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Pestle Analysis of Italy

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PETRODOLLARS AND ASIAN DOLLAR
Introduction:
A petrodollar is a United States dollar earned by a country through the sale of its petroleum to another country. The term was coined in 1973 by Georgetown University economics professor, Ibrahim Oweiss, who recognized the need for a term that could describe the dollar receiving by petroleum exporting countries (OPEC) in exchange for oil.
The term, petrodollar, should not be confused with petrocurrency which refers to the actual national currency of each petroleum exporting country.
It is the money that oil exporters receive from selling oil and then deposit into Western banks. Petrodollars refers to the money that Middle Eastern countries and members of OPEC receive as revenue from Western nations and then put back into those same nations' banks. For example if Libya were to receive money from the U.S. for oil and then put the money into a U.S. bank, that deposited money is referred to as petrodollars.
We use the International Monetary Fund’s definition of oil exporters—those countries that currently derive the bulk of their export revenues from sales of fuel. Norway has been added because last year the country derived roughly 53 percent of export revenues from oil.

Origin of petrodollar phenomenon:
The Organization of the Petroleum Exporting Countries (OPEC) was founded in Baghdad, Iraq, with the signing of an agreement in September 1960 by five countries namely Islamic Republic of Iran, Iraq, Kuwait, Saudi Arabia and Venezuela. They were to become the Founder Members of the Organization. This cartel controlled the export of oil to majority of the countries of the world.
In 1971, USA printed & spent far more paper money than it could cover by gold. By 1973, the French demanded redemption of its paper dollar holdings in gold. However USA rejected it since it did not have enough gold reserves to back up the

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