Quote:
|
Originally Posted by samcol
It doesn't look like it's been for cheaper oil at all. After all oil prices have nearly doubled since 2001. To me it seems like it's about consolidation of oil rather than trying to honestly supply more oil cheaper. The oil companies need to keep their cartel.
This along with the plunging dollar (i think it's dropped like 40 cents against the Euro in 3 years?) is the most seriuos threat to the US economy. I haven't seen the Aphganistan or Iraq war do anything to improve these two huge issues.
|
It could have been worse had they been allowed to continue to use the Euro instead of the dollar for oil transactions and as I stated earlier, Iran is doing just that with it's announcement of an oil exchange using only Euros.
A grab of the huge Iraqi oil fields might not mean cheaper oil now, but if the trend is followed and the petrodollar gets competition, life as you know it will end as it will simply be too expensive to maintain the current standard of living in the US. That land grab and the future concessions wrung from it provides a little more security for the petro dollar, even with a sloghtly raised price for gas. It just means that the price won't go mental all at once.