by Ali Baba
DUBAI WILL SURVIVE,59$ BILLION IS NOTHING TO DUBAI, keep talking.
by grizzled
Ali Baba,
I take it you're neither an economics major nor a student of history
.
Well, as UBS was going down the drain, it needed 60 billion US. The Swiss governement provided guarantees for that and the bank is afloat again, paying bonusses and now threatening to leave Switzerland because of stricter banking laws (so much for gratitude).
During that time no one was considering Switzerland as going bancrupt, allthough factual owner of a corrupt bank for a limited time.
The same applies here. 60 billion seems like a lot, but its just one company that can be left to die miserably. With empty islands slowly giving themselves back up to the sea as a reminder of local megalomania.
Dubai will survive. It will shrink and its rulers will have to kiss other rulers back sides, but it will survive, because the region can't afford to let it go down. They know they'd join the party sooner than later.
1. Suffering will be burdened on investors of DW, not on the rulers themselves (any one invested in property from Nakheel lately?).
2. The rulers kissed today will be the ones kissing back sides in the future (they are all megalomaniacs and as such incapable of learning)