The Effect of Technological Readiness and Foreign Capital on Economic Complexity in the Selected oil Countries

In a knowledge-based economy, high-tech and sophisticated products play a key role because they are a tool for technological superiority, creating and maintaining competitive advantage, and increasing productivity. One of these indicators is the index of economic complexity. Given the effect of economic complexity on growth, development, social welfare, and competitiveness, as well as the significant gap in the index of economic complexity between developing countries and developed countries need to scientifically examine the factors determining economic complexity to change the approach of resource economics. A knowledge-based economy is essential in developing countries. The present study uses the Generalized Torque (GMM) method to investigate the impact of foreign capital and technological readiness on economic complexity in selected oil countries during the period 2008-2020. The findings of the study indicate that foreign direct investment and technology readiness have a positive and significant relationship with economic complexity in selected oil countries. In addition, the research findings show that natural capital has a negative and significant effect on economic complexity and financial risk control has a positive and significant effect on economic complexity in selected countries.