Where Have All the Petro Dollars Gone?
There's an old Jackie Mason joke, "I love Puerto Rico. I go there every year– just to visit my hubcaps." I mention this funny/racist joke because gasoline prices have more than doubled in the last four years and the money's going… where exactly? Sure, Exxon Mobil and their oil baron friends are posting quarter after quarter of historic record profits. But how many cigars can you light with a $100 bill? Someone else must be getting fat and happy too, right? Right. Investment adviser, Ron Paul fan and economic blogger Michael "Mish" Shedlock posits that a lot of the oil revenue is headed towards the UAE's capital city. How much oil revenue? Only about six percent of the UAE's take home comes from actual oil. However, the JAFZA free trade zone offers many perks for those with huge surpluses of cash to, uh, invest. Check it: come 2009 Dubai will feature the world's tallest building (The Burj Dubai — 2,684 ft), the world's tallest structure (The Al Burj — 3,937 ft), the world's tallest hotel (The Burj al Alam — 1,644 ft), the world's first underwater hotel (Hydropolis), the world's biggest amusement park (the Disney World trumping Dubailand) and even more indoor skiing. Not to mention the world's largest waterfront and hundreds of luxury man-made islands. Let's put it this way: Dubai is home to about 20 percent of the world's [mechanical] cranes. Have a look.