A NATION OF BUREAUCRATS: POLITICAL PARTICIPATION AND ECONOMIC DIVERSIFICATION IN KUWAIT AND THE UNITED ARAB EMIRATES

Abstract

Not long ago, two safe generalizations could be made about the Gulf monarchies: ruling families dominated their politics, and oil dominated their economies. In recent years that has begun to change. In Kuwait the parliament challenges the political predominance of the ruling family. Meanwhile, Dubai and, increasingly, the other emirates of the United Arab Emirates (UAE) have made real progress in diversifying their economies away from oil—at least until the recent economic crisis. Yet political liberalization and economic diversification have not gone hand in hand: Kuwait's economy remains dependent on oil, and the United Arab Emirates remains resolutely authoritarian. This is no accident. Kuwait's high level of political participation encourages its dependence on oil while the UAE's economic diversification requires a lack of political participation by citizens. The reasons for this are specific to the peculiar political economy of these labor markets: in these richest of rentier-states, there is little need for the class compromise between capitalists and workers on which capitalist democracy usually rests.