This is a story I wanted to get right, so I put a bit more effort into it than usual
It is very important that you at least question if it makes sense to you, and that you see this story could have the merit of plausibility.
It may help you realize how irrelevant some discussions of today actually are.
You may question whether you are prepared to deal with what follows.
We live in an age of oil, our age could be called the hydrocarbian era, because most of us exist due to the use of hydrocarbon fuels, mainly oil
With the beginning of the industrial revolution humans departed from the natural constraints that had kept their impact limited and lifespan short for millions of year.
Today oil is not only the fuel, it is the oxygen of our society. And it is running out. Before it runs out things will happen, the question is what?
Let's start with todays situation
We live in a world that in which a so called PETRO dollar is enforced. This means oil is traded in dollars.
All oil is won by oil companies, they process it into tradable fuels and those go to the dollar denominated market.
The fuels end up powering and feeding into a massive variety of industries.
If you realize that the mining and shipping of coal is largely dependend on fossil fuel you will see that mostly everything we do means buring these fuels.
Normal citizen in the US pay for fossiel fuels in dollars as well, these are desiminated from the federal reserve through loans into society.
Loans are estended with of the creation of assets that can be sold like houses.
Most of these activities involve use of fossil fuel.
But people don't replace the burned fuel.
IT is therefore a good thing the US can print dollars ad infinitum, cause with those printed dollars it can keep its country supplied with 'free oil'
Money flows opposite the direction of fuel in society, of course a lot twirls around through wages, products and assets, and some of it is taken by the banks, but that's the game basically.
It seems I'm discounting the efforts of people how unfair, I will come to that topic later.
We are in our current situation only because of the Petro dollar, not only the US, but the entire planet.
Friends of the US have had to buy dollars, but what the US could buy with those dollars was made with petro dollar oil.
This has never been a sharing exersize, fundamentally it isn't. It is based on military dominance.
Now there are people that are discussing the sense of the petro dollar.
They wonder why oil should be dollar denominated.
Saddam and Amedinajad did that (wink wink nudge nudge)
There are several reasons for this,
The most important one is peak oil
True it vies for first place with military dominance,
but ask yourself, if oil was aplenty would anyone bother to fight?
Oil is runing out, and there are seveal people that want/need its use
Why they? Well, why not?
Now this story is set in the current context of an assault of the dollar and there is a quandry.
Those who are sick of the debt based money are undermining the dollar.
Even those that manage the dollar system want to make it less valuable, because the one way conveyor belt and implied theft of oil from the rest of the world is not being appreciated.
Then there are new economies that have developed under the petro dollar, that now want to go
their own way.
The US should share, but it is dependend.
And peak oil requires oil to deal with.
First lets look at the money..
The petro dollar would go and the dollar could hyper inflate as the US tries to keep buying oil trough the pruchase of intermediary assets.
People would try to return to sound money, that would create a fairer international trade environment
This would create equally big problems for the US, the oil has to be free for the US to exist.
But of course such a thing could never happen, because the army would step in,
It has been stepping in for the last 15 years.
Lately the tensions have been high, not because China is frustrated about the debt, but because the US is controling the energy supply
This could escalate and destroy billions of lives.
Some crazy religous types, about 20 million of them, believe this could be a good thing.
Alternative the US would have to start sharing. It would have a dwindling supply of oil
The problem with that is that a lot of things could no longer happen.
The oil chain would shift to other shores, the ones with the most power.
The economy would stop doing things that take a lot of fuel. Wich is basically everything
No amount of gold and sliver would make on iota of difference to this proces.
Most people would lose their job. and that is where the rub would come in.
Right now those people can be kept alive with food they use to be able to afford, and
Which the US can afford due to the petro dollar printing.
Post petro dollar that would not be the case.
No fuel for farmers means no food.
An added problem would be discovered and that is the bad state of the soil for growing without fertilizer.
Bad news: To grow with low fuel consumption would require the soil to recover for up to 5 years.
Good news: The yield would be comparable!
Yes but what in the mean time?
This. Many people would die.
As we speak food is already short in the world.
It seems the US is trying to walk a middle road, taken over by 'survivers' that are basically driven by the need for bankers and oil executives to keep their jobs.
If they had a conscience they would prepare for the worst.
Of course it does not help if you believe in End times.
After some madness and suffering the people left over will pick up and start over, with able manpower most likely.
Maybe the army is making this happen, could be. They are pretty aware of the quandry.
The society would rebuild using alternative energy out of necessity, and would be able to use the technologies of the 20th century to build a clean and wealthy society
Am ignoring climate change obviously.
So that's the story more or less. It might play out slower or as a combination of the two scenario's
The choice for wisdom and a possible third road is not forced by you.
So I leave you with a quote that might make sense to you now
There are no comments on this page. [Add comment]