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Context of 'September 16, 2007: Greenspan Says Iraq Invasion Centered on Control of Iraq’s Oil'

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President-elect George W. Bush meets with Donald Rumsfeld in Washington, and offers him the position of secretary of defense. Insiders are amazed that Bush would even consider Rumsfeld, the chief of staff for former President Ford (see September 21, 1974 and After), after Rumsfeld’s open contempt and enmity towards the elder Bush, the “Team B” onslaught against the elder Bush’s CIA (see Late November 1976 and Late November, 1976), and his attempts to keep Bush off the presidential tickets in 1976 and 1980 (see Before November 4, 1975). “Real bitterness there,” a close friend of the Bush family later says. “Makes you wonder what was going through Bush 43’s head when he made [Rumsfeld] secretary of defense.” The Bush family’s great friend and fixer, James Baker, even tries to dissuade Bush from choosing Rumsfeld, telling him, “All I’m going to say is, you know what he did to your daddy.” But Bush chooses Rumsfeld anyway. Not only does Rumsfeld have a long and fruitful relationship with Vice President Cheney (see 1969), but Rumsfeld, described as always an ingratiating courtier by author Craig Unger, plays on Bush’s insecurity about his lack of experience and his desire to be an effective commander in chief. Rumsfeld is also a key element of Cheney’s long-term plan to unify power in the executive branch (see 1981-1992), to the detriment of Congress and the judiciary. [Unger, 2007, pp. 186-187]

Entity Tags: Donald Rumsfeld, Craig Unger, Richard (“Dick”) Cheney, George W. Bush, James A. Baker

Timeline Tags: US Military

George W. Bush taking the oath of office.George W. Bush taking the oath of office. [Source: White House/ Wally McNamara]George W. Bush is inaugurated as president, replacing President Bill Clinton. Bush is sworn in after a tumultuous, sharply disputed election that ended with a US Supreme Court decision in his favor (see 9:54 p.m. December 12, 2000). He takes the oath of office on the same Bible his father, George H.W. Bush, used in his own 1989 inauguration; the oath is administered by Chief Justice William Rehnquist. In his brief inaugural address, delivered outside the US Capitol, Bush asks Americans to “a commitment to principle with a concern for civility.… Civility is not a tactic or a sentiment. It is the determined choice of trust over cynicism, of community over chaos.” In words apparently chosen to reflect on the criticisms surrounding former President Clinton and his notorious affair with White House intern Monica Lewinsky, Bush says, “I will live and lead by these principles—to advance my convictions with civility, to pursue the public interest with courage, to speak for greater justice and compassion, to call for responsibility, and try to live it as well.” He continues addressing the American people, saying: “I ask you to be citizens. Citizens, not spectators. Citizens, not subjects. Responsible citizens, building communities of service and a nation of character.” At a post-ceremonial luncheon, Bush issues a series of executive orders, some designed to block or roll back several Clinton-era regulations. He also acknowledges that because of the election turmoil, many Americans believe “we can’t get anything done… nothing will happen, except for finger-pointing and name-calling and bitterness.” He then says: “I’m here to tell the country that things will get done. Republicans and Democrats will come together to do what’s right for America.” [New York Times, 1/21/2001]
Thousands of Protesters - Thousands of protesters line the streets during Bush’s ceremonial drive to the Capitol, a fact not heavily reported by many press outlets. Salon reports, “Not since Richard Nixon paraded down Pennsylvania Avenue in 1973 has a presidential inauguration drawn so many protesters—and last time, people were out to protest the Vietnam War.” Though Capitol Police refuse to estimate the size of the crowd lining the street, Salon reports that “many thousands of protesters were in evidence.” Liz Butler of the Justice Action Movement, the umbrella organization that helped coordinate the protests, says: “The level of people on the streets shows that people are really upset about lack of democratic process. They took it to the streets. We saw tens of thousands. We saw far more protesting Bush than supporting him.” Some of the people on the streets are Bush supporters, but many more are not, and carry signs such as “Bush Cheated,” “Hail to the Thief,” “Bush—Racism,” “Bushwhacked by the Supremes,” and others. The crowd, though outspoken in its protests and unrestrained in its heckling of Bush and Vice President Dick Cheney, is generally peaceful, and no serious violence is reported, though a few minor altercations do take place, and large contingents of police in riot gear—including personnel from every police department in the District of Columbia as well as the Bureau of Alcohol, Tobacco and Firearms and from departments in Maryland and Virginia—are on hand. At least one protester throws an egg at the limousine transporting Bush, Cheney, and their families to the inaugural ceremonies; perhaps in response to the protests, Bush breaks with tradition laid down by earlier presidents and does not walk any large portion of the parade route. Nine people are arrested for disorderly conduct, most for allegedly throwing bottles and other debris. Bulter says: “Of course, we’re ashamed that Bush has decided to be a ‘uniter’ by uniting people against him. They all chose to come out in the freezing rain—even the weather couldn’t stop these people.” Protester Mary Anne Cummings tells a reporter: “I think it’s important to remind the incoming administration the country does not want a right-wing mandate. They did not vote for a right-wing mandate.” [Salon, 1/20/2001; CNN, 1/20/2001; New York Times, 1/21/2001] Thousands of protesters march in San Francisco, Los Angeles, and other cities as well. [CNN, 1/20/2001]

Alan Greenspan, the former head of the US Federal Reserve, charges in his newly published memoir that the US invasion of Iraq was largely driven by the Bush administration’s desire to control Iraq’s oil reserves. Greenspan says in his book The Age of Turbulence: Adventures in a New World, that he is “saddened that it is politically inconvenient to acknowledge what everyone knows—the Iraq war is largely about oil.” [Agence France-Presse, 9/16/2007; Sunday Times (London), 9/16/2007] In subsequent interviews with the press, though, Greenspan has backed off of his assertion a bit. Iraq’s oil was “not the administration’s motive,” he now says, and goes on to say that the overthrow of Saddam Hussein was essential for the US’s economic stability. “I’m just saying that if somebody asked me, ‘Are we fortunate in taking out Saddam?’ I would say it was essential.” He adds, “I have never heard them basically say, ‘We’ve got to protect the oil supplies of the world,’ but that would have been my motive.” He says he made that argument to White House officials, and one of them told him, “Well, unfortunately, we can’t talk about oil.” [Washington Post, 9/17/2007] Greenspan says he advocated the overthrow of Saddam Hussein, not because of weapons of mass destruction, but because he was convinced Hussein wanted to control the Strait of Hormuz, through which much of the world’s oil passes. That would enable Hussein to threaten the US and its allies, a situation Greenspan found untenable. [Columbia Journalism Review, 9/17/2007] “Iraq was a far greater threat than Iran to the world scene,” he says. [New York Times, 9/17/2007] Greenspan says he believed Hussein should go, but not necessarily through military action. “I wasn’t arguing for war per se. [But] to take [Hussein] out, in my judgment, it was something important for the West to do and essential, but I never saw Plan B”—an alternative to war. In August 2002, seven months before the invasion of Iraq, a National Security Presidential Directive signed by Bush stated as one of the objectives of the invasion was “to minimize disruption in international oil markets.” Greenspan says, “If Saddam Hussein had been head of Iraq and there was no oil under those sands, our response to him would not have been as strong as it was in the first Gulf War. And the second Gulf War is an extension of the first. My view is that Saddam, looking over his 30-year history, very clearly was giving evidence of moving towards controlling the Straits of Hormuz, where there are 17, 18, 19 million barrels a day” passing through. Disruption of even 3 to 4 million barrels a day could have translated into oil prices as high as $120 a barrel, Greenspan now says, and that would have triggered “chaos” in the global economy. Ousting Hussein achieved the purpose of “making certain that the existing system [of oil markets] continues to work, frankly, until we find other [energy supplies], which ultimately we will.” [Washington Post, 9/17/2007]

Entity Tags: Bush administration (43), George W. Bush, US Federal Reserve, Alan Greenspan, Saddam Hussein

Timeline Tags: Events Leading to Iraq Invasion

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