Because of countless wars, hero-complexes, corruption and sectarian idiots we have fallen so far behind that there may be no chance for recovery.
The rich Arab countries used to need us as a conduit to the west. That put us as a unique position, a gateway between one culture and another.
Well they don't need us any more. They have more money, better education, better banking systems, better infrastructure, better international connections, more beautiful cities, improving cultural awareness, and all in all a generally better outlook on the future than we do.
But hey, Lebanese women can wear short skirts, and Lebanese men are so cool, and that's really all that matters. Right?