Ah-yup. And not good.
Jan. 27th, 2006 06:03 pm![[personal profile]](https://www.dreamwidth.org/img/silk/identity/user.png){kind=small}
chelidonReady for $262/barrel oil? (subhed: Two of the world's most successful investors say oil will be in short supply in the coming months.)
The scions of the business world are finally starting to realize they, and we, are staring down the barrel of a loaded gun with regard to oil. And it's about time for that realization -- the hard numbers have been out there for years, but the rose-coloured-glasses, head-in-the-sand response has, until recently, been dominant. Of course, the investors mentioned aren't making thse predictions for humanitarian reasons -- they're worred about profit. And some of the scenarios they envision as worst-case are pretty unlikely, but all of the scenarios point out that the demand-supply curves of oil in the world right now mean we're just one unfortunate or adverse event, from terrorist attack to another killer hurricane, away from hyper-spiking prices. It's not a question of whether, it's when.
The scions of the business world are finally starting to realize they, and we, are staring down the barrel of a loaded gun with regard to oil. And it's about time for that realization -- the hard numbers have been out there for years, but the rose-coloured-glasses, head-in-the-sand response has, until recently, been dominant. Of course, the investors mentioned aren't making thse predictions for humanitarian reasons -- they're worred about profit. And some of the scenarios they envision as worst-case are pretty unlikely, but all of the scenarios point out that the demand-supply curves of oil in the world right now mean we're just one unfortunate or adverse event, from terrorist attack to another killer hurricane, away from hyper-spiking prices. It's not a question of whether, it's when.
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no subject
Date: 2006-01-27 11:14 pm (UTC)no subject
Date: 2006-01-27 11:25 pm (UTC)I'm picking up a 55-gal drum of diesel fuel this winter (that'll last me a long time), just in case. I figure I'll use it either way, and with some stabilizing additive, it'll keep for as long as I'll need it, anyway.
But yeah, it's going to go up, and up, at whatever point the luck runs out...and sooner or later, it will. That's one way to drop demand, of course, because less people will be able to afford it, but then the ripple effects...the price of everything jumps, which throws the economy into a tailspin, as disposable income drops like a rock, especially since so many people are living fairly close to the edge anyway. And so on.
When Y2K came along, I was laughing at the folks who were going all wiggy about it...I mean, c'mon, that was just silly. But this...the exact extent and speed at which this will hit is still unclear, but 'dere's a storm comin, fer sure.