Dubai assumes it's too big to fail. We'll see about that
Dubai was supposed to be a new model for economic development in the Persian Gulf, and in the world. And like so many recent "new models," Dubai is proving to be a lemon. The theory was that Dubai would be a competitive, free oasis in a region generally hostile to the open market. Lacking oil resources of its own, it set itself up as a sponge to sop up resources-generated cash. Dubai would be the playground, shopping mall, financial center, cultural zone, beach resort, and second-home mecca of the global oil patch—New York, Las Vegas, and Miami wrapped up in one.