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Maintaining an empire dependent upon a "dollars for oil" system

Understanding the petrodollar system will help you make sense of the hundreds of U.S. military bases stationed in over 130 countries. After all, maintaining an empire dependent upon a "dollars for oil" system is no cheap task and requires careful monitoring and oversight of the world's oil supplies. Chief among the potential concerns for the petrodollar guardians are: threats of restrictions on oil supplies, new oil discoveries in potentially "anti-Western" oil fields, the nationalizing of a country's oil supplies, and perhaps most importantly, devising "permanent solutions" to the problems presented by nations who dare challenge the current "dollars for oil" system.

By perpetually expanding the U.S. money supply, America's standard of living increases as well. The only problem with this situation is that the only way that it can be sustained is if the demand for the dollar and for U.S. debt securities remains consistently strong.

Grasping this last point is extremely important. For if the artificial global dollar demand, made possible by the petrodollar system, were ever to crumble, forgeign nations who had formerly found it beneficial to hold U.S. dollars would suddenly find that they no longer needed the massive amounts that they were holding. This massive amount of dollars, which would no longer be useful to foreign nations, would come rushing back to their place of origin...America.

Obviously, an influx of dollars into the American economy would lead to massive inflationary pressures within our economic system.

As the primary guardian of the petrodollar, the U.S. often finds its militaristic adventurism at odds with the goals of foreign nations who do not share the same enthusiasm for confronting sovereign nations over a system in which they share no real direct incentives.

Given these facts, let's now explore how the petrodollar system has affected America's foreign policy actions in the oil-rich region of Western Asia.

Really good .pdf explaining the history and implications of the Petrodollar<<<




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The World Reserve Currency must be maintained by force!

Or else the whole ponzi-scheme falls apart. The oil,money and guns equation is deadly to the planet.

Great summary and link, full of links and reports from over the past 40 years.

"A vote for the lesser of two evils is a vote to keep things the same", Buckminster Fuller..
A choice for liberty is always a choice for liberty.

All of this wouldn't be necessary

if we just adopted solar. ...not PV but REAL solar. Abundant energy for all and paid off quickly at less cost than we're spending today.

America is being used

The EU and China are getting that oil, not us.

Frankly I believe of curracny is based on weapons not oil.

http://cns.miis.edu/npr/pdfs/npr_16-3_harrington_de_santana.pdf

It's like you constantly make topics about the same old bad socialist news from the 90s. The socialists haven't had a bright idea since the 1900s, and all those sucked!

Without oil

Without oil, there are no weapons. Without weapons, major supplies of oil are not needed. One feeds the other in a perpetual cycle.

2014 Liberty Candidate Thread: http://www.dailypaul.com/287246/2014-liberty-candidate-thread

2016 Potential Presidential Candidates: http://alturl.com/mt7tq

"What if the American people learn the truth" - Ron Paul

That's like saying

"Without flour there is no cake", and then along comes the flourless cake, and gluten free is the rage..

Almost,

but not quite ;-)

2014 Liberty Candidate Thread: http://www.dailypaul.com/287246/2014-liberty-candidate-thread

2016 Potential Presidential Candidates: http://alturl.com/mt7tq

"What if the American people learn the truth" - Ron Paul

nice

.