Timing the Collapse: Ron Paul Says Watch the Petrodollar!

[youtube=http://www.youtube.com/watch?v=P02vjiEZyUs]

• Timing the Collapse: Ron Paul Says Watch the Petrodollar! 
  by Nick Giambruno, http://www.internationalman.com/
  “The chaos that one day will ensue from our 35-year experiment with worldwide fiat money will require a return to money of real value. We will know that day is approaching when oil-producing countries demand gold, or its equivalent, for their oil rather than dollars or euros. The sooner the better.” (emphasis mine)
  ~ Ron Paul
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  What Ron Paul is referring to here is the petrodollar system. It’s one of the main pillars that’s been holding up the US dollar’s status as the world’s premier reserve currency since the breakdown of Bretton Woods.
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  Paul is essentially saying that, if we want to better understand the answer to the elusive question of “When will the fiat US dollar collapse?“, we have to watch the petrodollar system and the factors affecting it.
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  At the recent Casey Research Summit, I had the chance to speak extensively with Dr. Paul on this subject, and he told me that he stands by his assessment.
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  I believe this is critically important, because once the dollar loses this coveted status, the window of opportunity to take preventative action will definitively shut for Americans.
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  At that moment, I believe the US government will become sufficiently desperate and implement the destructive measures that governments throughout the world and throughout history have all taken (overt capital controls, wealth confiscations, people controls, price and wage controls, pension nationalizations, etc.)
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  But it’s not just the financial implications that need to be considered. The destruction of the dollar is going to wipe out the wealth of a lot people, and that will cause political and social consequences that will likely be worse than the financial consequences. The three points to understand here are:
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  1. You absolutely must be internationalized before the US dollar loses its status as the premier reserve currency. Internationalization is your ultimate insurance policy.
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  2. The US dollar’s status as the premier reserve currency is tied to the petrodollar system.
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  3. The sustainability of the petrodollar system is linked to Middle East geopolitics. Having lived and worked in the Middle East for a number of years, this is a topic I know a thing or two about.
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  From Bretton Woods to the Petrodollar
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  read more!

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