The Petrodollar's Decline: A Shift in Global Economic Power The petrodollar, a system where oil is priced and traded in US dollars, has long been the bedrock of global energy transactions.
However, its dominance is increasingly being eroded by shifts in global energy markets, changing economic relationships, and the rise of alternative currencies.
Understanding the Petrodollar's Decline: Causes and Consequences The petrodollar system was born out of the 1973 oil embargo, when major oil producing countries demanded that their oil be paid for in dollars.