The Petrodollar and American military exploits.

Oct
19
2012

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The video, ominously titled “The Road to World War 3″ examines the history of the dollar, its relation to oil, and the real motives behind the ongoing wars, conflicts and covert operations of the past two decades.

During the 1944 United Nations Monetary and Financial Conference, 730 delegates from all 44 Allied nations gathered at the Mount Washington Hotel in Bretton Woods, New Hampshire to establish rules for commercial and financial relations among the world’s major industrial states in the mid-20th century. The key outcome of the agreement was for each country to adopt a monetary policy that maintained the exchange rate by tying its currency to the US dollar on the condition that each US dollar would be redeemable in gold at the consistent rate of $35 per ounce.

On 15 August 1971, the United States terminated convertibility of the US$ to gold in what is now known as the Nixon Shock. This brought the Bretton Woods system to an end and saw the dollar become fiat currency: money that derives its value from government regulation or law and not a commodity such as gold.

In 1973, the United States implemented the Petrodollar system: a system of exchange whereby the petroleum exporting countries would exclusively accept US dollars in exchange for oil. The first deal was with King Faisal of Saudi Arabia, who agreed to price all Saudi oil in US dollars and even to invest some of their profits into US Treasury securities. In exchange, the US would provide weapons to the Saudis, along with US military bases to “protect” the Saudi oil fields.

By 1975, similar deals were struck with almost every member of OPEC (Organization of the Petroleum Exporting Countries). Those oil-producing nations who agreed to denominate their oil in dollars and then invest their profits into US Treasuries get weapons and “protection” in return.

No OPEC country opposed the US petrodollar system until November of 2000. France and a few other EU members convinced Saddam Hussein to defy the petrodollar process and sell Iraq’s oil for food in euros, not dollars.

As soon as Iraq began selling its oil exclusively in euros the U.S. government with the assistance of the mainstream media began to build up a massive propaganda campaign, claiming that Iraq had weapons of mass destruction and was planning to use them. After the US assumed control of the country, oil sales were immediately switched back to dollars. No evidence of W.M.D.s was ever found.

Between November 2000 and the March 2003 invasion, several other nations hinted at their interest in non-US dollar oil trading, including Russia, Iran, Indonesia, and even Venezuela.

In Libya, Qaddafi initiated a movement to refuse the dollar and the euro, and called on Arab and African nations to use a new currency instead: the gold dinar. He suggested establishing a united African continent, with its 200 million people using this single currency.

The initiative was viewed negatively by the USA and the European Union, with French president Nicolas Sarkozy calling Libya a threat to the financial security of mankind; but Qaddafi continued his push for the creation of a united Africa.

To protect the petrodollar from this new threat the US and NATO helped destabilize and topple the Libyan government in 2011. On Aug. 22, after six months of fighting, rebels, with the support of US and NATO forces, claimed the capital city, Tripoli, formally ending Gaddafi’s 42 year regime.5

The United States continues to enforce the petrodollar system with military personnel deployed in more than 150 countries around the world, with 7.5% its 1.4 million active-duty personnel serving outside the United States and its territories.6

It is clear that all opposition to the US petrodollar system must be eradicated. We perceive nations who do not submit to our economic dominance as a threat and will justify military intervention by any means necessary, including unparalleled propaganda campaigns and crimes against Humanity.



1. StormCloudsGathering, The Road to World War 3
2. FTM Daily, America’s Petrodollar System: A Timeline of the Rise and Fall of the U.S. Dollar
3. Casey Research, The Demise of the Petrodollar
4. Global Research, The Libyan War, American Power and the Decline of the Petrodollar System
5. Time, Top 15 Toppled Dictators: Muammar Gaddafi
6. Wikipedia, United States military deployments

Author: James

Hello, my name is James. I am a digital artist, designer and blogger, currently employed as web developer at Monetate. This blog is a collection of my ideas, inspirations, and reactions to news or anything else that intrigues me. Enjoy!

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