Dubai is a city in the United Arab Emirates (UAE), located within the emirate of the same name. The emirate of Dubai is located south east of the Persian Gulf on the Arabian Peninsula and is one of the seven emirates in the country. It has the largest population in the UAE and the second-largest land territory by area of all the emirates, after Abu Dhabi.Dubai and Abu Dhabi are the only two emirates to have veto power over critical matters of national importance in the country's legislature.The city of Dubai is located on the emirate's northern coastline. Dubai is often misperceived as a country and in some cases, the whole UAE has been described as 'Dubai'.The earliest mention of Dubai is in 1095 AD, and the earliest settlement in the region dates from 1799.
Dubai was formally established in 1833 by Sheikh Maktoum bin Buti al Maktoum when he persuaded 800 members of the Bani Yas tribe, living in what is now part of Saudi Arabia, to follow him to the Dubai Creek by the Al Abu Falasa clan of Bani Yas. It remained under clan control when the United Kingdom assumed the protection of Dubai in 1892.Its strategic geographical location made it an important trading hub and by the beginning of the 20th century, it was an important port.Today, Dubai has emerged as a cosmopolitan metropolis that has grown to become a global city and a business and cultural hub of the Middle East.Although Dubai's economy was built on the oil industry, the emirate's model of business drives its economy, with the effect that its main revenues are now from tourism, real estate, and financial services, similar to that of Western countries.Dubai has recently attracted world attention through many innovative large construction projects and sports events.
The city has become symbolic for its skyscrapers and high-rise buildings, such as the Burj Khalifa which is the tallest structure in the world, in addition to developments projects including man-made islands, hotels and some of the largest shopping malls in the region. This increased attention has also highlighted labour rights and human rights issues concerning its largely South Asian workforce.Dubai's property market experienced a major deterioration in 2008 and 2009 as a result of the worldwide economic downturn following the financial crisis of 2007–2012.However, Dubai made a steady and gradual recovery. As of 2012, Dubai is the 22nd most expensive city in the world, surpassing London (25th) and is the most expensive city in the Middle East, surpassing Tel Aviv (31st). Mercer rated Dubai as the best place to live in the Middle East.