ABSTRACT
The impact of events since October 1973 upon politics within the Middle East oil-exporting states may have been less urgent than their impact on politics in the oil-importing world, but, in the final analysis, they were unlikely to be less traumatic. The acquisition of greater wealth and the embarkation upon more ambitious development plans is likely to strengthen the forces of nationalism in the Middle East oil-producing states. Middle East oil-producing countries are unlikely to feel much sense of political community but will become increasingly conscious of economic interdependence. Whether relations between the exporters and importers of oil will evolve in that rational manner is uncertain. With the contraction of world demand for oil since 1973, some must resort to borrowing and some will have to trim or defer particular development projects. The actual expenditure of Gulf oil-producing states on development prospects outside their own territories has so far been extremely limited.
