The Economics and Politics of Transition to an Open Market Economy : Egypt Egypt is lagging behind other countries in the Mediterranean region in reforming its economy. This book explains why. The authors contend that the Egyptian political system based to a large extent on discrete patronage and dominated by powerful interest groups was inherently resistant to reform. In addition the countrys strategic position in Middle Eastern politics provided the environment for aid flows which mitigated the need for change by creating an illusion of economic wellbeing. Egypt has thus been protected from the pressure of the international market system. Yet argues this study such pressure is the only effective stimulus to fundamental reform.