douglaschick0's Blog

Seven years ago I learned a lesson called Greenbacks for Oil that I never knew before. The lesson goes like this: All oil in the world is purchased with the U.S. dollars. It doesn’t matter what country purchases oil from whom, they do it with the U.S. dollar. Iran sells its oil using U.S. money. Venezuela sells its oil with U.S. money.  The United States went from the Gold Standard to the Federal Reserve. (Or Greenbacks for Oil) The Federal Reserve prints out greenbacks and sells it to other countries to purchase oil with. Iraq one day decided that it would no longer accept U.S. money and switched to the Euro dollar. So to purchase Iraqi oil, you must use the Euro dollar. Other Arab nations were about to fall in line with Iraqi, and so we invaded Iraq to liberate them. This is why France and Germany protected so much, because their countries had the most to gain from it.

Now that the U.S. dollar is falling, it takes more U.S. dollars to convert to the Euro dollar, so the price of crude oil rises to account for the low value of the U.S. dollar. (Other country now must purchase more U.S. dollars to equal their dollar.) Because the dollar is weak, stronger foreign money is worth even more. The weaker we become the stronger other nations become driving us down even more. President Bush did not invade Iraq to protect us from terrorist, but for Greenbacks for oil. Our economic wealth is based on the purchase of oil from countries that would wish us all dead. The strength of America used to be on our technology and manufacturing. Perhaps it is not too late to return to that?