Scot Eklof’s Post on the Strategic Petroleum Reserve
This post is by reader Scott Eklof, who can be reached at the letter s followed by c followed by o followed by e followed by k then l, all at cs dot com
The Bush family business is influence peddling. The family inside connections are rooted in the energy sector, financial sector, defense industries, and the intelligence services. With this Presidents history of calculated deception and secrecy one must always ask “who benefits?” When Bush announced in his State of the Union address that he wanted to double the Strategic Petroleum Reserve, at first glance it appears he is ladling out the dumplings to big oil. But no crony gets left behind in the deal.
The US needs to attract 2.5 billion dollars of foreign capital every day. Recently the price of oil tumbled forcing OPEC nations to dump 10 billion dollars of their US Treasuries. Bush claims that the Strategic Petroleum Reserve will provide for our “energy security”. Unfortunately because of all the dumplings that have been ladled out over the last six years Asian central banks have become increasingly reluctant to buy US debt. So putting a floor under the price of oil has become critical to ensure that OPEC nations will continue to use their petrodollars to buy US debt.
So big oil gets higher oil prices. The highly leveraged financial sector gets massive infusions of recycled petrodollars to bid up asset value and keep interest rates low. With the Mideast flush in cash the US defense industries can line up their customers. There is no region in the world that buys more US weapons then the middle east.
It’s a Bush family tradition to sell arms to anyone who bellies up to the counter. Potential enemy? No problem. Need a loan? We can help you with that. George Herbert Walker invested millions in the German arms industry between the wars. Great way to do business. Get rich making Hitler strong, then sell arms to Germany’s terrified neighbors. Walkers grandson George H.W. Bush armed friend and foe alike.
Intelligences services thrive when adversaries arm. So they don’t get left out either.
Best of all the cost for all these dumplings is bore by the little guy at the pump. Poverty and despair change a mans focus. Its easy to find religion under these conditions. Might even become a Republican.