From: Gene McAloon 

On Tue, 14 Oct 2003 20:37:03 +1300, dmhills{at}attglobal.net (Don Hills) wrote:

>In article ,
>Gene McAloon  wrote:
>> ... nuclear power is what forward looking Iraqis want as a means of
>> lessening their dependence on oil exports.
>
>Oh? What do they want nuclear (generated) power for? They have more oil to
>burn than they can ever use. How will having nuclear power earn them foreign
>exchange (or lessen their requirements for it)?

They would like to lessen their dependence on oil for much the same reasons
everyone else does. Theoretically nuclear power is cheaper, cleaner and
renewable indefinitely. As for foreign exchange, relying on oil puts them
in the
same category as very poor countries that rely on any cash crop, i.e. subject to
gross swings in price over which they have little if any control.

What countries like Iraq want to do is develop a diversified manufacturing base,
the same as developed countries. They see that is the way to go for
sustainable growth and jobs. Merely exporting oil doesn't give them any of
that, particularly not jobs.

If you want to see what happens to countries reliant on nothing but oil, look at
Saudi Arabia. Its whole economy is based on nothing but what it can get for
its oil. When oil prices are low, the country goes into an economic slump,
yet must keep spending to sustain what development it has.  The result is
huge debts. Saudi Arabia is not doing well and never will insofar as it
remains a cash crop country.

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