I wonder if the UK and other cities are struggling more with the first or second
These are not places were you want to fall the wrong side of the invisible barrier.
I'd gladly trade a little bit of freedom (the freedom to criticize a government that isn't even mine) in exchange for this massive improvement in security. Apparently a lot of Western entrepreneurs are feeling the same way lately.
On a side note, a friend who used to work in the Dubai Police told me that even they're getting swamped with the rapid increase in population, and even they're getting subjected to budget cuts of late. There used to be a time when part of the police force was even foreign, but those positions were eliminated in favor of a UAE-nationals-only force.