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Why Did America Really Invade Iraq?
Koinonia House News Journal Update ^ | April 1, 2006 | Chuck Missler

Posted on 04/14/2006 5:24:17 AM PDT by patriot_wes

Crisis and Repudiation

A dollar crisis erupted in 1970-1971 when foreign central banks, who had been flooded with dollars funding U.S. deficits, began to demand payment for their dollars in gold according to the Bretton Woods agreement. The U.S. had printed so many dollars and borrowed so much money from foreign banks that U.S. gold reserves were rendered insufficient (by a ratio of over five to one!), making full payment in gold impossible. The crisis required an immediate solution to save America from default and bankruptcy.

The U.S. resorted to immediately severing the link between the dollar and gold, making it abundantly clear to all its creditors that America would never repay any of the billions of dollars it had borrowed with physical gold, so the depreciating paper dollars were then backed by nothing but the ''reputation'' of the U.S. Government. The act of severing this link was functionally equivalent to an act of bankruptcy by the U.S. Government.


TOPICS: Foreign Affairs; Government
KEYWORDS: brettonwoods; dollar; goldbug; irac; iran; oil; tinfoil
Long article but very informative. It's about oil and US monetary policy.
1 posted on 04/14/2006 5:24:19 AM PDT by patriot_wes
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To: patriot_wes

Note... the US hasn't had gold backing its money supply for close to 50 years.


2 posted on 04/14/2006 5:32:38 AM PDT by The Great RJ ("Mir wölle bleiwen wat mir sin" or "We want to remain what we are." ..Luxembourg motto)
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To: patriot_wes

I hope we invaded Iraq to: (i) depose Saddam, (ii) maintain a military presence in the most strategic geographic location in the world, forever.


3 posted on 04/14/2006 5:35:07 AM PDT by anton
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To: anton

Article is crazy stuff.


4 posted on 04/14/2006 5:37:07 AM PDT by Tiberius109
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To: anton

and (iii) allow continued growth in the Gulf region unhindered by tyrants


5 posted on 04/14/2006 5:44:30 AM PDT by bert (K.E. N.P. Slay Pinch)
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To: anton
I have a great diagram which displays the disposition of American forces in relation to Iran.
I would post, however I am unable to paste the item in this forum.

The American flag(s) are in Iraq, Bahrain, Turkey, Pakistan, Afghanistan, Turkmenistan, Azerbaijan etc. I think you get the picture.
It is my strong belief that the containment of Iran has been our ultimate goal from the beginning.
6 posted on 04/14/2006 5:52:18 AM PDT by LFOD (Formerly IRAQ - now home.....)
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To: The Great RJ; patriot_wes
Note... the US hasn't had gold backing its money supply for close to 50 years.

Of possible relevance:

. . . What did break down was the rules of cooperation for the convertibility of the dollar into gold and the exchange rates regime. After the war, the US dollar became the international reserve currency. The US also went from being in surplus to running trade deficits. States at first wanted US dollars to meet their trade obligations. They were also happy to let the US run deficits since this provided liquidity in the international monetary system. This situation led, however, to a crisis first anticipated by the economist Triffin in 1960 (R. Triffin, Gold and the Dollar Crisis, New Haven CT, 1960). The problem was that if the US attempted to correct its balance of payments deficit it would cause a liquidity crisis. If it allowed its deficit to continue, other states would lose confidence in the dollar as a reserve currency and seek to convert their dollars into gold. US deficits continued to increase, partly because the US had to pay for its war in Vietnam. Confidence in the dollar started to slide. States began to seek, as the gold standard allowed them to, the conversion of their dollars into gold. The US reacted by announcing in August 1971 that it was going to abandon the convertibility of the dollar.

This unilateral action ended the exchange rates regime that had been negotiated by states at Bretton Woods. Other states were more or less forced to float their own currencies. . . .

Bretton Woods: Birth and Breakdown


7 posted on 04/14/2006 5:57:59 AM PDT by Racehorse (Where your treasure is, there will your heart be also.)
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To: patriot_wes

Those eviiil Jooooish bankers...............


8 posted on 04/14/2006 6:05:02 AM PDT by Always Right
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To: patriot_wes

What, no mention of Kissinger and the Bilderbergs?


9 posted on 04/14/2006 6:05:03 AM PDT by facedown (Armed in the Heartland)
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To: LFOD
It is my strong belief that the containment of Iran has been our ultimate goal from the beginning.

I think that is certainly part of the equation, a part that is long, long overdue. However, I beleive the main reason has more to do with uninterupted flow of oil coming from the region to the world market at reasonably stable prices. I, for one, would very much like to see this side of the puzzle promoted. Folks need to understand that, without oil, everything comes to a grinding hault. I really don't fancy returning to the days of having a closeup view of the a$$ end of a horse to get where I need to be.....

10 posted on 04/14/2006 6:31:02 AM PDT by Thermalseeker
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To: facedown

Don't forget the trilateral commission!


11 posted on 04/14/2006 6:33:31 AM PDT by Uddercha0s
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To: LFOD

I mentioned that very thing yesterday at lunch. There was an ultra-leftie there that doesn't believe any war is worth fighting. He also is of the ilk that believes the US has no right to be the only super power. The rest at the table were all conservatives and many were ex-military. It was a lively conversation to say the least.


12 posted on 04/14/2006 6:38:30 AM PDT by Dutch Boy
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To: patriot_wes

"THE" Reason We Went Into Iraq

http://www.freerepublic.com/focus/f-news/1140929/posts


13 posted on 04/14/2006 6:39:41 AM PDT by TheForceOfOne (El Chupacabra spotted near U.S./Mexican border feeding on illegal immigrants. Pass it on..)
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To: patriot_wes

I understand this guys point about the dollar being backed by gold and all... but soon as I keep seeing him mention the bible you know this is just crap hysteria... surprised there wasnt a link at the bottom of the page to donate to the church of jesus christ of latter day saints or something.


14 posted on 04/14/2006 7:09:04 AM PDT by Element187
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To: patriot_wes

Everyone knows it was to keep the truth of the Roswell crash from being exposed.


15 posted on 04/14/2006 7:19:56 AM PDT by JmyBryan
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To: LFOD
The American flag(s) are in Iraq, Bahrain, Turkey, Pakistan, Afghanistan, Turkmenistan, Azerbaijan etc. I think you get the picture.

Big time.

16 posted on 04/14/2006 7:21:48 AM PDT by Sir Francis Dashwood (LET'S ROLL!)
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Why Did America Really Invade Iraq?


Because we didn't want to nuke them?
17 posted on 04/14/2006 7:22:13 AM PDT by RandallFlagg (Roll your own cigarettes! You'll save $$$ and smoke less!(Magnetic bumper stickers-click my name)
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To: patriot_wes

Once Nixon dropped the Gold Standard the U.S. Economy was doomed for the next ten years.


18 posted on 04/14/2006 7:23:12 AM PDT by H. Paul Pressler IV
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To: RandallFlagg
lol, Good answer, good answer, I like the way you think, I'm going to be watching you!

http://www.kinison.com/video/files/backtoschool_1985_250k.wmv
19 posted on 04/14/2006 7:32:03 AM PDT by TheForceOfOne (El Chupacabra spotted near U.S./Mexican border feeding on illegal immigrants. Pass it on..)
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To: LFOD

I hope so.


20 posted on 04/14/2006 7:47:36 AM PDT by anton
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To: The Great RJ

True, not since Nixon.


21 posted on 04/14/2006 7:48:35 AM PDT by edcoil (Reality doesn't say much - doesn't need too)
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To: Element187
"but soon as I keep seeing him mention the bible you know this is just crap hysteria... surprised there wasnt a link at the bottom of the page to donate to the church of jesus christ of latter day saints or something"

Missler is not a member of any cult. He is however formerly with the NSA. And you're right, only bible bashers could have any credible opinions [/sarc]

22 posted on 04/14/2006 9:13:47 AM PDT by patriot_wes
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To: The Great RJ
"Note... the US hasn't had gold backing its money supply for close to 50 years"

With the Bretton Woods Conference (July 1944 New Hampshire) the US established a "gold exchange standard" for foreign goods and services.

A dollar crisis erupted in 1970-1971 when foreign central banks, who had been flooded with dollars funding U.S. deficits, began to demand payment for their dollars in gold according to the Bretton Woods agreement. The U.S. had printed so many dollars and borrowed so much money from foreign banks that U.S. gold reserves were rendered insufficient (by a ratio of over five to one!), making full payment in gold impossible. The crisis required an immediate solution to save America from default and bankruptcy. The U.S. resorted to immediately severing the link between the dollar and gold, making it abundantly clear to all its creditors that America would never repay any of the billions of dollars it had borrowed with physical gold, so the depreciating paper dollars were then backed by nothing but the ''reputation'' of the U.S. Government.

23 posted on 04/14/2006 9:21:17 AM PDT by patriot_wes
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To: Thermalseeker
"Folks need to understand that, without oil, everything comes to a grinding hault. I really don't fancy returning to the days of having a closeup view of the a$$ end of a horse to get where I need to be".....

You are right about that - the average american doesn't realize that everything he lays his eyes on when he looks around his living room gets here thanks to oil!

24 posted on 04/14/2006 9:25:06 AM PDT by patriot_wes
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To: patriot_wes

So... the final size and shape of the U.S. economy should have been limited all this time to a boundary defined as the amount of a yellow metal we can dig up out of the ground?

hehehehe... sure. Yes... it would have been simple. Third-world simple.


25 posted on 04/14/2006 9:25:38 AM PDT by Ramius (Buy blades for war fighters: freeper.the-hobbit-hole.net --> 1100 knives and counting!)
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To: patriot_wes

we did it to surround IRAN for the next battle!


26 posted on 04/14/2006 9:26:39 AM PDT by rang1995 (They will love us when we win)
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To: TheForceOfOne

Thanks for the link. John Loftus knows his stuff.


27 posted on 04/14/2006 9:35:34 AM PDT by hershey
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To: patriot_wes
OK..one simple question..if all this author says is true then why didn't the US (proclaimed by this author as the world superior military) just invade Saudi Arabia instead of Iraq to get the real oil and break the dollars so called dependence?

Inquiring minds want to know.

The man is truly not the worlds most reliable prophet or interpretor of the Bible me thinks.

28 posted on 04/14/2006 9:48:12 AM PDT by Earthdweller
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To: patriot_wes
And you're right, only bible bashers could have any credible opinions

no but using the bible to "prove" your point of what will happen in the future just makes you a mindless sheep.
29 posted on 04/14/2006 11:02:02 AM PDT by Element187
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To: Element187
"no but using the bible to "prove" your point of what will happen in the future just makes you a mindless sheep."

Bible prophecy has nothing to do with the facts surrounding the Bretton Woods agreement.

30 posted on 04/14/2006 11:54:54 AM PDT by patriot_wes
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