ABSTRACT
Within the framework of the overall subject of this book - the impact of oil revenues on development in the Gulf states - this chapter concerns itself with the concepts of state development planning as expressed by the reality of how the six conservative Arab oil producing nations of the Gulf - Saudi Arabia, Kuwait, Bahrain, Qatar, the United Arab Emirates and Oman - have spent their oil revenues; with emphasis on the past decade when substantial amounts of capital became available after the revolution in oil pricing and ownership of 1973-4. An immediate difficulty in applying conventional economic growth and development criteria to the conservative Arab oil producing nations of the Gulf is the question of measurement. Per capita national income is used by most development institutions and economists as a measure of the degree of national development in a particular country at a certain time.
