In a jawdropping article released this morning by John Perkins, he lays out very compelling evidence and arguments that there was an issue even bigger than oil behind NATO/US intervention in Libya—plans to form a gold backed currency of their own which would bring the whole world banking system to its knees. http://www.johnperkins.org/?p=1051.
The currency at issue is the gold dinar. The Guardian has debunked the idea that the Gold Dinar is a threat to capitalism beacuse it doesn’t believe in the viability of a currency system based on gold coin, for practicality and for creating a sufficient supply of gold for such a currency. Whether Qadhaffi planned to actally use the gold dinar in coin or as a paper currency as the $us once was is not yet clear to me but he was organizing and advocating a union of African Nations with the Gold Dinar as it’s standard and advocating among other middle eastern oil producing nations adoption of the gold dinar and the settlement of of all oil exports in gold dinar instead of $US. There has been a growing movement for many years for all Muslim countries to unite in currency via the gold dinar. I dont know enough about currency to assess whether the assurance given us by the Guradian is real comfort but any switch in the currency standard from $Us would be devastating to the U.S. economy. That is certain.
Although not developed in his article, I believe such a move would also eliminate all possibility of the US/EU and other non-opec nations having any ability to control the price of oil in their own countries..It would be beyond even the possibility of a buyers cartel as I have advocated here in another essay. And obviously it would threaten a complete shift in the balance of power globally from EU/US domination to domination by OPEC . In effect the end of the present era.
Perkins claims that Sadaam Hussein had announced and was pursuing a similar currency plan in the immediate lead up to invasion of Iraq. In other sources I have seen more detail on his isnitaitves at the time of the invasion. He was apparently organizing an oil sellers exchange in which all sales would be gold dinar. The same kinds of initiatives have been on the burner for several years in Iran according to another reputable blogger/author writing in October 2006. That author, William Clark predicts that could also make Iran a target for intervention. At the time this article was written Iran, along with many other oil producing nations were consifdering shifting to a Euro base for oil exchanges since, at the time, the US dollar was considered over valued by virtue of being the currency of trade for oil. Even that change from $us to $EU would have a devastating effcet on the US dollar in world markets and a devastating effect on the entire U.S. economy. http://www.projectcensored.org/top-stories/articles/9-irans-new-oil-trade-system-challenges-us-currency/.
I cannot say it better than Perkins so I’ll just quote from the article.
“ So, we might ask ourselves: What happens when a “rogue” country threatens to bring the banking system that benefits the corporatocracy to its knees? What happens to an “empire” when it can no longer effectively be overtly imperialistic?
Understanding the war against Quaddafi as a war in defense of empire is another step in the direction of helping us ask ourselves whether we want to continue along this path of empire-building. Or do we instead want to honor the democratic principles we are taught to believe are the foundations of our country?
History teaches that empires do not endure; they collapse or are overthrown. Wars ensue and another empire fills the vacuum. The past sends a compelling message. We must change. We cannot afford to watch history repeat itself.”
And I might add, or is it too late? Is it inevitable that the OPEC nations will form their own currency and price oil in that currency. Is there really anything we can do to stop that or did we stay too long at “Colonialism Fair”
I am going to plant my sunflowers. This is too much for me. They will grow and I will harvest them whatever happens..but I have to get my heart and head around this one.
Cove Meadow May 1,2011