First American Dollar War Defeat
by Ron Holland
by Ron Holland: Where
Will You Go When the Sovereign Debt Volcano Blows?
short story showing how powerful elite interests and central bankers
could manipulate American foreign policy using a black flag event
in order to guarantee the American dollar remains the world’s reserve
currency. This is of course just a work of fiction and hypothetical
case study and the characters have no relation to actual people,
government officials or events.
always prepare to fight the last war." ~ a proverb
Part One –
The following is a short case study about a potential war and financial
crisis starting in the Middle East.
White House Situation Room
for operation "Protect Arab Spring & Democracy"
of the Central Intelligence Agency (CIA) called the meeting to order.
"Mr. President, Vice President, selected members of the Cabinet,
the Joint Chiefs and Senate and House Committee chairmen, it is
a pleasure to be here today along with the Treasury Secretary and
the Chairman of the Federal Reserve."
the sensitive nature of this information, everyone here is to treat
the information we present today as top-secret in nature and any
leaks will be dealt with by the harshest measures available including
enhanced interrogation and even imprisonment in secure facilities
ranging from Diego Garcia to Guantanamo. Any public knowledge of
this meeting will present a clear and present danger to the government
of the United States and will be treated accordingly. Is there anyone
here that does not understand what I have just communicated? Then
we will proceed.
the heightened tensions with the Islamic Republic of Iran, our highest
intelligence estimates indicate an immediate threat of Iranian sponsored
terrorist attacks against oil pipelines, infrastructure, wells and
drilling platforms, civilian oil workers as well as thousands of
US military contractors within the next two weeks. It is the stated
goal of the United States to protect and defend our allies in the
Gulf region and their oil resources therefore we are now activating
Operation "Protect Arab Spring & Democracy."
hasn't actually invaded another nation for hundreds of years although
their foreign policy today is very much about expanding their national
influence and prestige as a regional power in the area.
To this end,
a broad coalition of western nations will comply with official but
private requests for allied troops to protect and defend the oil
resources and infrastructure of the following nations: Kuwait, Saudi
Arabia, Bahrain, Qatar, the U.A.E. and Oman. In addition the rebel
forces fighting Gaddafi as well as the governments of Tunisia, Algeria
and Nigeria have requested French, German and Italian military defense
forces to safeguard their oil regions and resources from terrorist
Kingdom will safeguard Kuwait and their coastline while adjacent
oil producing regions south to the Yemen border will be protected
by American troops recently withdrawn from Afghanistan as well as
additional units airlifted from Germany and the continental United
history has somehow forgotten that the United Kingdom previously
invaded and occupied both Kuwait and Iraq on June 22, 1941, on the
same day that Germany invaded the Soviet Union.
due to a short-term shortage of American armor and ground troops,
the Israel Defense Force (IDF) has been asked to temporarily protect
a land supply route across southern Jordan south of the capital
of Amman (permission has been granted by Jordan) to the Arab Gulf
in Saudi Arabia to just north of the Bahrain causeway up to the
Kuwait border which will be under their temporary defensive control.
This will guarantee Israel oil and gas resources they have lost
following the close of the Egyptian pipeline to Israel during 2011.
We expect a
peaceful repositioning of troops to protect and defend the people
of the Arabian Gulf region from the threat of Iranian terrorist
attacks and outright invasion and nothing more. We are acting at
the specific requests of the governments involved.
that due to the sensitive nature of this action, official notification
to Congress and the American people will be done as soon as the
peaceful military repositioning has been completed. These actions
have already been ordered by Presidential Decision Directive (PDD)
and are like Presidential Executive Orders except these do not have
to be published in the Federal Register and are not a matter of
public record. This was required due to the urgency of the impending
crisis and concern American national security.
the briefing so please remember everything you have heard here today
is top-secret in nature. Please do not jeopardize yourselves, your
government position or your families’ security by any talk outside
this room. Now the President, Vice President, Joint Chiefs, Treasury
Secretary and Chairman of the Federal Reserve will remain for another
meeting on an unrelated topic.
As the advisors
and committee chairman left the situation room, the Treasury Secretary
and Fed Chairman moved to the head of the long conference table
as the CIA Director took a back seat.
spoke first, "Gentlemen we are now convening a meeting of the
National Security Council (NSC) and I’ve invited the Joint Chiefs
of each military branch to participate as they will be charged with
carrying out the secret Presidential Decision Directive. I believe
the people around this table will understand the gravity of the
situation after we hear from the Chairman of the Federal Reserve
and the Treasury Secretary. Mr. Treasury Secretary you may make
your presentation and gentlemen feel free to ask questions at any
For the purposes
of discussion, despite claims to the contrary, the room was filled
with the usual handpicked power-elite, career climbing sycophants
which make up the top echelons of power in Washington and in the
military. Each had brown-nosed and back-stabbed their way to the
top of their own bureaucracies and each had learned to survive and
prosper in the world of Anglo-American elite politics, government
and military service. Every individual had followed the path laid
out by their sponsoring interests who had put them on the fast-track
to career success.
That is all
but one. Army Chief of Staff Thomas Jonathan Hudson was somehow
different from all the rest at the table. After graduating from
West Point, he had actually been promoted to this Army Chief of
Staff position following a long and distinguished military career
without playing the game of power elite politics. He had somehow
arrived at the pinnacle of his army career because of his memory,
leadership qualities and the fact that he always did his job and
Thomas J. as his friends called him loved to read and study military
history and he guessed his awakening started with his initial purchase
of the Tom Wood’s book The
Politically Incorrect Guide To American History back in
2004. This transformed his reading into new areas of political history
and economics about the Civil War and both world wars.
the 2008 financial crash he delved even into finance and politics
with Wood’s Meltdown
book and then Ron Paul’s End
the Fed. Although he didn’t vote for Ron Paul in 2008 because
he thought it improper to mix politics with military service, he
had begun to get a thorough education in what had happened to the
Constitution and his country he had sworn an allegiance to defend.
attended several Mises Institute
events and when at home logged on to read The Mises Blog, LewRockwell.com
and The Daily Bell almost
every day. He read Hayek and Ludwig von Mises including even Human
Now at retirement
age, Hudson was ready to leave the Army and had already typed his
resignation letter when this Iran and oil crisis seemed to develop
almost out of the blue. As always, the general was ready to serve
his country again and do his best to protect our nation and national
interests from the crazy Iranians. He remembered his oath:
Jonathan Hudson), do solemnly swear that I will support and defend
the Constitution of the United States against all enemies, foreign
and domestic; that I will bear true faith and allegiance to the
same; and that I will obey the orders of the President of the
United States and the orders of the officers appointed over me,
according to regulations and the Uniform Code of Military Justice.
So help me God.
And this is
why we know what happened at this National Security Council meeting
because Thomas Jefferson Hudson was a true patriot who loved his
country and he just happened to be blessed with a photographic memory.
If it was spoken or written down, he could recall the information.
of the Treasury stood and made ready to begin his presentation.
Thomas wondered why the Treasury Secretary was even at the NSC meeting
much less presiding but he kept quiet out of respect for the office.
At least the Treasury Department was constitutional and that was
more than he could say for the Federal Reserve.
our best intelligence estimates suggest the Iranian terrorists will
hit major oil infrastructure targets across the Arabian Gulf exactly
2 weeks from today. Your job is to be pro-active and coordinate
with the British, Israeli and of course our Army, Naval and Marine
and Air assets to be positioned in the oil producing regions fully
by that date. Our troops in Iraq will of course protect oil assets
there as well as resist any Iranian army incursion should this happen.
In addition, they will deal with any trouble from the Muqdata al-Sadr's
Mahdi Army in Iraq and the IDF will screen the Saudi Arabian border
Thomas J. spoke
up, "Sir, I assume when you said the Arabian Gulf you meant
the Persian Gulf as we all describe the region." The Treasury
Secretary really hated to be interrupted, "General, we never
refer to the gulf as the "Persian Gulf" as this waterway
is vital to American interests and filled with our oil reserves."
In the future you will always describe it correctly as the "Arabian
Gulf." Using the wrong term could convey Persian or Iranian
dominance or right to the waterway and natural resources and this
would be a big career killing mistake for you, do you understand?"
Thomas J. answered quietly, "Yes Sir" and looked down
at his notes.
asked, "So this is a simple repositioning of military forces
and we do not expect resistance as these governments have officially
asked for the protection?" The Secretary replied, "we
will probably be met with flowers except in the Shia areas of Saudi
Arabia and Bahrain but resistance will be limited as the governments
are all our official allies."
asked a question to the Secretary. "Sir, isn’t most of the
oil region of Saudi Arabia in Shiite areas which are a minority
controlled by the Sunni majority? Shouldn’t we be prepared for combat
and what about all these color or Arab Spring revolutions now threatening
these oil producing nations? I’ve even read where many of the movement
leaders are urging their oil be priced in Euros rather than the
of the oil fields and reserves of Saudi Arabia are in the eastern
area near the gulf which is majority Shiite like Iran. Bahrain is
majority Shiite but controlled by a small Sunni minority backed
and supported by the Saudi Monarchy. Two thirds of the world's oil
reserves and 45% of the world's natural gas reserves are located
around the Arabian Gulf. Is it a coincidence that Iraq, Iran and
Libya have previously voiced plans to price their oil outside the
Secretary suddenly stiffened and his face turned a crimson red.
"General, the policy of your government and the Treasury Department
is a strong dollar policy. Of course, there will be short-term fluctuations
up and down but this is nothing to be alarmed at. Our Arab allies
will never price oil in any currency but the American dollar which
will remain the world reserve currency for the foreseeable future."
Thomas J again
questioned, "But what about the news reports which suggest when
the current governments are overthrown by the Arab Spring revolutions
that the role of the dollar as the world reserve currency is finished?"
The Treasury Secretary responded angrily, "our military defending
these nations will make sure neither the extremist revolutions nor
Iranian threats impact the oil resources or halt the pricing of
the oil in dollars."
when oil is priced in dollars, America has a singular advantage
over every other nation on the planet. For our imported oil, the
Federal Reserve can just create more fiat dollars out of nothing.
All other countries are forced to exchange their currencies for
dollars and then buy oil. This translates into significant dollar
balances which need to be converted into US Treasuries by all nations
needing to purchase Arab oil as well as the oil producing nations
which have to again park these dollars in Treasuries.
of the Federal Reserve spoke up, "remember everyone especially you
general that everything said in this meeting is top-secret. There
would likely be a worldwide run on the dollar and a collapse of
our currency and Treasury obligations should the United States be
unable to continue the free purchase of oil and distribution of
dollars provided by the Federal Reserve.
The cost of
creating new currency and reserves is basically a free service provided
by the FED to the federal government and as long as billions of
dollars in oil are purchased each month, then the world will need
our dollars and buy our Treasury obligations.
This is the
real benefit of the US maintaining the dollar world reserve currency
status at any cost and frankly the real reason we are occupying
most of the oil fields and reserves. The world only gets "our" oil
if they pay us - rather I mean our Arab oil producing allies in
dollars and the dollars they must get from us."
gentlemen, what about the recent news reports from that Chinese
credit rating service suggesting America has already defaulted because
of the severe drop in the dollar verses other major currencies?
The FED chairman replied, "General, if you know what is good for
you, I suggest you stop reading those Australian hm., I mean Austrian
economics articles on your "hate America" alternative media sites
like "Lew Rockwell" or "The Daily Bell" and stay away from that
freedom gadfly Ron Paul. We know you visit those reprehensible sites
almost every day."
at Thomas, "Did you really think for a second we would not monitor
your internet viewing habits from your home computer? You've asked
your wacko questions, wasted our time and now we have to quickly
finish this meeting. I order you to just listen and ask no more
questions at this meeting."
Thomas J. thought
to himself, "Damn, these banksters monitor my email, telephone communications
and my internet viewing habits. What the Hell has happened to my
country? Then he wondered to himself, I guess what they say about
the Patriot Act and the TSA may be right after all.
aren't protecting our Arab friends from Iran or the Islamic fundamentalists
they claim are increasingly leading the revolutions. They are basically
seizing the Middle East oil resources for the oil to use as a bargaining
chip with Europe and specifically China.
Now China is
both the major foreign holder of our Treasury obligations as well
as the largest oil consuming nation in the world and they want to
make sure these Arab governments continue to sell oil for dollars
in order to delay the coming dollar and Treasury debt crash.
This is simply
an invasion to prop up the dollar and steal their oil and nothing
more. They claim this will be a simple military repositioning but
I don’t remember the flowers and cheering crowds welcoming us as
promised by the Bush and Cheney in the Iraq War. Damn, this is just
another central banker and resource war, kind of a modern day version
of the Civil War. Instead of Fort Sumter or the faked Gulf of Tonkin
attack this time they’re blaming Iranian terrorism. Could these
interests be planning the oil infrastructure attacks to provide
the excuse for our troops to move in? Sounds like the fake Polish
army invasion of Germany in 1939.
back to growing up in Lexington, VA, playing on the grounds of Virginia
Military Academy around the statues of Thomas Jackson who he was
named after and Robert E. Lee. Remembering his four years at VMI
he remembered the famed VMI cadet charge against the Union invaders
while defending the Confederate States of America against another
army out for financial and economic gains. Thinking to himself he
guessed history and banking elites don’t change very much.
Thomas J. stood
up at attention and looked directly in the cowering eyes of the
FED Chairman and the Treasury Secretary. Iit took all of his self-control
to maintain his military bearing instead showing his total disgust
for both men. "Sirs, you are committing my nation and my troops
to a military operation which could result in massive casualties
and a prolonged mission just to support the dollar which your past
monetary policies have destroyed. Your goal is obviously to make
your banking and Wall Street friends more blood money. I will not
be part of a military invasion and occupation or a war decided in
secret instead properly declared by Congress."
toward the Treasury Secretary, "I don't care how many secret directives,
hidden combinations or presidential dictatorial decrees you've scared
or forced the President to sign. This is just like your bank bailout
scheme except this time you are sacrificing the lives of my soldiers
instead of the future prosperity of my country."
and I use the term in derision rather than respect, I hereby immediately
resign my military commission. All of you in this room are traitors
to our nation and the republic if you are going to sit here and
back to the forced suicide by Rommel demanded by the Nazi leadership,
"and what are you going to do about it? Give me a choice of suicide
by cyanide or do I get to use a pistol?"
their breath and everything in the meeting room began to move in
slow motion as each turned from the general and began nervously
looking down at the conference room table. Even these men who had
no shame were embarrassed and caught off-guard by the evident truth
of his remarks.
seemed like minutes but actually only a few seconds, the CIA Director
stood and replied. "General, we know you are tired and overworked
and maybe you've seen too many World War Two movies. You need a
rest therefore we will place you on temporary medical leave until
you feel better and this operation is successfully concluded. Guards,
escort the general to our private health facility here at Langley,
make sure he has no recording devices and remind him how this attitude
could jeopardize his pension as well as the security of his family.
Also handcuff him as he might somehow injure himself.
this meeting is adjourned, you know your objectives and timetables."
was over and exactly two weeks later to the day, while the armed
forces of America, the UK and Israel were making final plans for
the troop movements, without warning, a string of terrorist attacks
against oil instillations, drilling sites and pipelines hit the
Arab Gulf region from Iraq to Kuwait and Saudi Arabia and down through
Dubai, the U.A.E, and Oman.
US and Israeli intelligence services were reporting Iran as being
behind the attacks and public requests for Western troops to defend
the oil fields and pipelines were coming in from each of the nations
attacked. In addition, military and police actions against the so
called Freedom Revolutions which according to the State Department
had been infiltrated and taken over by Islamic extremists were begun
across the region.
The world was
amazed at how fast American troops, armor and air assets were transferred
into the Arabian Gulf to defend our friends from whatever Iran might
do next. The President requested temporary military help from Israel
and their armor and motorized and helicopter troops quickly and
professionally secured the long land corridor from Israel through
Jordan to Saudi Arabia and the Arabian Gulf just north of Bahrain
causeway up to the Kuwait border.
given that no western or Israel troops would venture near Riyadh
or the holy cities of Saudi Arabia and that we were there to protect
the freedom revolutions and defend democracy in the region. The
fact there was no democracy in the region except for Israel did
not become one of the talking points for discussion on the mainstream
after the public announcement of operation "Protect Arab Spring
& Democracy"; US and UK cruise missiles began bombarding Iranian
military installations, army, air and rocket batteries. Within 48
hours, the coalition troop repositioning had met their objectives,
and faced Iran from Afghanistan in the north, across the border
from Iraq, Kuwait and through the Saudi oil fields along the eastern
coast to Qatar, the UAE and Dubai including Oman.
Iran had of
course denied knowledge of or involvement with the destruction and
terrorist attacks across the oil rich peninsula but all was quiet
on the Eastern Front.
retaliation but their military forces except for the rocket battalions
were all designed for an expected defensive action. Any military
advancement anywhere along the line would be an open invitation
for Allied air, naval and military superiority to crush the Iranian
forces totally and completely.
hoped and prayed for a military response but assumed that other
than inaccurate rocket attacks by Iran, maybe Hezbollah and scattered
Shiite attacks in the oil fields that they would do nothing. Iran
was too smart to commit national suicide and take on the combined
military forces of Israel, UK and the United States. Still, hoping
for maybe an Iranian naval response against the 5th Fleet that would
allow the US an easy victory, Iran naval assets and naval based
were exempted from the assault.
of course spoke to the nation and Congress with some opposition
by Ron and Rand Paul and a few non-interventionists on the extreme
left and right but they quickly approved the new troop movements
as requested by the Arab governments. Over the next few days, there
were scattered terrorist attacks and demonstrations against the
troop deployments but nothing but rhetoric came from Iran.
Islamic Republic of Iran
Ahmadinejad had certainly been caught off guard personally by the
terrorist attacks on the Saudi and other oil installations and at
first he assumed the Revolutionary Guards were to blame trying to
start a war between Iran and their Sunni neighbors. But then when
the cruise missile attacks began immediately along with the massive
troop movements by the western forces he had to admit the truth.
The Americans had moved first. No matter, his long planned response
to a future Israel attack on Iran would simply change targets.
First he ordered
as many small fishing boats and pleasure craft as possible to the
main Iranian naval base at Bandar Abbas just opposite the Strait
of Hormuz. Then pulling out an Iranian military contingency plan
designed to destroy as much of the Arabian Peninsula oil production
as possible if Iran ever completed the planned number of nuclear
devices, he tossed the booklet in the waste basket and reached for
his favorite English book, One
Second After, dog-eared from so much bedtime reading.
He waited for
the general in charge of the rocket forces to arrive. Ahmadinejad
remained in his office but while waiting he discarded his usual
casual attire and put on a military uniform.
Mohammad Ali Jafari, the IRGC commander-in-chief entered the President's
office, Ahmadinejad was unusually to the point. "General you can
forget our earlier theoretical discussions about Israel. You have
stated on many occasions that 'Our missiles are ready to be fired
at anytime and anywhere. We were able to reduce the weight of our
missiles, and this provides them with great precision.' Is this
very nervous as he never had really expected to fire his missiles
and rockets at American forces but he managed a very loud and confident,
"yes Mr. President if Allah wills it." "Very well then follow through
with your planned attack as has been approved by the Iran Revolutionary
Council - but one of your rockets, one of the Shibab-3's is to be
retargeted to the following coordinates and I now have our best
rocket scientists and nuclear experts calculating what is necessary
for it to detonate exactly 30 miles above the desert."
concerned, had the president lost his mind? The location was 500
miles from anything. Iran with so much effort, international opposition
and at a high financial cost had managed to build one crude nuclear
device. Now he wants to waste our only real deterrent against a
possible American invasion with an insane demonstration for Saudi
Arabia in the middle of Rub al Khali (the Empty Quarter) of the
uninhabited Saudi Arabian desert. A land larger than France, Belgium
and the Netherlands combined with sand dunes that reach 1,000 feet
He had to speak
up. "Mr. President, if we detonate our nuclear weapon there or even
high above the desert, no one will even know we did it." He waited
for a response from Ahmadinejad but nothing came but sort of a whisper
as the President seemed deep in thought, mumbling something like
"but yes they will" and the President added, "thank you for the
visit and dedication to our nation - you may go now."
Central Command, Bahrain
To have apparently
been behind the attacks on Arab Gulf oil installations, the Iranians
were very slow to respond to the situation. American naval assets
had remained near the US naval base in Bahrain where the Fifth Fleet
and Central Command were headquartered. The navy would welcome any
sneak attacks by the Iran or their Revolutionary Guard Corps by
submarine, speedboat or rocket forces.
The world expected
a military response probably a rocket attack and on the 5th day,
hundreds of Iranian missiles and rockets flew toward US military
bases In Iraq and toward ports and oil facilities primarily in Saudi
Arabia and the United Arab Emirates (UAE). Major cities were also
targeted as the guidance systems were often obsolete and most rockets
came down miles from their intended targets.
a large number of various types of Iranian rockets along with a
few of the more modern Shibab-3 versions. During the height of the
rocket attack which occurred at midnight, radar and a few troops
on the ground might have seen a brief high level explosion far larger
than the many missile explosions downed by western anti-missile
defense systems but the high altitude made the nuclear explosion
almost invisible. The explosion was a bright green and as quickly
as it appeared, it was over.
Some of the
rockets had obviously hit major power generating facilities and
electrical transmission lines as within a 400 mile radius of a point
southeast of the Saudi Capital, the entire electrical grid and all
communications were out. This included most of the Saudi oilfields
in the eastern part of the nation, down to and including the United
Arab Emirates to just past Dubai plus the oil region of Oman in
the south and up to and including Qatar and the small island nation
of Bahrain in the north where the US fleet was based.
forces in Bahrain south to Oman were in position but now everything
was dark and communications were out cold. It was late at night
but there were no vehicle lights on the highways, cell phone, radio
and internet communications were out and nothing moved. It seemed
as if everything of an electronic nature in the entire region was
worked but night vision didn't. Hand held automatic weapons were
still operational but tanks, radar, trucks and military vehicles
wouldn't start and neither aircraft nor ships would work. American
nuclear powered aircraft carriers sat still in the water buffeted
by the wind and waves and the reactors began to overheat but no
one knew about this yet because all electronics were out.
No one knew
what had happened except for a few of the top leadership and scientists
in Iran. One of the hundreds of rockets fired west over American
military forces had been fitted with Iran's primitive but first
nuclear warhead. It had exploded as planned 30 miles above the Saudi
desert harmlessly killing only a few buzzards directly under the
explosion. The explosion had been the first EMP attack in history.
the EMP Attack
The next morning,
American troops positioned near the coast and beaches of the Arab
Gulf including Bahrain were all up early watching the eastern sky
for sunrise as communications were out, command and control were
non-existent and everyone was tired of stumbling around all night
in the dark. As the sun began to rise over the eastern horizon they
first noticed pelicans floating way out to sea but upon closer inspection
the birds appeared to be small boats and later some of the boats
were larger and filled with troops and military vehicles.
sky was filled with Iranian missiles targeting the troop concentrations,
followed by the Iranian air force using old obsolete aircraft but
aircraft with electronics not destroyed by the EMP wave because
they were based out of the weapon range. Then came helicopter gunships
etc., the Americans had no way to contact the chain of command,
they began firing at the boats with machine guns and rifle fire
but there was no anti-aircraft defense systems working. The hummers
and armor wouldn't start and the world's most technologically advanced
fighting force had no radar, command and control or communications.
on foot in one of the hottest places on the earth and there was
no water, the water pumps didn't work, no power or air-conditioning.
The American army had been reduced to a World War One level fighting
force without phone, transportation or even vintage biplanes to
observe the enemy. Against them now hitting the beaches with armor,
command and control and air resources was the elite Iranian Revolutionary
Guards, mad as hell and ready for revenge.
By the end
of the second day, without water, knowledge or communications with
the outside world, little food and no way to retreat other than
walk across 500 miles of desert, the largest American army to surrender
since Bataan, after a brave and determined defense surrendered to
the Islamic Republic of Iran armed forces.
At the same
time the American fleet including 3 aircraft carriers and support
ships as well as all of the aircraft now totally inoperable surrendered
to the small Iranian navy. The aircraft carriers were scuttled and
sent to the bottom much like the German fleet at Scapa Flow following
the German surrender after World War One.
sailors were determined not to allow the carriers to fall into Iranian
hands. This was probably best for both sides as the aircraft electronics
were totally destroyed and the nuclear reactors powering the carriers
would soon reach critical mass like the Japanese reactors following
the recent earthquake and tidal wave.
The brief war
was over and although a historical defeat for the United States,
additional American military assets in Iraq and around the world
were not impacted by the single EMP blast. Washington could still
nuke Iran, destroy the Iranian invasion force and win the war given
a few months but there was another problem. Following the EMP attack,
the most optimistic American projections were at least a year before
oil production and exports could be resumed from Saudi Arabia, Qatar,
the UAE and Oman even after the Iranian troops were forced out.
The only two
major oil producing nations left in the region were Iraq and Iran
and within a couple of days, oil had reached over $350 dollars a
barrel up from $100. More importantly the Arab politicians and governments
which had asked for US troops were blamed along with the US for
the brief war and revolutions quickly toppled each regime.
to immediately send the technical expertise, oil rigs and pipeline
equipment required to fix the fried electronics in the oil fields
and pipelines. They guaranteed oil production and exports would
be restored within 90 days rather than 12 months at no cost to the
The only requirement
was all Arab reserves in dollars were to be transferred into a special
basket of Asian and European currencies including the euro, the
Swiss franc and gold within the next year. Of course the Chinese
said no oil would be allowed to be priced in dollars until the financial
crisis ended but this really wasn't a real issue for debate or discussion.
In the first
30 days following the end of the dollar pricing of oil and the end
of American dollar world reserve currency status, the dollar lost
80% of its value in relation to European currencies and gold was
trading at $5,000 an ounce.
Were the Chinese
bluffing on their rebuilding time, no one really cared as the US
military returned first to Iraq and later to other bases at home
and around the world but no troops or military remained inside the
region now known by all the world as the "Persian Gulf."
When The Dollar
Dies (Part Two) will discuss what happened to the US and European
economies and the Treasury bond market following the death of the
dollar, the American national debt collapse and how the Anglo-American
banking elites attempted to survive and prosper from the revenue
actions which followed the First Dollar War in the Middle East.
We will also discuss the necessary steps Americans need to take
today in order to avoid the future impact of a collapse whether
it develops from foreign policy, war or a domestic political or
global financial crisis.
Pulse threat is real and I have actually dramatically toned down
the threat and coverage area in order to work this new kind of nuclear
weapons system into the story. What happened within a 400 mile radius
from the blast zone could cover most of the continental United States
if the height of the blast was far higher.
favorite English book, One
Second After by William R. Forstchen is the best book and
novel on the subject and horrifying aftermath which I have read
to date. I strongly urge readers to consider buying the book and
more information can be
Forstchen: "MP is a real threat, I believe the most underestimated
threat in the history of our country. In the late 1930s we completely
underestimated the Japanese and the potentials of a new technology.
. .carrier based aviation. I’ve written two novels with Newt on
this subject. No one took the threat seriously and on December 7,
1941 close to three thousand Americans died. The war that ensued
would claim close to half a million American lives. Pearl Harbor
was a blow we could recover from and go on to eventual victory.
An EMP strike? I believe it would be the death of America, the death
of our children. . .it would be the end of the America we cherish
and love. . .and plunge the few who survive into a new dark age."
to Access the threat to the United States from an EMP attack website
provides an in-depth analysis of the threat and conditions following
the use of the weapon. Please review the website at www.EMPcommission.org.
note from Ron Holland: I am not convinced whether the EMP threat
is real or another fear based meme out of Washington created by
neocon interests to frighten the American people into more Middle
East invasions and occupations. Still, the EMP threat is an easy
way to quickly finish a war scenario for this case study. I fear
the threat of a US led invasion of the Persian Gulf oil producing
nations is real but the aftermath of defeat following a quick initial
success is more likely to have ominous parallels with Iraq and Afghanistan
than the quick victory and following short-term US defeat as shown
in this fictional story.
Holland [send him
a contributing editor to the Swiss
Mountain Vision Newsletter
and Chairman of the Advisory Board of the Foundation for the Advancement
of Free-Market Thinking (FAFMT)
in Vaduz, Liechtenstein.
© 2011 by LewRockwell.com. Permission to reprint in whole or in
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Best of Ron Holland