Did any body know how 'IF IRAN STARTS TO SELL OIL IN EUROS TO COUNTRIES LIKE INDIA' would collaps US dollar.?

Question

Did any body know how 'IF IRAN STARTS TO SELL OIL IN EUROS TO COUNTRIES LIKE INDIA' would collaps US dollar.?

Answer 1

Not necesarilly.  The dollar has too much strength to be collapsed by oil sales.  Our expenditures on oil as a percentage of GDP are at very low levels.

Answer 2

Ed Atun:  The US dollar is weak.  Deal with it.

Now, as to your question.  What are you going to do about it? They most likely will not do this to any great degree immediately, but the US cannot force India to use USD's if it chooses otherwise.  

The USD may not remain the reserve currency of the world forever, and there was never any agreement that it would.  The weakness in the USD is mostly caused by the Federal Reserve: it's very existence is the root of the issues that plague your currency today.  Other countries have no obligation to support thr USD, apart from whatever obligations or reasons they choose to adopt.

Answer 3

It won't happen. Because India would have to buy Euros (which are expensive) to but Iran's oil. Instead, India would just buy Dollars (which are cheaper) then buy oil from somebody else selling it in Dollars.

The Euro's expensive price tag is why oil buyers won't follow Oil Sellers to the Euro.