This study describes and analyzes certain population, labor, and education issues in oil monarchies of the Persian Gulf. The countries profiled are Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates (also known as the GCC [Gulf Cooperation Council] countries). Since the discovery of oil, these countries transformed themselves in a similar way from desert sheikhdoms into modern states. Oil revenues, and especially the high oil prices in the 1970s and the early 1980s, allowed for their rapid development. Social changes followed economic growth. Tribal societies, largely of rural or nomadic character, converted themselves into highly urbanized ones, a development that brought a complete change in people's lifestyles. Today, the kingdoms are struggling with issues of unemployment, education, and work ethic as they attempt to fit young nationals into their economies. Although many of these countries employ expatriates as more than half of their labor force, public policy is encouraging more nationals to take their place in the workforce. In order for this to happen, the countries plan to upgrade their educational systems, subsidize work by nationals, force companies to hire more nationals, and try to modernize the work ethic and attitudes of natives of the countries. (KC)