The Green Revolution and Iran

Good Tom Friedman column on the right way to depose the bearded old men in Iran: Lessening our dependence on oil.

In a 2006 speech entitled “The Collapse of an Empire: Lessons for Modern Russia,” Yegor Gaidar, a deputy prime minister of Russia in the early 1990s, noted that “the timeline of the collapse of the Soviet Union can be traced to Sept. 13, 1985. On this date, Sheikh Ahmed Zaki Yamani, the minister of oil of Saudi Arabia, declared that the monarchy had decided to alter its oil policy radically. The Saudis stopped protecting oil prices, and Saudi Arabia quickly regained its share in the world market.

“During the next six months,” added Gaidar, “oil production in Saudi Arabia increased fourfold, while oil prices collapsed by approximately the same amount in real terms. As a result, the Soviet Union lost approximately $20 billion per year, money without which the country simply could not survive.”

If we could bring down the price of oil, the Islamic Republic — which has been buying off its people with subsidies and jobs for years — would face the same pressures.

More here.

Related posts:

  1. Saudis: No Oil Quotas for You!
  2. Fading the Fall: Tech Stocks in the (Recent) Green
  3. Breakeven Oil Prices in Gulf States
  4. Russia’s De-population Bomb
  5. Petrodollars and Saudi Prince Alwaleed

Comments

  1. Kaylie says:

    Wow, that’s a really clever way of tihnikng about it!