Nobody but nobody can justify to me the current price of oil. What I hear a lot about is the political unsettling news in the Mid East as the prime driver. Sure China and India are now big demand drivers, yet nobody is doing this to the point of tripling the price of oil in a few short years.
So what gives and why do I care?
Basically, its my belief that the price of oil is going to chock our economies. We still don’t have enough renewables out there and the cost of transport and anything which uses oil to produce is skyrocketing. How does one increase prices in an economy which is tanking (one million foreclosures in the USA alone!)?
What you see has nothing to do with the cost of carbon either. Its almost taken a back seat and although the cost of fuel now makes renewables affordable, I for one do not believe that these prices are sustainable.
Nevertheless, the political mood is certainly looking more and more favourable for solar and other renewables not based on carbon savings alone, yet now based on real economic advantages.
Sass
PS. I know its been quiet on the blog front recently, yet news coming out very shortly will explain why I had to go into “quiet” mode.. :)…
1 Comment
Dear Mr. Peress,
I hope you have really good news! The stocks need it!!!!
Yours
Otto J. Band