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To: mac_truck; Southack
That's a very compelling argument mac. /sarc Here read This from Breitbart: Davi: Putin and the Petrodollar, What You Didn’t Hear At the Democratic Debate about Putin's interest in the Petrodollar.
41 posted on 11/25/2015 10:30:48 AM PST by RC one (....and subject to the jurisdiction thereof)
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To: RC one

That article completely misunderstands both economics as well as geopolitics.

Here is a crash course on both:
#1: a strong U.S. dollar means the same U.S. money buys more foreign imports.

In turn, that means that every export nation wants a strong Dollar because that sells more of their goods abroad.

#2: breaking the petro dollar would mean a lower, weaker U.S. Dollar. That means that the USA buys fewer imported goods and instead spends more money domestically.

#3: spending more U.S. money domestically improves the USA economy and harms the economies of all export nations and also crushes emerging economies.

#4: pro USA policies are for a weak U.S. Dollar in order to discourage the purchase of imports while improving the purchases of domestic goods.

#5: a petro dollar policy props up the value of the U.S. Dollar, improving the economies of export nations at the expense of the USA economy.

Conclusion: no one wants a petro Dollar policy.


45 posted on 11/25/2015 10:51:37 AM PST by Southack (The one thing preppers need from the 1st World? http://tinyurl.com/ktfwljc .)
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