Dubai

This blog has already bored the livin' crap out of you on Dubai: read here.

Let's focus on the important lessons. The noise of them going bankrupt is irrelevant. That was expected, what, three years ago?

Dubai does not have oil.

Ponder that statement for a while. Ponder it, fuckers, ponder it. Don't just sit there. Think about it!

So what do they produce that the world considers "useful" or "valuable"?

The answer, as all such answers tend to be, is rather subtle.

They provided tax-arbitrage and wealth-arbitrage strategies for clueless nations. Just like Singapore.

In the 80's or early-90's, rich Indians could mosey their way to Dubai to buy the crap that their governments didn't allow them to buy internally. Ditto for Singapore.

Free ports? CHECK.
Duty free? CHECK.
Liberal-ish? CHECK.

But the governments wised up sooner or later. Why send the cream to Dubai when you can have it yourself?

Liberalize they did - India, China, Brazil, Russia, Israel, etc., etc., etc.

So remind me again what Dubai's business model is?

Isn't the bankruptcy bloody-fuckin' obvious?!?