...the House of Saud sells its oil only in US dollars - thus the pre-eminence of the petrodollar - and in exchange benefits from massive, unconditional US military and political support. Moreover the Saudis prevent the Organization of Petroleum Exporting Countries (OPEC) - after all they're the world's largest oil producer - to price and sell oil in a basket of currencies. These rivers of petrodollars then flow into US equities and Treasury bonds.But, hold on! Escobar looks at some trends which suggest a very different scenario in the future. You see, a major factor propping up the Empire is the imposition of the US dollar on most of the rest of the world. It is very much like a hooligan in your neighborhood forcing everyone to use his money. This is a huge benefit to him. He can merely print money, and as much as he likes and use it to get the goodies he wants from everyone in the neighborhood.
in the time remaining, to help us understand how the man-made system of capitalism will lead to the extinction of our human species, and so many others.
Friday, January 20, 2012
The US-GCC fatal attraction
Click here to access article by Pepe Escobar from Asia Times Online.