For anyone who needs to know this answer that views this, then here is the complete reason on why oil is a blessing and a problem. It is just helpful information for this question .
The Oil producing states of the Middle East are Saudi Arabia, Libya, Iraq, Iran, Algeria, and the Persian Gulf States (Kuwait, UAE). Initially, many of these countries lacked resources such as water, were very under developed and were poor. Although they offer some benefits such as infrastructure development and a tourism industry, the oil is a vast detriment to the citizens of these states. Firstly, the oil concessions including the d'arcy concession and the British oil concession of iraq and Kuwait and Aramco in Saudi Arabia etc were bad for these regions because the west took advantage of their desperation and capitalized off of their resources. Once the resources were nationalized, many of the governments used the money to enable corruption, oppression (especially of foreigners) and political influence. Firstly, Tribal leaders became rich kings. The budgest of the states were very blurry and many kings pocketed the money for their own use (except Kuwait). While the 10-15% of the population, the local citizens benefite from the money through jobs, free healthcare, education etc, the vast majority of workers who were from neighboring countries and the philippines did not. Many of these foreigners had families back at home awaiting money. Because the government did not tax their citizens, the government essentially bribed them with social services in order to continue with authoritarian political systems. Thus they had little say in their countrys politics and had to worry about voicing their opinions. Not only did they gain influence over their people, but also on poorer middle eastern states. Egypt and Syria were paid by Saudi arabia to not criticize them and their ways, even when they deserved critcism. Additionally, when their neighboring countries defied their political desires, they would expell the guest workers from these countries, damaging the economies. Additionally, the oil contributed to anti US sentiment. America, being so dependent on oil is greatly invested in these oil producing states.Had it not been for America needing to ensure allies (such as Iran) in the middle east, they wouldn't have been able to sell weapons, which the states could then afford because of the oil money (iraq). Lastly, the revolutions in Libya and Kuwait demonstrate how oil money did not benefit the populations. In Libya, there was mass corruption and a crazy leader, so the population erupted. In Kuwait, where arguably there could have been a revolution, the population was silenced by bribes of money, chickens and sugar.
