Petrodollar: meaning, definitions and examples

๐Ÿ’ฐ
Add to dictionary

petrodollar

 

[ หŒpษ›troสŠหˆdษ‘หlษ™r ]

Noun
Context #1 | Noun

economic term

The term 'petrodollar' refers to the U.S. dollars that are earned by countries through the sale of their oil. This system allows countries that export oil to accumulate vast amounts of U.S. currency, significantly impacting global trade and finance. Petrodollars play a crucial role in the global economy, as they provide liquidity and stability to international markets. Additionally, the petrodollar system has led to the close relationship between oil-exporting countries and the United States, affecting geopolitical dynamics around the world.

Synonyms

energy dollar, oil dollar.

Examples of usage

  • The petrodollar system has influenced global economic policies.
  • Many countries reinvest their petrodollars in U.S. treasury bonds.
  • The decline in petrodollars could affect the stability of the global economy.

Translations

Translations of the word "petrodollar" in other languages:

๐Ÿ‡ต๐Ÿ‡น petrodรณlar

๐Ÿ‡ฎ๐Ÿ‡ณ เคชเฅ‡เคŸเฅเคฐเฅ‹เคกเฅ‰เคฒเคฐ

๐Ÿ‡ฉ๐Ÿ‡ช Petrodollar

๐Ÿ‡ฎ๐Ÿ‡ฉ petrodolar

๐Ÿ‡บ๐Ÿ‡ฆ ะฟะตั‚ั€ะพะดะพะปะฐั€

๐Ÿ‡ต๐Ÿ‡ฑ petrodolar

๐Ÿ‡ฏ๐Ÿ‡ต ใƒšใƒˆใƒญใƒ€ใƒฉใƒผ

๐Ÿ‡ซ๐Ÿ‡ท pรฉtrodollar

๐Ÿ‡ช๐Ÿ‡ธ petrodรณlar

๐Ÿ‡น๐Ÿ‡ท petrodolar

๐Ÿ‡ฐ๐Ÿ‡ท ํŽ˜ํŠธ๋กœ๋‹ฌ๋Ÿฌ

๐Ÿ‡ธ๐Ÿ‡ฆ ุงู„ุฏูˆู„ุงุฑ ุงู„ู†ูุทูŠ

๐Ÿ‡จ๐Ÿ‡ฟ petrodolar

๐Ÿ‡ธ๐Ÿ‡ฐ petrodolar

๐Ÿ‡จ๐Ÿ‡ณ ็Ÿณๆฒน็พŽๅ…ƒ

๐Ÿ‡ธ๐Ÿ‡ฎ petrodolar

๐Ÿ‡ฎ๐Ÿ‡ธ petrodollar

๐Ÿ‡ฐ๐Ÿ‡ฟ ะฟะตั‚ั€ะพะดะพะปะปะฐั€

๐Ÿ‡ฌ๐Ÿ‡ช แƒžแƒ”แƒขแƒ แƒ แƒ“แƒแƒšแƒแƒ แƒ˜

๐Ÿ‡ฆ๐Ÿ‡ฟ petrodollar

๐Ÿ‡ฒ๐Ÿ‡ฝ petrodรณlar

Etymology

The term 'petrodollar' originated in the early 1970s, during a significant shift in the global oil market. After the Bretton Woods system collapsed in 1971, the United States transitioned to a fiat currency system, which was backed by the dollar but no longer tied to gold. In an effort to stabilize the dollar and secure its dominance in global trade, the U.S. made agreements with major oil-producing countries, particularly in the Middle East. These countries agreed to sell their oil exclusively in U.S. dollars, which created a consistent demand for the currency. This arrangement not only solidified the dollar's status as the world's primary reserve currency but also reinforced the political and economic ties between the U.S. and oil-exporting nations. The term 'petrodollar' thus encapsulates the interdependency of oil and currency in international relations and has since been critical in discussions regarding energy, finance, and global economics.

Word Frequency Rank

At position #41,464, this word is among the less frequently used terms in English. While interesting to know, it's not crucial for most English learners unless needed for specific purposes.