Tag «energy decline»

Capitulation draws near

I never cease to be amazed by the number of people, on this blog and elsewhere, who believe the supply of oil is infinite, and the similar number who believe we’ll innovate, conserve, or organize our way out of our oil addiction. I use “believe” intentionally, because there’s no evidence of any thinking going on. If there were is evidence to support the notion we’ll get through the year without capitulation of the Dow, please bring it forward, and soon.


We’ve known this was coming for a long time. Every empire is built on a foundation of sand debt. The Ponzi scheme works for a while but, at some point, the debt we’ve passed along to future generations must be paid. The alternative is default, which can happen with extreme rapidity. The latter option is increasingly attractive because the current U.S. debt of $10.5 trillion far exceeds the value of all the currency in the world combined with all the gold ever mined from planet Earth. This seems like a problem to me.