Iran is just moving their transactions outside the dollar zone because we can freeze any funds that would clear back to them, if we had to.* There will be an overhead penalty for any bourse participants and any efficient market(oil) will ignore such a provincial bourse. It is only really there as a contingency, insurance, given the fact that most of Iran's foreign exchange is from petrochemicals and they are becoming increasingly dependent on it for consumables (refined product). Customers on Iran's bourse** will have trouble trading on other markets if our relationship with Iran ever really goes south. I can't imagine being a market maker on the floor of that bourse, think about selling into a down tic - you might get away with doing it once...maybe. Any financial institution (bourse) in a regime that forbids interest is a complete fish out of water, and is unlikely to grow beyond it's granted feedstocks and government inspired churning - The important informational effects one expects from an open and efficient market are unlikely to develop. On the other hand, a bourse operated in compliance with Islamic religious law should have some appeal to traders in the region, and would make a very interesting case-study. I just don't think it would draw much volume from what are some of the most efficient markets to date. So, I don't think there is any strategy to derail an Iranian bourse on the "not-worth-the-bullet" basis. (or anchor in this case) I recommend coexistence and study as I see the primary value, outside of Iran, as limited to a few Economics Doctoral candidates. If Iran ever drops off the Internet, I would expect it to be a decision made by Iran's leadership. And, I wouldn't expect it to be very effective due to the architecture of the Internet. Ed - OT and yes I am procrastinating.... * This establishes a structure for "cut outs" designed to handle a decent volume of transactions over time. **The usual level of transparency created by a bourse is welcome in a society normally unable to get beyond the private/state deal. On Feb 7, 2008 2:26 AM, Charles Jones wrote: > Kristian Erik Hermansen wrote: > > Good info, but we have to add "OT" to the thread so that people can > > filter this convo if they like. > You're absolutely right, and I meant to do that, but I totally dropped > the ball, thanks for correcting me...sorry folks! > > --------------------------------------------------- > PLUG-discuss mailing list - PLUG-discuss@lists.plug.phoenix.az.us > To subscribe, unsubscribe, or to change your mail settings: > http://lists.PLUG.phoenix.az.us/mailman/listinfo/plug-discuss > --------------------------------------------------- PLUG-discuss mailing list - PLUG-discuss@lists.plug.phoenix.az.us To subscribe, unsubscribe, or to change your mail settings: http://lists.PLUG.phoenix.az.us/mailman/listinfo/plug-discuss