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 You Asked for It!
» Contractural Obligations - the good oil on Iraq   2003-02-06 21:57 Strawman
Lubricating the free market

Opponents of the coming war who like to believe it's all about OOOOIIIILLL would have been heartened to see the ABC's Lateline 2002-02-05, in which the international interests in Iraqi oil were discussed.

There are several major powers who have considerable interests in the Iraqi oil fields, and some of them have permanent seats on the United Nations Security council (and therefore veto over the decisions). The US are barred from oil contracts in Iraq (they are unpopular with Saddam after their falling out over Kuwait), and the UK don't rate much better. However Russia, France and (to a lesser extent) China have major interests.

While it's easy to claim that the US wants to go to war because regime change will give them investment opportunities in Iraqi oil, the cynics can also say that the reason Russia, France and China don't want regime change is because they will lose their investments in those same resources.

Which raises the issues about governments, contracts, and obligations.

'America wants to steal our oil!' chant Iraqis trying to show loyalty to their totalitarian dictator, in apparent denial of the fact that dictatorship is about theft anyway - theft of people's rights, theft of their private property, and theft of their oil.

Russian, French and Chinese interests have signed contracts with Saddam, and they hope these contracts will be honored, a new regime is unlikely to do so. If someone agrees to sell your stolen car to a third party, this doesn't actually give that third party rights to your car (though they may have rights to compensation from the thief if acting in good faith).

However these oil companies have knowingly contracted to buy stolen property, and have no such rights. Just as anyone who makes contracts with dictatorships has no rights to have those contracts honored.

And even if they did in this case, the thief is unlikely to have the means to pay compensation. Being inside a box (either the 10ft square variety at The Hague or the six feet under variety in the cemetery) can make it hard to repay those squandered billions.

Regardless, the new Iraqi government is likely to be keen to do favors to the US, and simply throw the others out.

In short, any UN vote will be a sham. All the voting countries will simply be acting in self interest, while claiming to be acting for the common good. One doesn't need much imagination to work out the kind of deals being negotiated behind closed doors at the UN at this time. Any decision the UN security council makes will have no moral credibility.

In fairness though, the US doesn't have much either. That's why every intelligent thinking individual should decide the merits of the war themselves - and then proclaim:

WAR IS NOT THE ANSWER!

.. War is the question. 'Yes' is the answer.