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David M. Wight - Oil Money: Middle East Petrodollars and the Transformation of US Empire, 1967–1988

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In Oil Money, David M. Wight offers a new framework for understanding the course of Middle East-US relations during the 1970s and 1980s: the transformation of the US global empire by Middle East petrodollars. During these two decades, American, Arab, and Iranian elites reconstituted the primary role of the Middle East within the global system of US power from a supplier of cheap crude oil to a source of abundant petrodollars, the revenues earned from the export of oil.In the 1970s, the United States and allied monarchies, including the House of Pahlavi in Iran and the House of Saud in Saudi Arabia, utilized petrodollars to undertake myriad joint initiatives for mutual economic and geopolitical benefit. These petrodollar projects were often unprecedented in scope and included multibillion-dollar development projects, arms sales, purchases of US Treasury securities, and funds for the mujahedin in Afghanistan. Although petrodollar ties often augmented the power of the United States and its Middle East allies, Wight argues they also fostered economic disruptions and state-sponsored violence that drove many Americans, Arabs, and Iranians to resist Middle East-US interdependence, most dramatically during the Iranian Revolution of 1979.

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Contents
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A VOLUME IN THE SERIES THE UNITED STATES IN THE WORLD Series Editors - photo 1

A VOLUME IN THE SERIES

THE UNITED STATES IN THE WORLD

Series Editors: Benjamin A. Coates, Emily Conroy-Krutz, Paul A. Kramer, and Judy Tzu-Chun Wu

Founding Series Editors: Mark Philip Bradley and Paul A. Kramer

A list of titles in this series is available at cornellpress .cornell .edu .

Oil Money

Middle East Petrodollars and the Transformation of US Empire, 19671988

David M. Wight

Cornell University Press

Ithaca and London

Contents
Acknowledgments

This book would not have been possible without the support of numerous people and institutions; I am indebted to all of you.

This project originated at the Department of History of the University of California Irvine, continued within the postdoctoral programs at the Belfer Center for Science and International Affairs at the John F. Kennedy School of Government at Harvard University and the Dickey Center for International Understanding at Dartmouth College, and was completed at the Department of History at the University of North Carolina at Greensboro. The final product was only possible through not only the financial support of these institutions but also the intellectual engagement of their faculty and students. Additionally, this research received support from the Gerald R. Ford Foundation Research Travel Grant, the Kugelman Research Fellowship from the Center for Citizen Peacebuilding, and the Society for Historians of American Foreign Relations Samuel Flagg Bemis Dissertation Fellowship and Dissertation Completion Fellowship.

Special mention must go to Emily Rosenberg, who provided unsurpassed inspiration and guidance for this project. The early faith and ongoing advice of Michael McGandy and Mark Bradley at Cornell University Press in the potential of this book also sustained my writing over the years. More scholars than I can name have exchanged ideas and provided feedback about chapters that has immeasurably improved the final product of my research. Special thanks goes to Noel Anderson, Mary Barton, Thomas Borstelmann, Suparna Chaudhry, Sean Fear, Udi Greenberg, Eric Hundman, Sabrina Karim, Mark LeVine, Shanon Fitzpatrick, Fredrik Logevall, Erez Manela, Edward Miller, Jennifer Miller, Amy Offner, Anne Parsons, Robert Rakove, Daniel Sargent, Kristina Shull, Thomas Sizgorich, Jennifer Graham Staver, Thomas Storrs, Annessa Stagner Stulp, Stephen Walt, Odd Arne Westad, William Wohlforth, Salim Yaqub, Amina Yassine, Thomas Zeiler, and an anonymous reviewer.

Great thanks are also due to the many archivists that provided invaluable assistance to me during my research. The countless people who extended their welcome or a friendly conversation while I traveled for research have my heartfelt thanks as well. To all of my family and friends, thank you for your support and for providing much-needed breaks from the research and writing process. A special note of thanks to my family in Lebanon and the American Research Center in Egypt is due for their exceptional hospitality. To Mom and Dad, thank you for the immeasurable love, education, support, and opportunities you have provided me. To Layla and Clara, thank you for brightening the final years of writing with your smiles and wonder.

My greatest thanks are reserved for my wife, partner, and best friend, Michelle. You invested in and sacrificed more for this project than anyone. Your love and support made this book possible, and I am forever grateful.

Abbreviations
AIOC Anglo-Iranian Oil Company Aramco Arabian-American Oil Company AWACS Airborne Warning and Control System BIS Bank for International Settlements CIA Central Intelligence Agency FBI Federal Bureau of Investigation FLN Front de Lib ration Nationale FMS Foreign Military Sales FY fiscal year IEEPA International Emergency Economic Powers Act IMF International Monetary Fund IOP Iranian Oil Participants IPC Iraq Petroleum Company LDC less developed country MDC more developed country MENA Middle East and North Africa MNOC multinational oil companies
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