Even though it seems we’ve seen the end of $4 gas, the economy is not quite out of the woods. Demand destruction and a severely constricting economy have driven down the price of oil and its distillates. But the resulting economic bounce has resembled a dead cat tossed off a skyscraper.
Dr. Day-Ruiner.
Dr. IHAN (short for I Have A Nightmare, wordplay on Dr. Martin Luther King’s “Dream” speech).
Dr. Doomsday.
Prophet of Doom.
These are the names given to me by friends. They are the nicest things people call me. You can imagine what others say.
For those of you not paying attention to the news last week, here’s a quick summary: The United States economy nearly collapsed, taking the world economy with it. Only a quick infusion of cash by the Treasury Department prevented full-scale collapse. The problem: peak oil. The solution, such as it is: print money, sensu Weimer Republic. Ben “Helicopter” Bernanke is living up to his nickname, and he’s getting a loan from Henry Paulson.
Jean-Francois Bernier of Quebec asked a couple questions in response to a recent post. It occurs to me that I’ve given hints about my relocation efforts, but I haven’t revealed the whole tawdry story in one place. This post corrects the oversight, if it was one, if you’re interested.
People keep asking me why the price of oil has fallen from its recent spike to nearly $150/barrel. Trust me, I’m not responsible for the price decrease. Or the preceding price increase, for that matter.
I’m surprised, too. I didn’t buy oil futures, and yet the price of oil fell.
I’m headed to the mud hut for a few days, where I’ll be working on cisterns, the outdoor kitchen, and some raised garden beds. I used my magnus opus as the basis for a luncheon talk I’ll be giving next month to kick off the Honors College’s once-a-month series. Students in the Honors College were asked to read Daniel Quinn’s book, Ishmael, during the summer. Below, I’ve attached the draft transcript of my talk for your comments.
If you’re in Tucson this afternoon, I’ll be reading from, and signing, my latest book at the main bookstore on campus. The gig’s at 4:30 p.m., and I’d like to meet you there.
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Oh, the conundrums faced by TPTB.
Consider Ben Bernanke and the other goons at the Federal Reserve Bank: They have to raise interest rates. But they can’t. If they raise them, thereby strengthening the declining American dollar, they destroy any hope for economic growth. And if they don’t raise them, the dollar plunges straight down the toilet (the flush kind, not the composting kind).