The effect the Iraq war is having on the economy.

Euros . The conversion from trade deficit to trade surplus would have to be achieved at a time when its property and stock market prices were collapsing and its domestic supplies of oil and gas were contracting . This would mean a very painful conversion for the US

The purely economic arguments for OPEC converting to the Euro seem very strong . The Euro-some does not run a huge trade deficit nor is it heavily indebted to the rest of the world like the US and interest rates in the Euro-zone are also significantly higher . The

Euro-zone has a larger share of the world trade than the US and is the Middle East 's main trading partner . And nearly everything you can buy for dollars you can buy for Euros apart of course , from oil

All of this is bad news for the US economy and the dollar . The fear for Washington will be that not only will the future price of oil not be right , but the currency might not be right either . Which perhaps helps explain why the US is increasingly turning to its second major tool for dominating world affairs - military force .1 Despite numerous protests being done all over the world to stop the war in Iraq , President Bush administration continues to strike and attack Iraq . Reasons behind these continued attack of US may seems like to stop terrorism as the administration of President Bush declared but , many analyst believe that it made because of the oil price monopoly and continuous domination of dollar as the only currency that can buy oil

WORK CITED

Collin Nunan , Oil Currency , and the War on Iraq , Feasta Organization January 2003

Mirriam Pemberton , The economic cost of Going to War with Iraq Congressional Briefing , retrieved at HYPERLINK "http /www .fpif .org /iraq /0209warimpact...