Why Oil Is Through the Roof (And It’s Not the Exxon Gang)
Serious strides are being made in what’s now called alternative energy, enough so that alt-energy could become primary energy in a decade or two. The Oil Cartel and its members probably own baskets of solar panel stocks, and with their predominantly high end western educations can see a change a comin’, maybe better than we can, slovenly mental beasts that we’ve become.
So they’re seeing an opportunity to gouge while the gouging’s still good; while alt-energy remains alt, and Chavez and the Sheiks still hold the best hand. They’re not upping production, and they’re not lowering prices, even in the face of diminished demand thanks to the U.S. recession and the global sub-prime meltdown.
They’ve got to fill their piggy banks, not just before their wells run dry (we’ll deal with peak oil theory later, thanks) but before their wells become obsolete.
As long as the cartel doesn’t lull us back to sleep by lowering prices they provide us with incentive to render them impotent.
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Agreed, LK, especially with your last line. Consider then Pres. Clinton releasing the US reserves back in ‘90-something. The oil barons freaked, and dropped prices faster than an Emperor’s Club hooker! The Falcon believes the oil producing nations will see their first celery-car on the road to Dubai, and send the USA a Blue Mountain love greeting card, complete with coupon for a free fill up and the new price mark downs.
have no experience with it, but i’m not sure the elite Emperor’s Club hookers ever had to lower their prices. until now. but i get your point. the bigger kannonomics point is that demand for petro-power should decrease which means that so should prices. but that’s not happening because the gluttons smell one last decade long feast before having to survive on a more modest diet. Cue the White Album’s “Piggies” by the late Mr. Harrison.