Originally Posted by campimp

it is much closer to happening than most people realize. It will not come in the form of the world bank stating that it has changed its policy or anything like that. If/When it happens it will come in the form of more and more countries stating that they are going to be buying / selling their oil in something other than dollars

right now there are only a handful of countries that buy and sell oil in euros, that will change soon enough. iraq decided they would start dealing oil in euros... that happened about 6 to 9 months (not sure exact dates) before we invaded them.

the first thing we did was reverse that policy.

a lot of people argue that we invaded iraq for its oil. that is not true. we did not get any extra oil from iraq, but we did force it to sell its oil in u.s. dollars

the reason foreign countries are forced to keep large inventories of dollars is so they can buy oil. they are definitely not keeping dollars because its a good investment, that has not been the case in a long time