Defending Liars Writer

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    • ON: Mon Apr 28th 17:37 PM
      Commented on:
      Iranian Oil Bourse Starts Trading, Sans Dollar Contracts
      The politics of oil aren't totally captivated in this piece or the alarmism associated with either of these pieces. Consider for a moment that the United States already has a well developed exchange that has been working for a long time. As the largest consumer of energy in the world, the United States is just about everyone's (Russia, Saudi Arabia, UAE, Kuwait, Canada, Mexico, et. al) biggest customer, except Iran given their torrid history.

      Consider also that the United States right now can and probably should do is rebalance its markets by creating economic haven's with a national tax credits for energy corporations which would stimulate growth in the energy sector (i.e. foreign and domestic investment) and thus move more dollars from the fleeing Middle Eastern markets to domestic markets, creating jobs, and allowing more favorable foreign investment (i.e. because the dollar is weak). This would increase domestic energy production significantly which we can do easy enough in a 3-5 year plan allowing the U.S. markets to correct themselves more gracefully. It would also normalize the energy trade making America a larger exporter of energy rather than an importer which could fix some of these small problems with people wanting to flee from the dollar.

      The third aspect of this is a realignment of U.S. energy policy for conservation efforts. President Bush, to combat this threat took 5 years for the Congress to pass his energy policy but a 20 year moratorium on nuclear power was lifted. Hundreds of upgrade and expansion projects for domestic coal power production was approved and tax credits are given to homes that are embracing alternate sources of energy like wind and solar power. This is smart energy policy. When coupled with more cars using hybrid technology and more cars having access to plugging into their walls in their garage, Americans are embracing this in droves in the face of $4/Gal. gasoline.

      The last thing that needs to happen is that the inflation of the currency needs to stop. The economic policies of the Fed right now in the face of the mortgage crisis and the borrowing needs to stop. Americans need to be given more incentives to invest rather than borrow. This should occur with the privatization of social security as the Chilean's have done creating another prudent economic policy that many state agencies have set up for their state employees like Firefighters and Police officers. These investment engines power the investment economy currently in the United States and social security is a drain on the U.S. economy because U.S. politicians can't do it better than Wallstreet---ever.

      So all that I have to say is this...take that Iran. Stick this dollar in your Euro-wanting, Rupi-trading, Ruble-exchangin' eye. The question here is what is mightier, the dollar and the American economy or the Iranian exchange? Russia found this out the hard way during the Cold War and adopted a market economy. China learned this the hard way as well now having a MFN trading status with the U.S....300 million people will work harder, smarter and faster than any other people on earth for that almighty dollar...That is the beauty of the American economy.

      The real question for Americans here then--- which Presidential Candidate will head the U.S. Energy Department to accomplish these goals and why isn't anyone in the Presidential campaign talking about this kind of stuff that matters to the average American? h-e-ll-oooooh?
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