Top Ten Oil Exporting Countries
Saudi Arabia (8.73 million barrels per day)
Russia (6.67)
Norway (2.91)
Iran (2.55)
Venezuela (2.36)
United Arab Emirates (2.33)
Kuwait (2.20)
Nigeria (2.19)
Mexico (1.80)
Algeria (1.68)
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Top Ten Oil Importing Countries
United States (11.8 million barrels per day)
Japan (5.3)
China (2.9)
Germany (2.5)
South Korea (2.1)
France (2.0)
Italy (1.7)
Spain (1.6)
India (1.5)
Taiwan (1.0)
http://internationaltrade.suite101.com/article.cfm/top_ten_oil_countries
2007-12-08 21:14:06 · 4 answers · asked by Anonymous in Politics & Government ➔ Government
A lot of the import nations are going to be better off if they no longer have to hoard US dollars to purchase oil
All of Europe would win if they no longer had to buy the greenback to purchase
A lot of the producers are anti US
China is already buying all of it's oil in yuan as opposed to US dollars
The dumping of US currency would devestate the US dollar and economy
Vezuala Iran Russia and China among others won't cry
Europe would see imediate savings they may not wish to anger the US but the cost savings to their economy even at 1/2 a % of a surcharge per 100,000 dollars on the purchase of US dollars is going to be significant - Plus - no more hoarding -
2007-12-08 21:19:32 · update #1
As long as the dollar is relatively stable compared to other currencies it will be used as the currency of choice for trade around the world.
Countries don't hoard US dollar to purchase oil. Every street vendor who deals with vacationers and has a calculator can manage to figure out exchange rates for different currencies.
The US dollar has been used as the common currency for oil because it offered more stability than other currencies. The US dollar has been very stable when compared to other currencies for the last fifty plus years. Since the Euro has been established it has become increasing more and more stable so it naturally has a chance to become the de-facto currency for world wide trade and this includes oil. No company or country wants to agree to purchase billions of barrels of oil and have the currency they agree to purchase it in suddenly jump in value before the ship gets unloaded at their dock. Just like the country selling it wants to have that same currency decline in value because then they lose money after the ship leaves their port.
Countries and people buy American bonds--promises of future payments for money spent now by America, this is called the national debt. China owns a lot of these bonds.
They trade dollars based on the dollars market value, just like all other currencies. If the dollar is stable it is a known quantity and can be seen as a hedge against inflation in a troubling market. LIKE GOLD IS.
If the dollar fluctuates widely it represents risk so depending on the country or person it is sold or hoarded for the promise of a future profit.
Most of the profits of American oil companies does not come from their business in the USA. They deal with other currencies all the time and by taking OIL off the dollar and tying it to the EURO would not imped them in the least.
Only those that are speculating on the dollar at that particular time would be the ones that make or lose a profit on it.
It might be seen psychologically as a defeat for the dollar and people would want to sell them off. But the dollar would still be just as viable as it was before economically.
The US market would still function normaly. but depending on what the Euro was trading at verses the dollar would effect the price of OIL purchased by US refineries.
If the euro declined a little the gas would get cheaper. If it went up--which it has been doing for some time overall. Oil would go up.
Just like oil has been doing for the last 5 years.
2007-12-08 22:10:00 · answer #1 · answered by kejjer 5 · 2⤊ 0⤋
The real question is how long will it be before the United States goes completely broke. Do you know how low the purchasing power of the dollar is? The Euro and the Canadian dollar are now worth much more than the U.S. dollar. Our country is 9 trillion in debt and that is money that we already owe, it's actually more like 50 trillion in liabilites that we will owe. If nothing changes the American dollar will fall.
Try voting for Ron Paul
2007-12-08 21:41:14 · answer #2 · answered by knowledge is power 1 · 3⤊ 1⤋
As long as the United States continues to exist and import oil.
2007-12-08 21:19:12 · answer #3 · answered by JerH1 7 · 1⤊ 1⤋
it will be stay that way all the time that US consider to be the most powerful country in the world, but that wont stay for long as I think as China is coming soon.
2007-12-08 21:39:21 · answer #4 · answered by pepe 2 · 0⤊ 1⤋