Globe and Mail (Toronto) - January 12, 2004
OPEC mulls move to euro for pricing crude oil
By PATRICK BRETHOUR
Calgary - OPEC is considering a move away from using the U.S. dollar - and to the euro - to set its price targets for crude oil, the highest-profile manifestation of the debilitating effect of depreciation on the greenback's standing as the currency of international commerce.
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Who knows, in the near term, how far this will go.
Still, it's remarkable to read this sort of thing which shows that people around the world are beginning to re-consider - openly - some elements of the world s dependence upon the dollar.
Here's what occurs to me however...
The primary (and, I think, well considered) explanation for the Iraq invasion from folks who concern themselves with capital flows and petroleum is that it was part of an initiative by the Bushies to prevent a move away from the dollar to the euro as the currency of choice for petro-business (among other strategic and perception-shaping goals).
A good example of this thinking is found at <http://www.rupe-india.org/34/military.html>.
In short, if the US maintains force practically on top of the world's largest reserves who would dare challenge dollar hegemony?
Now, we are hearing noises from the event horizon about just such a challenge despite the presence of US forces practically on top of the world's largest reserves.
This seems to invalidate the argument though it may be that the analysis is correct (as far as it goes) but events moved in a wholly unforeseen direction.
This leads to another, related question.
What benefit are elites extracting from Bushevik militarism and belligerance? Other than a few firms - the chosen few - I cannot discern any gain for the broader corporate / political ruling class.
How deep I wonder, is support for Bushevism among elites?
DRM