tightly bound copy with print lost in spine_______ 10. Computer printout pages with indistinct print______ 11. Page(s)___________ lacking when material received, and not available from school or author. 12. Page(s)___________ seem to be missing in numbering only as text follows. 13. Two pages numbered . Text follows. 14. Curling and wrinkled pages______ 15. Dissertation contains pages with print at a slant, filmed as received ^ 16. Other_______________________________________________________________________ University Microfilms International Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. INDUSTRIALIZATION AND ECONOMIC DEVELOPMENT: THE EXPERIENCE OF POST-INDEPENDENCE ALGERIA 1962-1984 by Ahmed Houiti submitted to the Faculty of the College of Arts and Sciences of The American University in Partial Fulfillment of The Requirements for the Degree of Doctor of Philosophy in Sociology Signatures of Committee: Chairman: A/<dTik>«0 Dean of the College 9 32* saamJqju- i 1985 The American University Washington, D.C. ?0016 THE AMERICAN UNIVERSITY LIBRARY Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. © COPYRIGHT BY AHMED HOUITI 1985 ALL RIGHTS RESERVED Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. INDUSTRIALIZATION AND ECONOMIC DEVELOPMENT: THE EXPERIENCE OF POST INDEPENDENCE ALGERIA 1962-1984 by Ahmed Houiti ABSTRACT This study deals with the problem of industrializa­ tion and economic development in a Third World country, Algeria. The main thesis of the study is that Algeria, like most other Third World countries, is witnessing major economic development and industrialization. Throughout this process of industrialization Algeria is experiencing dependent capitalist economic development. This thesis is discussed through a detailed case study of the process of industrialization and economic development over a period of twenty-two years (1962-1984). Moreover, the process of industrialization and econ­ omic development is analyzed from a political economy perspective and viewed within the international economic order, whereby the major external political and economic factors in shaping Algerian industrialization are dis­ cussed . ii Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. ACKNOWLEDGEMENTS I wish to express my sincere thanks to the members of the committee for their general advice and counsel; spe­ cial appreciation is further expressed to Chairman Dr. Jurg Siegenthaler for his criticism, guidance, and encour­ agement of the study from its outline stage to its comple­ tion. Sincere gratitude is expressed to Dr. Esther N. Chow for her constructive criticism, guidance and encour­ agement throughout this investigation; sincere apprecia­ tion also is due Dr. Ken Kusterer for his constant advice and valuable guidance at various stages of the investiga­ tion. Acknowledgement is also due Dr. Khalid bin Sayeed, Professor of Political Studies at Queen's University, Canada, for his deep interest and critical review of this study. I am very grateful to Dr. Obouzar, Mr. Rouag at the World Bank, and Dr. Labis M. Hassan, Advisor to the Execu­ tive Director at the International Monetary Fund (IMF), for their cooperation and assistance in obtaining the necessary documents and reports for this research. Finally, I am very thankful for my family for giving me the necessary spiritual support throughout all these iii Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. years of study and research. Also, special thanks go to the Algerian government and the Ministry of Higher Educa­ tion (Ministere de 1'Enseignement et de la Recherche Scientifique) for their material support which made this work possible. iv Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. TABLE OF CONTENTS ABSTRACT ............................................. ii ACKNOWLEDGEMENTS .................................... iii LIST OF T A B L E S ....................................viii LIST OF ILLUSTRATIONS...............................xii I. INTRODUCTION ......................... 1 Organization of the Study ................... 2 The Research Problem ........................ 5 The Research Methodology ................... 11 Theoretical Framework ..................... 13 II. GENERAL HISTORICAL BACKGROUND ............. 26 Algerian Social Formation under French Occupation, 1830-1962 ............... 28 Social, Economic and Political C o n d i t i o n s ............................... 30 Agriculture............................ 34 I n d u s t r y ................................39 Birth of Nationalism and Political Struggle .......................... 44 III. THE CHOICE OF THE ALGERIAN INDUSTRIAL MODEL AND DEVELOPMENT STRATEGIES ............. 52 Ideological and Political Foundation.... 52 The Evian Agreement (March 1962) . 53 The Tripoli Programme (June 1962).... 55 The March Decrees (March 1963) 57 The Algiers Charter (April 1964).... 62 Algerian Development Strategies ........... 67 Conclusion................................. 77 IV. CONSTRUCTION OF THE POST-INDEPENDENCE ECONOMY ....................................... 78 The Period of Transition (1962-1966).... 78 The New Industrial Doctrine (1966-1969) 86 v with permission of the copyright owner. Further reproduction prohibited without permission. The Structure of Post-Independence E c o n o m y ......................................95 Private Sector .......................... 97 Self-Management or Autogestion S e c t o r ....................................102 Public or State Sector ................. 109 Conclusion: The Algerian Social Class Structure............................. 110 V. HYDROCARBONS INDUSTRIES ..................... 115 Introduction .............................. 115 The Strategic Importance of the Hydrocarbons Sector ................... 121 Oil I n d u s t r y ............................... 130 Gas Industry ................................ 143 Petrochemical Industries ................. 161 Conclusion.................................. 165 VI. HEAVY INDUSTRY ................................ 169 Introduction ............................... 169 Metallurgical Industries ................. 174 Mechanic Industries ....................... 181 Construction Material Industries ......... 186 Mining Industries
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