"No matter how paranoid or conspiracy-minded you are, what the government is actually doing is worse than you imagine." - - - William Blum

June 22, 2005

Gas for $20 a Gallon


Juan Cole, an expert on Middle Eastern affairs, gives reasons for U.N. intervention in, coinciding with America withdrawal from, Iraq:

I have been unable to convince many of my readers of what I know. A US withdrawal could well throw Iraq into civil war. Civil war in Iraq would bring in the Iranians, the Saudis and the Turks. The success of petroleum pipeline sabotage and refinery sabotage in Iraq will suggest it as a tactic to the guerrillas fighting in this Fourth Gulf War.

If Saudi and Iranian petroleum production is sabotaged, gas in this country will go to $20 a gallon and the US will be plunged into the Second Great Depression. The unemployment rate will skyrocket to some 25%. Not only will you and I likely end up unemployed, but the global South will be de-industrialized. Countries making progress like India and Pakistan will be thrown back 30 years.

We already saw petroleum spike to $40 a barrel in the early 80s, in 1980 dollars, which is probably $80 a barrel in our money. Cause? Iranian Revolution and Iran-Iraq War. Only a kind of MAD prevented Saddam and Khomeini from destroying each others' oil fields; at that, they were sometimes attacked. Guerrillas do not give a rat's ass about MAD. The oil shock in the 1970s virtually de-industrialized Turkey for a while, and very badly hurt the Caribbean (islands depend on boat transport even for basic foodstuffs). I have seen this kind of scenario. It is not inevitable but it is entirely plausible.

Since the US military seems incapable of winning the guerrilla war in Iraq either militarily or politically, someone else will have to do it if we are to avoid Gulf War [IV] and its consequences. The Europeans cannot do it. They only have a surplus capacity of about 10,000 troops for deployment outside the continent, and they are already in Afghanistan. You could argue that they should reform their militaries so that they did have more troops for external deployment, but that would take time we don't have.

That leaves a United Nations command leading troops from the global South, with perhaps, one or two remaining US divisions. The Southerners are culturally better suited to negotiating an end to the Iraq hostilities anyway, and some of them have excellent militaries. Gulf War [IV] and Very High Oil Prices would hurt them more than it would hurt the US and Europe, so they have every interest in intervening. Moreover, they will be richly rewarded with billions in future Iraq contracts, which they need more than Texas does.

Some are construing this proposal as me having the poor people in the global South suffer for Bush's mistakes. But at $60 a barrel they are already suffering for Bush's mistakes. Do you know how many factories will have to close over this, or will never open in the first place, in Pakistan and India? Factories are very sensitive to energy costs, which have tripled, and could go even higher. Iraq is adding $10 to $15 a barrel to the current price because of uncertainty and speculation, and the removal through sabotage of about 1.5 million barrels a day also contributes to the problem.

I am saying that the UN and the global South can solve the problem, that they have every incentive to solve the problem, and that they will be richly rewarded for solving the problem.

Moreover, this way of proceeding would deeply hurt the whole American nationalist war party. It would be a victory for cosmopolitan multi-lateralism. It would dampen down US militarism by creating an Iraq Complex. It would put two US divisions under a United Nations command, setting a precedent. It would strengthen the United Nations so that the US Right can't just order around or ignore it the way the Bushes do their kitchen help. It is progressive in every way. And it is a perfect reply to the Right's insistence that the US has to remain in control until 'the job is done.' No, it doesn't. This is a job for the world.

In other words, it isn't all about us, in the sense of US. It is about what would be good for the world.

That's pretty friggin' scary. And on top of that, Bush is gearing up to attack Iran. My fellow sane citizens, we have GOT to get this administration out of Washington!

Gas for $20 a gallon? I could afford it with my Prius getting 50 mpg, but that assumes I would still have a job. Can you imagine these gas-guzzling SUV monstrosities filling up their 25-gallon tanks for $1,000 every week? That's almost hilarious.

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