If you want to be a top 10 economy in the world having a large population is alfa and omega. Where would the US, China, India, Indonesia, UK, France, Germany etc. be with 25 million people? Nowhere to be seen. That is the reality. If we had 80 million people (Arabia) we would be in the top 10 but living standards would drop a bit.
Education is everything. 40-50 years ago where the situation was much different (people in KSA, the Arab world, MENA, developing world were not as educated and informed today, literacy rates were much worse everywhere) and people believed blindly in authorities. If a cleric x or y said something people generally tended to follow it. Rulers (kings) could throw untold riches away (King Saud) and even other high-ranking House of Saud members could do little until said king was removed and died in exile in Greece not far away from KSA. When 50% of the population feels that this is also their country, the country is much stronger as well.
I think that Arabs have feel threatened (from their own rulers mostly) and in some cases the US (Iraq) and Israel (Palestine) for much longer than anyone else in the region and with very few results other than misery. It is time to look inwards first and foremost and correct the ills and improve on all fronts (or at least try to) before creating some enemy to gather around. No regional country will ever be any threat for us (Arab world as a whole) due to being much weaker, outnumbered on all fronts compared to us be it size, geography, population, economy, military power etc. so there will never be a day where say Arabs from Mauritania to Oman will rally against "enemy x or y". If the US could not even do it let alone Israel in the 1960's and earlier, nothing will.
I have said it many times, currently the Arab leaders are their own biggest enemies and Arabs within their own countries. If that was not the case Syria, Libya, Yemen and Iraq would not have experienced what they did although in the latter's case not everything is due to its leaders but for instance Saddam Hussein started messing up really badly after his stupid move to conquer Kuwait. Had he not done so Iraq would be in a a very different place.