nflation led to the erosion of real wages for the middle classes and the urban poor. All these factors only aggravated Egypt’s social conflict and exacerbated the political crisis that confronted Mubarak.
To be sure, Egypt’s military-backed regime also faces problems that are not directly related to the country’s economic condition. These are tied to ongoing efforts to establish a functional political system with the capacity to represent various societal interests, create an intermediate political class to populate the parliament and local government, and contain political Islam. There is little doubt that economic conditions would impact the options available to the regime in dealing with these challenges. However, it is far too economistic and reductionist to see them as chiefly economic issues.
prices will be rising at a slower rates
social policies