Would the value of the US dollar collapse, if the Saudi's stopped selling their oil in US dollars? And wouldn't that be the end of American financial and military hegemony over the world? If so, then that explains why America always leaps to the Kingdom's defense, doesn't it? Sincerely, Stephan Schmidt (Denmark)
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In the eyes of the ruling class the problem with a US dollar collapse or a mere depreciation is that it would seriously increase the costs of military industries. Military industries are highly dependent upon raw materials that cannot be produced domestically in the United States — metals such as aluminium (bauxite), titanium (rutile and ilmenite) alongside much rarer minerals like tantalum (coltan).
If the price of military goods were to increase, the US government would be less able to exert military influence over the rest of the world. The Saudi government — and those of the other imperialist petromonarchies Qatar, the United Arab Emirates and Kuwait — would have to pay for dearer military goods from the US to defend itself. This would be expected to make them more vulnerable to attacks from the lower classes of nations oppressed by these oil monarchies in Africa, South Asia and the Levant. It would also make Saudi Arabia, Qatar and the UAE less able to afford their imperials excursions that are crippling the Sahara and Sahel regions of Africa. This would undoubtedly radically alter politics in this oppressed and super-exploited region, for groups like Book Haram and Al-Shabaab would struggle without the aid of the Gulf petromonarchies.