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Thursday, January 01, 2009

Who is behind the drop in oil prices?

Kissinger does not want Moslem countries to become too rich and powerful.

On 15 September 2008, Henry A. Kissinger and Harvard's Martin Feldstein wrote about how they would like to see oil prices reduced.

(The rising danger of high oil prices - International Herald Tribune)

They suggested that "the expectation of change will reduce the price of oil."

In other words, the price will come down if people like Kissinger tell the world that the USA and its friends are going to arrange changes to supply and demand.


Harvard professor, Martin Feldstein

Their objection to high oil prices are:

First, a portion of these vast oil revenues are passed on to radical groups ... such as Hezbollah.

Second, revenues from high oil prices are recycled into ... sovereign wealth funds ... which invest these surpluses in ... developed countries.

"Abu Dhabi has more than $1 trillion of investable funds.

"The explosive rise in oil prices has tempted more assertive policies.

"Resources are being shifted ... to the outright purchase of American and European businesses.

"As these new investments multiply, they may tempt the creditors into a growing influence over Western economies...

"The foreign policy of industrialized nations must not become a hostage to the oil producers.

"The industrial nations must find ways to discourage the creditors from threatening to sell, or actually to sell, large quantities of U.S. bonds...

"The major consuming nations - the Group of 7, together with India, China and Brazil - should establish a coordinating group to shift the long-term trends of supply and demand in their favor..."

~~

According to reports published in Al-Seyassah, a Kuwaiti newspaper, and some other Gulf newspapers, the United States has asked four Gulf states for financial aid close to $300 billion to face the fallout of the financial crisis and help prevent its economy from sliding into a painful recession. - Why should we bail out US automobile industry

~~


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