In spite of Jordan's insignificant natural resources and geopolitical problems, industrial development is being emphasized in Jordan since 1972. Industries are now the second largest sector of economy. Industries contributed 10% of the GDP in 1972, 19.5% in 1989 and 17.4% in 1993. This is remarkable as the national investment in industries is declining. The investments for industrial development
... [Show full abstract] was 30% of the total national investment in five year development plans (1976–1980), 23% in the next plan (1981–1985), and 13% in the following plan (1986–1990).
The number of; industries has increased from 2500 in 1959 to 4684 in 1974, to 8533 in 1984, and 18600 in 1992. The employment or labor force also increased from 10,000 in 1959 to 70,000 in 1988, and to 110,000 in 1992. It represents about 16.4% of the total labor force in Jordan, the index number of industrial production also increased from (100) in 1979 which was the same base year, to (151) in 1983 to (205) in 1987 and to (215) in 1993. The study was based on three hypotheses: (i) the magnitude varies from one industry to another at the national (Jordan) and local (governorate levels), (ii) temporal change in the magnitude of industries has taken place during the period 1979–1992, (iii) the temporal change in the magnitude of industries was positive in some industries and negative in others.
