Petro-Euro Vs Petro-Dollar?

The full scope of my hatred for the Liechtensteiniacs would take too long.

But, since they are a country of 30,000 that prospers solely from hiding taxes of the rich of other countries (mostly Germany) essentially they are 30,000 criminals. Ok a few make hand-tools so they might be spared.

They are run by a monarch names “Prince von und zu Liechtenstein”. That is really is name. For that reason alone he should suffer a slow death. Perhaps it is hard to understand how ludicrous this name is without understanding German, but trust me.

So we have a tiny nation of 30,000 criminals run by a ludicrous and tyrannical monarch in the heart of Europe. What more reason do we need? If you need a final reason here it is - They have a Germanic name for their country BUT THEY SPEAK FRENCH!

Besides, the country is so small it would only take 2 bombs.

OPEC Has Already Turned to the Euro
GoldMoney Alert
February 18, 2004
...The source for the euro exchange rate is the Federal Reserve, and I have calculated the euro's average exchange rate to the dollar for each year based on daily data.

US Imports of Crude oil
(1)	(2)	(3)	(4)	(5)	(6)
Year	Quantity (thousands of barrels)	Value (thousands of US dollars)	Unit price (US dollars)	Average daily US$ per € exchange rate	Unit price (euros)
2001	3,471,066	74,292,894	21.40	0.8952	23.91
2002	3,418,021	77,283,329	22.61	0.9454	23.92
2003	3,673,596	99,094,675	26.97	1.1321	23.82

We can see from column (4) in the above table that in 2001, each barrel of imported crude oil cost $21.40 on average for that year. But by 2003 the average price of a barrel of crude oil had risen 26.0% to $26.97 per barrel. However, the important point is shown in column (6). Note that the price of crude oil in terms of euros is essentially unchanged throughout this 3-year period.

As the dollar has fallen, the dollar price of crude oil has risen. But the euro price of crude oil remains essentially unchanged throughout this 3-year period. It does not seem logical that this result is pure coincidence. It is more likely the result of purposeful design, namely, that OPEC is mindful of the dollar's decline and increases the dollar price of its crude oil by an amount that offsets the loss in purchasing power OPEC's members would otherwise incur. In short, OPEC is protecting its purchasing power as the dollar declines.

Those are all very valid reasons (especially the speaking french one) but there are plenty of other little nations around that make their living primarily by manipulating other nations citizens accounts, including for example, Gibraltar, Bermuda, the channel islands, Andorra, and even Monaco.

I think it is very unfair of you to single out only lichtenstein to be bombed. Try raising this issue over at DU - I feel sure they would insist, (in the interests of fairness and equality), that these other countries get bombed as well.

The US no longer responsibly manages its currency, and in fact is taking steps that will actively devalue it even further.

It takes an openly belligerent enemy to come out and say it, but the dollar is taking slow steps to the exit as a reserve currency, though the unwinding will take years if not decades.

Hmmm...but from what has been said it seems debateable as to whether this is a good thing or a bad thing, or at least there are advantages and disadvantages to it.

World Currency, Gold, Oli, etc

The article does appear amateur and has conspiracy theories galore. But it makes an attempt, and succeeds, in bringing some serious issues to the fore.

Before dismissing the points in this article one should read history, especially the history of money going back to the Roman Republic. The key insights from history are:
- empires rise and fall based on the rise and fall of the value of their currency.
- The history of the invention of banking and the fractional reserve system by a Scotsman (John Law) at the French court in the early 1600s is especially fascinating and illustrates starkly the benefits of issuing paper currency and the dangers of abusing the trust of the public that paper money requires. The French Revolution is a direct consequence of the abuse of the public purse by the French kings of the time.
- the surest way to debilitate a nation is by the devaluation of its currency
- being a world currency bestows a huge value to the issuer in terms of ‘seignorage benefits’ - the benefits that accrue to the issuer of a currency. Refer to ‘Creating New Money’ published by the New Economics Foundation (London). This pamphlet deals primarily with the benefits of Seignorage reform for the UK economy, but is also applicable to the US$ as a world currency.

The key points of this article are consistent with historical parallels. If the Euro (or another $) were to become a dominant world currency it would pose the biggest long-term threat to the dominance and prosperity of the USA. What the US government is doing about it is open to speculation, this is where the article is weak.

Gold is still the only and best store of value known to man. Gold is neutral - no nation dominates on a Gold Standard. Oil could be considered a modern, temporary alternative. It is no co-incidence that the Swiss Franc is one of the strongest currencies in the world, as it has the highest gold backing for its currency. It is inevitable that the Swiss Franc will continue to strengthen against all paper-backed currencies (provided the Swiss maintain their fiscal prudence and independence). The author is right to describe the unilateral decision of the USA to tear up the Bretton-Woods agreement in 1971 as equivalent to dishonoring its debt, which was acquired from others in gold. The repercussions of this action and the subsequent debasement of the paper US$ will take decades, perhaps more than a century to unfold, but one can see the process progressing right now, in our lifetime.

Truly, there is no free lunch. We cannot spend more than we produce, which is what the US has been doing for the past many decades, at an accelerating rate! The day of reckoning will come when the debt will have to be paid - either in war, economic slavery or prolonged hardship.

Unfortunately, these points are rarely communicated to the masses. That is probably a contributing cause of the apathy among the general public on these matters.

Einigkeit_Recht_Freiheit - I liked your reasons for bombing Leichtenstein LOL !! But perhaps one might ask - the tax regime in the other countries might be so unfair and tyrannical that it drives its citizens to take their money to places like Leichtenstein.