It seems every generation of American youth dreams of changing the world. They often become disillusioned because they start with the false premise that to make positive change they must tear down the capitalist system; "fight the power".
They fail to realize that they have the ability to use the system to "be the power". Today's generation of youth is in a unique position to spark tremendous change in the world by fully exploiting and promoting capitalism. The single biggest thing they can accomplish is to bring about the fall of the oil market and all of the monopolies, dictators and terrorists who depend on it, through their purchasing decisions.
Don't demand alternative fuels. Buy them. Use them. Figure out how to profit from them. There are cars coming to market now like the Aptera, that get over 100mpg and cost 30K or less. Order one, email them, let them know you're interested. There are companies like Innovalight working on Solar Ink that can revolutionize the solar industry. Let them know that if and when they develop a commercial product, you're ready to buy. At http://www.aerotecture.com you'll find urban wind turbines. Give them your input, your ideas, ask questions, demonstrate demand.
There are a host of companies that offer biodegradable utensils, reducing the need to haul away and dispose of trash. Use them.
Eliminating our dependence on foreign oil is not going to happen anytime soon if "alternative" fuel remains the domain of the hippie and the tree hugger. Alternatives wont work in the long term if they need government subsidies to survive in the market. Look for good ideas and support them with your dollars. Better still, learn to employ them to make more dollars. Money talks. You can bring about real change or you can bring about another bumper sticker.
--"What the world needs now is another folk singer...like I need a hole in my head"
--"If you want to change the world just shut your mouth and start to spin it"
---Cracker
Showing posts with label oil market. Show all posts
Showing posts with label oil market. Show all posts
Monday, February 25, 2008
Thursday, November 1, 2007
The Peak Oil Scare
What is Peak Oil? In a nutshell it's the notion that we've passed the halfway point of world oil supplies and from here on out it gets more expensive and more scarce. The town criers of this scenerio don't stop there. They predict the end of civilization as we know it as our ever increasing dependence on ever more expensive crude causes economies to collapse and governments to ration energy. The good news is they're off their rockers.
Is oil getting scarce? Maybe. Will it get ridiculously expensive? Maybe. Are we so oil dependent that we can't operate without it? Absolutely not. Exxon's margins on gasoline actually dropped in recent quarters. That's because there is a limit to how much people will spend on gas. When it topped $3, we drove less. We left the SUV's at home. Sales declined. The price came down even as oil continued up.
Crude's still got some room to rise. It's still the fuel of choice due to it's relatively low price (even at $100/barrel) and its widespread availability. But at $4/gallon for gas, other options become commercially viable. You can already get wholesale biofuels for about $2.25/gallon. Hydrogen on demand vehicles are very doable. As are flexfuels, TDP, methane, ethanol and a host of others, not to mention the newly discovered method of releasing hydrogen from salt water using radio frequencies.
The only reason these alternatives aren't more widely used now is that they aren't yet competitive in the marketplace. It will take more than a short term spike to take oil out of the game. But once the price gets too high for a protracted period of time, investors will take the plunge and go full speed ahead with other options. The other thing working against oil is that technology is bringing the price of many of these alternatives down. Solar Ink may bring the cost of solar down by a factor of 10 within 12-24 months. What do you think that will do to the solar market?
Oil is reaching a peak. The peak of its usefulness as a fuel source. Only one thing will bring the fall of the global economy: bad government policy. Free markets enable rapid adaptation and resource allocation.
Is there manipulation in the oil market? Probably. But eventually, some group of chumps will be left holding the bag when the crude bubble bursts.
Is oil getting scarce? Maybe. Will it get ridiculously expensive? Maybe. Are we so oil dependent that we can't operate without it? Absolutely not. Exxon's margins on gasoline actually dropped in recent quarters. That's because there is a limit to how much people will spend on gas. When it topped $3, we drove less. We left the SUV's at home. Sales declined. The price came down even as oil continued up.
Crude's still got some room to rise. It's still the fuel of choice due to it's relatively low price (even at $100/barrel) and its widespread availability. But at $4/gallon for gas, other options become commercially viable. You can already get wholesale biofuels for about $2.25/gallon. Hydrogen on demand vehicles are very doable. As are flexfuels, TDP, methane, ethanol and a host of others, not to mention the newly discovered method of releasing hydrogen from salt water using radio frequencies.
The only reason these alternatives aren't more widely used now is that they aren't yet competitive in the marketplace. It will take more than a short term spike to take oil out of the game. But once the price gets too high for a protracted period of time, investors will take the plunge and go full speed ahead with other options. The other thing working against oil is that technology is bringing the price of many of these alternatives down. Solar Ink may bring the cost of solar down by a factor of 10 within 12-24 months. What do you think that will do to the solar market?
Oil is reaching a peak. The peak of its usefulness as a fuel source. Only one thing will bring the fall of the global economy: bad government policy. Free markets enable rapid adaptation and resource allocation.
Is there manipulation in the oil market? Probably. But eventually, some group of chumps will be left holding the bag when the crude bubble bursts.
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