The Myth of the Petrodollar: A Global Trade Enabler The petrodollar is often described as a linchpin in global trade, but its actual influence on international commerce is more nuanced than popularly claimed.
This currency arrangement has been shrouded in mystery, with some arguing it's a tool for US economic domination and others praising it as a stabilizing force.
Understanding the Petrodollar and its Role in Global Trade At its core, the petrodollar is an agreement between the United States and major oil producing countries that they will price oil in US dollars.