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News :: International
WILL IRAN BRING REVOLUTION INTO THE USA ?
26 Jan 2006
Iran’s Oil Exchange Threatens the Greenback
by Mike Whitney
www.dissidentvoice.org
January 24, 2006
The Bush administration will never allow the Iranian government to open an oil exchange (bourse) that trades petroleum in euros. If that were to happen, hundreds of billions of dollars would come flooding back to the United States crushing the greenback and destroying the economy. This is why Bush and Co. is planning to lead the nation to war against Iran. It is straightforward defense of the current global system and the continuing dominance of the reserve currency, the dollar.



The claim that Iran is developing nuclear weapons is a mere pretext for war. The NIE (National Intelligence Estimate) predicts that Iran will not be able to produce nukes for perhaps a decade. So too, IAEA chief Mohammed ElBaradei has said repeatedly that his watchdog agency has found “no evidence” of a nuclear weapons program.



There are no nuclear weapons or nuclear weapons programs, but Iran’s economic plans do pose an existential threat to America, and not one that can be simply brushed aside as the unavoidable workings of the free market.



America monopolizes the oil trade. Oil is denominated in dollars and sold on either the NYMEX or London’s International Petroleum Exchange (IPE), both owned by Americans. This forces the central banks around the world to maintain huge stockpiles of dollars even though the greenback is currently underwritten by $8 trillion of debt and even though the Bush administration has said that it will perpetuate the deficit-producing tax cuts.



America’s currency monopoly is the perfect pyramid scheme. As long as nations are forced to buy oil in dollars, the United States can continue its profligate spending with impunity. (The dollar now accounts for 68% of global currency reserves up from 51% just a decade ago) The only threat to this strategy is the prospect of competition from an independent oil exchange, forcing the faltering dollar to go nose-to-nose with a more stable (debt-free) currency such as the euro. That would compel central banks to diversify their holdings, sending billions of dollars back to America and ensuring a devastating cycle of hyperinflation.



The effort to keep information about Iran’s oil exchange out of the headlines has been extremely successful. A simple Google search shows that NONE of the major newspapers or networks has referred to the upcoming bourse. The media’s aversion to controversial stories which serve the public interest has been evident in many other cases, too, like the fraudulent 2004 presidential elections, the Downing Street Memo, and the flattening of Falluja. Rather than inform, the media serves as a bullhorn for government policy, manipulating public opinion by reiterating the specious demagoguery of the Bush administration. As a result, few people have any idea of the gravity of the present threat facing the American economy.



This is not a “liberal vs. conservative” issue. Those who’ve analyzed the problem draw the very same conclusions: if the Iran exchange flourishes the dollar will plummet and the American economy will shatter.



Here is what author Krassimir Petrov, Ph.D in economics, says in a recent article, “The Proposed Iranian Oil Bourse”:



From a purely economic point of view, should the Iranian Oil Bourse gain momentum, it will be eagerly embraced by major economic powers and will precipitate the demise of the dollar. The collapsing dollar will dramatically accelerate U.S. inflation and will pressure upward U.S. long-term interest rates. At this point, the Fed will find itself between …between deflation and hyperinflation-it will be forced fast either to take its “classical medicine” by deflating, whereby it raises interest rates, thus inducing a major economic depression, a collapse in real estate, and an implosion in bond, stock, and derivative markets, with a total financial collapse, or alternatively, to take the Weimar way out by inflating, whereby it pegs the long-bond yield, raises the Helicopters and drowns the financial system in liquidity, bailing out numerous LTCMs and hyperinflating the economy.



No doubt, Commander-in-Chief Ben Bernanke, a renowned scholar of the Great Depression…, will choose inflation. …The Maestro has taught him the panacea of every single financial problem-to inflate, come hell or high water. …To avoid deflation, he will resort to the printing presses…and, if necessary, he will monetize everything in sight. His ultimate accomplishment will be the hyperinflationary destruction of the American currency …



So, raise interest rates and bring on “total financial collapse” or take the “Weimar way out” and cause the “hyperinflationary destruction of the American economy.”



These are not good choices, and yet, we’re hearing the same pronouncements from right-wing analysts. Alan Peter’s article, “Mullah’s Threat not Sinking In”, which appeared in FrontPage Magazine.com, offers these equally sobering thoughts about the dangers of an Iran oil-exchange:



A glut of dollar holdings by Central Banks and among Asian lenders, plus the current low interest rate offered to investor/lenders by the USA has been putting the dollar in jeopardy for some time… A twitching finger on currency's hair-trigger can shoot down the dollar without any purposeful ill intent. Most estimates place the likely drop to "floor levels" at a rapid 50% loss in value for a presently 40% overvalued Dollar.



The erosion of the greenback’s value was predicted by former Fed chief Paul Volcker, who said that there is a “75% chance of a dollar crash in the next 5 years.”



Such a crash would result in soaring interest rates, hyperinflation, skyrocketing energy costs, massive unemployment and, perhaps, depression. This is the troubling scenario if an Iran bourse gets established and knocks the dollar from its lofty perch. And this is what makes the prospect of war, even nuclear war, so very likely.



Peter’s continues:



With economies so interdependent and interwoven, a global, not just American Depression would occur with a domino effect throwing the rest of world economies into poverty. Markets for acutely less expensive US exports would never materialize.



The result, some SME's estimate, might be as many as 200 million Americans out of work and starving on the streets with nobody and nothing able to rescue or aid them, contrary to the 1920/30 Great Depression through soup kitchens and charitable support efforts.



Liberal or conservative, the analysis is the same. If America does not address the catastrophic potential of the Iran bourse, Americans can expect to face dire circumstances.



Now we can understand why the corporate-friendly media has omitted any mention of new oil exchange in their coverage. This is one secret that the boardroom kingpins would rather keep to themselves. It’s easier to convince the public of nuclear hobgoblins and Islamic fanatics than to justify fighting a war for the anemic greenback. Nevertheless, it is the dollar we are defending in Iraq and, presumably, in Iran as well in the very near future. (Saddam converted to the euro in 2000. The bombing began in 2001)



There are peaceful solutions to this dilemma, but not if the Bush administration insists on hiding behind the moronic deception of terrorism or imaginary nuclear weapons programs. Bush needs to come clean with the American people about the real nature of the global energy crisis and stop invoking Bin Laden and WMD to defend American aggression. We need a comprehensive energy strategy, (including government funding for conservation projects, alternative energy-sources, and the development of a new line of “American-made” hybrid vehicles) candid negotiations with Iran to regulate the amount of oil they will sell in euros per year (easing away from the dollar in an orderly way) and a collective “international” approach to energy consumption and distribution (under the auspices of the UN General Assembly)



Greater parity among currencies should be encouraged as a way of strengthening democracies and invigorating markets. It promises to breathe new life into free trade by allowing other political models to flourish without fear of being subsumed into the capitalist prototype. The current dominance of the greenback has created a global empire that is largely dependent on debt, torture, and war to maintain its supremacy.



Iran’s oil bourse poses the greatest challenge yet to the dollar-monopoly and its proponents at the Federal Reserve. If the Bush administration goes ahead with a preemptive “nuclear” strike on alleged weapons sites, allies will be further alienated and others will be forced to respond. As Dr. Petrov says, “Major dollar-holding countries may decide to quietly retaliate by dumping their own mountains of dollars, thus preventing the U.S. from further financing its militant ambitions.”

There is increasing likelihood that the foremost champions of the present system will be the very one’s to bring about its downfall.


Mike Whitney
www.dissidentvoice.org
January 24, 2006


http://www.dissidentvoice.org/Jan06/Whitney24.htm

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Re: WILL IRAN BRING REVOLUTION INTO THE USA ?
27 Jan 2006
the federal reserve is a cartel of big banks that control the value of the petrodollar. except that the petro ain't ours. so now the house of cards is tottering. well, what did you expect would happen? the only good economist is an unemployed economist. silly americans trusting their government to govern...
Most Likely Scenario
27 Jan 2006
The United States will experience a Depression Era style meltdown. The fascists will finish seizing absolute control and the US will embark on World War III in an effort to regain its position through outright territorial grabs. The US will lose.
Oil ?
27 Jan 2006
So the fact that Iran is desparately seeking nukes, is governed by Islamic Fundamentalist whackjobs, funds Hammas, Hezzbollah, and other assorted terror groups, and would think nothing about giving a nuke to one of these groups to be used against THE WEST, has nothing to the possibility of a military confrontation with Iran.

If Oil is the sole reason, why is it that Russia ( Huge Oil reserves btw) as of this morning, is sideing with the US, EU, and Israel ?.... Maybe because of its own Islamic whackjob problem in Chechnya ?
Wes ignores reality.
27 Jan 2006
So the fact that the USA has nukes, is governed by Christian Fundamentalist whackjobs, funds al-Qaeda, the CIA, the FBI, and other assorted terror groups, and would think nothing about giving a nuke plans to Iran to be used against THE WEST, has nothing to the possibility of a military confrontation with Iran.
No
27 Jan 2006
No. The great neo-communist dream of destroying the United States through violent revolution will not be realized by waging war against Iran.

What will happen is that Iran will be physically reduced to some civilization point in the 1400's to match it's ideological and cultural maturity. Various Jews will hem and haw about it, various other Jews will tell them to shut up, and then ultimately more Iranians will be found working at the local Au Bon Pain.

No further predictions can be made that stand the test of reason.
Enemy
27 Jan 2006
Get in the real world will you. The Islamafacists ruling Iran would cut your throat while you in the middle of your Marxist tirade about how evil the US is.... There is not going to be Communist Revolution in the US. You can dream ,that's cool. So, at the next the demo, you and your comrads in the ISO, Prgressive labor Party, Socialist Alternative, etc. can keep selling your newspapers and dream.. dream, dream, dream drrreeammmm....
Wes is definitely stupid.
27 Jan 2006
iranian head of state is a stupid islamist, but people of iran are not. thought about that ?

if usa dares bombing iran, it will be later bombed to dust by antifascist nations. thought about that ?

do you know what a nuclear threat upon your head means, wes ?

you really want to be responsible for this outrageous HOLOCAUST, wes ?

please shut it up, wes.

we'll assault the pentagon if necessary, you're with us, wes ?

not in our name, and NOT AT ALL
Ok John
27 Jan 2006
I probably know more about nuclear devestation than you ever will. I don't relish the fact of seeing my child in a heap of ashes, or the people who want change in Iran ending up in the same predictament.
However, maybe your parents in Wellesley are as oppressive as you imagine the bu$h administration to be, but the fact is if the mullahs running the show in Iran get a hold of a nuclear device, they will use on Israel or give it to a terrorist group to be used somewhere in the West. These are the same people who are holding a conference to discuss the "myth" of the holocaust. Hopefully the younger people in Iran who are getting sick of rulers wanting a society that is run like it's the 1100's, will have a revolution in Iran.

As I said in a previous post, I don't think the US is perfect, far from it. But, you have to think in the real world.Disarmament would be great, but it's impossible. I'm sure you're for disarmament, but the Western Democracies first, correct ? The other fact is John (real name ?.. How original) I'm a combat vet, and combat vets from my experience tend to be the most antiwar people in society because they have seen and smelled war. We might talk with bravado sometimes, but we truly want war as the absolute last resort. Unfortunately, sometimes it's necessary. Don't worry about having to actually fight John, judging by your post, you lack the intellect and more than likely the balls to ever make it through bootcamp. Semper Fi !
ok wes
27 Jan 2006
ok you're a vet, i understand your sensibility to militarist propaganda, it's a common neurophysiological phenomenon.

but you have to be more careful:

"Iran get a hold of a nuclear device, they will use on Israel "
do you think they're so stupid ? can you imagine the consequences ? they do.
you have to 'realize' that the only people talking in these terms are the hallienron fascist administration and the anti-peace racist faction of israel. they NEED the destruction of Iran, as you could read it above, economiy and ideology. always the same rhetorics.
you still believe in 'alqaeda'? really ?
you should listen to 'Ennemy', for your own safety.

stop watching tv amigo.

we don't need balls to take over the pentagon and the white house, just a big crowd and our constitution, we should'nt need violence.

and... do you really fight with your balls, dude ?
women are also strongly invited in this demo, and i'd rather use guns if it's really the case.

a last thing about your balls : you have to know that the biggest balls belong to the less dominant individuals. the real boss in the jungle has the smallest balls and the smallest dick, he doesn't need more. sexual selection phenomenon.

;-)

and by the way, my name is John, i'm a big black boxer (207lbs) with a long hard dick and heavy balls.
too young to be a vet, but a realistic pacific activist.

i wish you good luck to 'reprogram' your brain,
indymedia is good for you.

see ya mate, take care
Boxer ??
28 Jan 2006
They might explain it, you were hit in the head one too many times. BTW, "balls" is expression.I know some woman who have more "balls" ( or "clit" if you prefer) than some men I know. You seem to be obsessed with male genitalia in your post. It's no big deal, someone's sexual orientation is their own business, whatever you're into that's cool.

As far as being brainwashed by TV, I have a masters degree in poli sci and I'm currently working on my 2nd masters in international relations at BU. I'm 29 years of age and was an officer in the Marine Corps for six years. Since we're giving physical descriptions, I'm 6-0 about 180, < 5% body fat, have done a few marathons, swim, surf, weights and run regularly. Never had much use for regular boxing,I prefer full contact martial arts disciplines. More useful in the "real world".
Your going to use guns ?... First off, if you're the average inner city person who owns a firearm, you're most likely unlicensed,which means you probably have a gun a say six bullets. Not alot of practice ammo. How often do you shoot? Do you honestly believe you can overthrow the government? Another suggestion and do what you want with my advice, if you are in fact for real ( I'm skeptical) , you might not not want to be stating such things on the 'net. Advocating the violent overthrow of government in today's political climate could bring down alot of unwanted heat on the IMC and yourself.
Well,
28 Jan 2006
"I know some woman who have more "balls" ( or "clit" if you prefer) than some men I know."

No woman has more "clit" than Noah.
lol wes, IRAN WILL BRING REVOLUTION INTO THE USA
28 Jan 2006
"I have a masters degree in poli sci and I'm currently working on my 2nd masters in international relations at BU. I'm 29 years of age and was an officer in the Marine Corps for six years. Since we're giving physical descriptions, I'm 6-0 about 180, < 5% body fat, have done a few marathons, swim, surf, weights and run regularly. Never had much use for regular boxing,I prefer full contact martial arts disciplines. More useful in the "real world"."
lol. in other terms you're useless.

"Do you honestly believe you can overthrow the government? ... you might not not want to be stating such things on the 'net. Advocating the violent overthrow of government in today's political climate could bring down alot of unwanted heat on the IMC and yourself."
ah, you're a tool.
how much do they pay for this kinda bullshit?

however, your art is needed, stop sucking dicks and join us.

circle the pentagon or be circled
John...
28 Jan 2006
Again with your references to male genitalia... Whatever. I actually wish I was still getting money from the g.i. bill to pay for 2nd masters, but that's what a job is for... Honestly John, can you engage in intelligent debate ? If not, please don't "troll". Keep IMC for what it was meant to be, a open exchange of information and ideas, not a place for immature people to sprout off with mindless taunts.
Re: WILL IRAN BRING REVOLUTION INTO THE USA ?
28 Jan 2006
Dear Wes,

"I'm a combat vet, and combat vets from my experience tend to be the most antiwar people in society..."
"Semper Fi !"
hmm..

"Again with your references to male genitalia..."
"you lack the intellect and more than likely the balls to ever make it..."
hmm... upside down, wes, "Honestly".

"It's no big deal, someone's sexual orientation is their own business, whatever you're into that's cool."= 'you little faggot'
"As far as being brainwashed by TV, I have a masters degree in poli sci and I'm currently working on my 2nd masters in international relations at BU. I'm 29 years of age and was an officer in the Marine Corps for six years. Since we're giving physical descriptions, I'm 6-0 about 180, < 5% body fat, have done a few marathons, swim, surf, weights and run regularly. Never had much use for regular boxing,I prefer full contact martial arts disciplines. More useful in the "real world".
were you serious ? :)

a pseudointellectual mythovirilistic egocentric homophobic little man ?

i don't believe it. you must be better than that.
You seem well educated at the political level, i'm curious to see what you would respond to simple questions like:
-what do you think about having only two political parties in this country. do you consider it's democracy ? personnally, i'm not represented in this 'choice panel'. remember voltaire ?
-do you think you are really personnally involved in this 'democracy' ? do you think you weight something in any decision made by the corporate administration ?

"But, you have to think in the real world."
"Unfortunately, sometimes it's necessary."
"Advocating the violent overthrow of government in today's political climate could bring down alot of unwanted heat on the IMC and yourself."

But you just think and act as you are told to. you consider your freedom into the boundaries you were given. when they are violently restrained (patriot act), you obey, you conform.
The limit of this pseudo-democratic system is that the 'pseudo' is critical to its survival.
Real freedom need experienced people like you, whatever should be your ego, your past etc...

you don't have to wait for your freedom, wes. just take it.

democracy means 'power to the people', you seem to forget it too easily.

A large number of my family in florida were NOTeven ALLOWED TO VOTE for one of the two corporate puppets 'proposed' ! for fictitious reasons !!! some laws dating from apartheid!

a damn ridiculous masquerade...
i would personnally use violence as a last resort.
but i also think the time has come.
it has to stop immediatly, before it's too late.
we weren't talking about our democracy, but the programmed nuclear holocaust.

don't you agree with that, wes ?
CIRCLE PENTAGON OR BE CIRCLED
28 Jan 2006
All clear ?
Felons
29 Jan 2006
Let me guess, your relativesin Florida were felons. When you show that you can fuction properly in society, why should you have a voice in how it's run ? So you're ready to take arms against the government. The way I see it, one of two things will come out of that; you'll be killed or you'll get a nice little place to live courtesy of the powers to be in say Kansas for the next 25 to 30 years. Ask my man Kharzi about what federal prison is like? He did time for sedition back in the 70's. And John, an anarcho-communist society is a fantasy, it will never work.
wes...
29 Jan 2006
Empty your mouth before talking