The day of reckoning is here… the Arab countries have apparently agreed to create an oil backed currency. This on the same day that President Obama warns the US is on the precipice of bankruptcy if health care doesn’t pass – as Nancy Pelosi says it isn’t going to pass….
Let’s see how the Bloombama news service spins this….
So… what happens to that oil-backed currency when the oil runs out, and society moves on to some other fuel? Oil’s not like gold or silver– it is destroyed at a rapid pace. So, what happens when oil becomes so scarce that nobody is able or willing to buy it?
Jimmy Carter warned us in the 1970s that we had only 5 years of oil left… The relative cost to get new barrels of oil may go up (but improvements in technology will Push that down), but it is much more effective as a portable energy source, it isn’t going away anytime soon. There is growing evidence that oil isn’t a finite supply from decayed organic matter at all, but a chemical process that occurs from the heat of the Earth’s core.
At some point, natural gas will displace more oil. Instead of funding people replacing weatherstripping, how about doing things to get people in New England heating with gas instead of fuel oil? Remove the NIMBY obstacles to building LNG facilities and increased pipeline and storage capacity – not talking about giving gas companies money – just get the legal obstacles out of the way. [my bed is about 100′ away from one of the major natural gas pipelines in CT, so it’s not me saying that in theory – bring it on]