Iraqi Dinar Discussion Board

[Aerospace]

Rick... the 2 million barrels of oil Iraq sells every day, they get dollars for that.
Businesses and such need dollars to do international business. So the banks buy dollars for their costomers, the businesses.
The Iraqi Gov needs dinars to run the country. So they gladly sell the dollars to the banks for dinars. That keeps the money supply in check because if they didn't buy back currency they would have to print more new currency.

The United States does this with taxes. The Gov takes in about $3 trillion a year in taxes and should have a budget of about $3 trillion a year to keep everything equal. Obviously, the budget part has gotten pretty screwed lately and that's why we've read and heard stories of the US just printing money, and that's why the dollar is in trouble.