Hey Ferfal, I've read a ton of your blog and think you have many down to earth thoughts. I have recently applied for a gun permit (mostly because of your comments), I still don't love the thought of owning a gun but the thought of being helpless in a bad situation seems worse.
With that said I am pretty sure I have not seen you mention peak oil. There are excellent documentories on youtube on it and many good sites. theoildrum.com seems to be very informative.
If you have time, please look into the theory. It seems to me many of your assumptions are based on your feeling that were in bad economic times where eventually the things will improve. According to peak oil theory, the reason for all of our economy's troubles is the dwindling supply of cheap oil. As cheap oil becomes more and more scarce,the WORLD economy will shrink. The reason I bring this up to you, is because I think this information would paint a far scarier and bleaker picture of the potential problems the world faces. Please take the time to look it up, and thanks for all your informative thoughts. -Dave
Hi Dave, sorry for the delay in replying your email.
I think that, while oil will some day inevitably dry up, there's still a lot of it, more being found, and better technological advances made towards maximizing the way we use it.
I think peak oil was in many ways encouraged by some economic groups to make tons of money.
Please read this post: How financial bubbles work.
There you can see how the increase of oil prices is most often orchestrated on purpose to make money.
But what about when we do eventually run out of it?
You deal with it!
I'll throw in another Argentine example. Most people can't afford gasoline here so they use GNC, natual compressed gas. More than 50% of our cars run on it. Even more have the GNC kit installed (like I do) and use both gasoline or natural gas. When investors and capitalists found this out, the business boomed. Mechanics started making a lot of money installing GNC kits, gas stations offering GNC started to become more and more common. It was good business. The government didn't have to do a thing, it was jsut the natural flow of an business opportunity.
One day there's not going to be any more oil. But you know whats going to happen? Those same conpanies will move to some other source of energy. One type of commodity dies out but the market is still there, billions to be made! Energy efficient cars, using a number of difference sources of energy. Capitalism will do its thing, invest, research, and sell to the mass.