In November 2000 Saddam Hussein demanded Euros for his oil. His
arrogance was a threat to the dollar; his lack of any military might was
never a threat. At the first cabinet meeting with the new administration
in 2001, as reported by Treasury Secretary Paul O’Neill, the major topic
was how we would get rid of Saddam Hussein-- though there was no
evidence whatsoever he posed a threat to us. This deep concern for
Saddam Hussein surprised and shocked O’Neill.

It now is common knowledge that the immediate reaction of the
administration after 9/11 revolved around how they could connect Saddam
Hussein to the attacks, to justify an invasion and overthrow of his
government. Even with no evidence of any connection to 9/11, or evidence
of weapons of mass destruction, public and congressional support was
generated through distortions and flat out misrepresentation of the
facts to justify overthrowing Saddam Hussein.

There was no public talk of removing Saddam Hussein because of his
attack on the integrity of the dollar as a reserve currency by selling
oil in Euros. Many believe this was the real reason for our obsession
with Iraq. I doubt it was the only reason, but it may well have played a
significant role in our motivation to wage war. Within a very short
period after the military victory, all Iraqi oil sales were carried out
in dollars. The Euro was abandoned.