War on Iran would certainly affect the price of oil and that, in turn, could function as the catalyst that would cause the rapid meltdown of the fraudulent US dollar, and culminate with USA losing its dominant position as the ruling state in the world. In a surprise of all surprises, Israel could then replace USA as the new ruling state in the world, while controlling the new electronic money-system of the world that would then totally replace paper-money.
It is certain that an attack on Iran would result in an instantaneous and dramatic rise in oil prices as well as the price of gold. Few people seem to realize that when the price of gold ‘goes up” it actually amounts to the value of the US dollar ‘going down’. In September 1971 the US government, having solemnly pledged its word, reneged and scrapped the Breton Woods Accord. Britain had acted in September 1971 in accordance with her rights under the Breton Woods Accord in demanding that the US government redeem for gold (at $35 per ounce of gold) a few billion dollars of British-held US dollars. USA was legally obliged to do so under international law, but did not have the gold to redeem all the dollars it had printed and put in circulation both domestically and overseas. That was fraudulent. It could have led to war. But all that happened was that US simply broke her word, reneged from her treaty obligations and scrapped the Breton Woods Accord.
The value of the US dollar has been generally based since then on market demand around the world. Specifically, however, the US dollar has kept its strength because of imperial America’s control over its oil-exporting client-states, insisting that the dollar must be the currency used for the purchase of oil.
USA was devious enough to get the world to accept that it could take any amount of paper and make money with it, and so long as mankind accepted that paper-money, and there was demand for it, USA did not have to worry about where it would find the money to pay for imports, goods, services, etc. It would simply print the paper. But USA ensured that there would be a substantial and significant demand for US paper dollars by imposing upon oil exporting countries the obligation to sell their oil for that US paper-money. The result was that the demand for US dollars remained forever strong, indeed stronger by far than the demand for any other paper money.
But war on Iran would certainly disrupt oil and gas exports from that country and could, conceivably, also result in a shut-down of the strategic Straits of Hormuz through which tankers laden with Gulf oil must pass to get to the open seas.
Twenty-five to forty percent of the world’s oil trade passes through the Straits of Hormuz, which connects the Persian Gulf to the Indian Ocean. If Iran were to carry out such a threat, other big oil producers in the region, such as the United Arab Emirates and Kuwait, would be unable to export oil to Japan, China and the rest of the world.
Oil prices could conceivably increase to $200 a barrel or more, and as the price of gold also escalates as it did in January 1980 ($850 an oz.) the US dollar would so lose value as to become a very significant liability. If some Central Banks and large corporations respond to the falling value of the dollar by turning away from the US dollar in search of a more stable currency which could store value with greater reliability, and if the proposed Iranian oil bourse succeeds in offering an alternative to the dollar for the purchase of oil, this would have disastrous consequences for the dollar. If the US dollar loses its present status as the international currency, such a collapse would bring down with it all the paper money in the world. It would also mark the end of the era of American dominance over the rest of the world as the ruling state. Such would be an entirely positive development for an Israel that is just biding its time to replace USA as the third and last ruling state in history.
0 comments:
Post a Comment