[StarvingLion]

It seems that systematically robbing the masses has killed demand before extreme oil price spikes ever had a chance to. And of course, no responsible business journalist is going to say it in so many words. But that's what it all boils down to. We live in a house built on bad credit, which our financial institutions palmed off on us to make themselves rich. And it worked. Except now, the money they scammed is revealed to be so much air. There's no industry under it, no real capital. Everyone's left holding bad paper backed by sham assets while no work gets done. A clusterfuck beyond anything I ever imagined. Can't wait to see what's next.

[StarvingLion]

If the doctor says you'll die from a brain tumor within six months, and you walk out of his office and get hit by a bus instead, does that make the doctor wrong?

M. King Hubbard's model takes little or no account of the fact that our economy is run by a financial sector based largely on fraud and myriad other shenanigans, all of which could conceivably affect things like oil prices. Responsible journalists seem very scrupulous about avoiding any mention of this, while directing our attention to the dog and pony show of tight oil. See? Fracking! Peak oil theory was wrong! As if that argument hasn't been debunked all decade.

No, Hubbard's curves, revised only slightly, would have killed the patient as surely as an inoperable brain tumor, if a bus hadn't run over him first.

Every time we see an article about low oil prices, we should demand of the writer:

WHAT KILLED DEMAND?

[onlooker]

peak oil is NO coverup. And no we were not robbed. Future generations were robbed. As the title of a good book of limits to growth and peak oil states "The Party is Over" Yes unsustainable civilization and its practices have robbed posterity for the sake of the present. Oil is depleting so is fresh water and the planet is being wrecked ever more. So yes future generations were totally robbed of the vitality and great sustenance of Earth and its bounty and soon many will be robbed of their lives.

[StarvingLion]

Here is what comes next when all you have is the worthless derivative "money":

http://www.navytimes.com/story/military ... /81270736/

[StarvingLion]

peak oil is NO coverup. And no we were not robbed. Future generations were robbed. As the title of a good book of limits to growth and peak oil states "The Party is Over" Yes unsustainable civilization and its practices have robbed posterity for the sake of the present. Oil is depleting so is fresh water and the planet is being wrecked ever more. So yes future generations were totally robbed of the vitality and great sustenance of Earth and its bounty and soon many will be robbed of their lives.

And all the retards following the pseudointellectual academics demanding the fossil fuels industry be shut down are going to prosper, righ

Fact is, the story is not Peak Oil, its that giant pile of shit of fake money called derivatives and all the bloody idiots it spawned.

It completely divorced production from reality while the financial industry could still make profits merely by shifting bets. Now there is a huge "Oh shit" moment approaching realizing the scale of the bad paper.

[onlooker]

It completely divorced production from reality while the financial industry could still make profits merely by shifting bets. Now there is a huge "Oh shit" moment approaching realizing the scale of the bad paper

Yes that moment you refer too will come but it will come for all these financial players and money wheelers and dealers. It will come when they realize their money is worth zilch, nada, nothing. Your right about this financial ponzi scheme. It would all be okay we would reset and this wholesale corruption and deception would be corrected at least for awhile. The problem is not money it is our rapacious insatiable appetites and consequent abuse of the Earth. Money was and is just an instrument in our clumsy hands. As the Indian proverb says:

991-arborday.jpg

[americandream]

It seems that systematically robbing the masses has killed demand before extreme oil price spikes ever had a chance to. And of course, no responsible business journalist is going to say it in so many words. But that's what it all boils down to. We live in a house built on bad credit, which our financial institutions palmed off on us to make themselves rich. And it worked. Except now, the money they scammed is revealed to be so much air. There's no industry under it, no real capital. Everyone's left holding bad paper backed by sham assets while no work gets done. A clusterfuck beyond anything I ever imagined. Can't wait to see what's next.

Capitalism is cyclical and this cycle merely prepares us for the next upturn which must surely come in a largely undeveloped planet with a strong global capitalist class. Growing volatility as well as increasing numbers in the ranks of capitalists means greater competition and deflation, endless deflation/

[Plantagenet]

It seems that systematically robbing the masses has killed demand.....

That sounds plausible but it doesn't match the data. Demand hasn't been killed----in fact global oil consumption is higher then it has ever been. The current low oil prices are due to an oil glut-----not demand destruction

Cheers

[vtsnowedin]

It seems that systematically robbing the masses has killed demand before extreme oil price spikes ever had a chance to. And of course, no responsible business journalist is going to say it in so many words. But that's what it all boils down to. We live in a house built on bad credit, which our financial institutions palmed off on us to make themselves rich. And it worked. Except now, the money they scammed is revealed to be so much air. There's no industry under it, no real capital. Everyone's left holding bad paper backed by sham assets while no work gets done. A clusterfuck beyond anything I ever imagined. Can't wait to see what's next.

Capitalism is cyclical and this cycle merely prepares us for the next upturn which must surely come in a largely undeveloped planet with a strong global capitalist class. Growing volatility as well as increasing numbers in the ranks of capitalists means greater competition and deflation, endless deflation/

First off Starving Lion has it wrong. We still have quite a bit of real industry and capital and a lot of work gets done every day. What do you thing we are doing with nineteen million barrels a day of oil products? No point in letting the teenagers drive down to the mall unless their is a car for them to drive in and things in the mall to buy.
http://www.federalreserve.gov/releases/ ... table9.htm
An AD's prediction of endless deflation is quite unlikely given the level of government debt which would become unpayable if deflation and higher interest rates took hold.

[dolanbaker]

It seems that systematically robbing the masses has killed demand.....

That sounds plausible but it doesn't match the data. Demand hasn't been killed----in fact global oil consumption is higher then it has ever been. The current low oil prices are due to an oil glut-----not demand destruction

Cheers

It's a combination of several factors, the main one being the rapid rise in US tight oil production (due to investors pushing for a quick return), the other main producers maintaining a steady supply on the plus side.
On the minus side, we have major improvements in efficiency that has resulted in a slower growth in demand as 100 vehicles today consume the same amount of fuel that 95(or fewer) did a decade ago and an economy that is failing to grow as fast as expected coupled with a global slowdown in construction ( a major consumer of oil).

Demand destruction (in certain areas) would cause a glut as supply exceeds demand, even if demand is increasing overall.

[americandream]

The Saudis are also gunning after US shale...its fairly public knowledge. But we are also in volatile business cycle which is affecting forwards.

[dolanbaker]

The Saudis are also gunning after US shale...its fairly public knowledge. But we are also in volatile business cycle which is affecting forwards.

Yes, they refused to drop production to preserve the high price, instead they hoped that the shale oil companies would quickly fold. But, instead it appears that their (the US shale companies) financial backers are playing a "last man standing" strategy which is allowing them to stay in the game a lot longer than expected.

[ennui2]

I don't know who is crazier? One blames a craxy hybrid derivative-Obama conspiracy and the other a glut?

The former.

And SL is crazy, period.

[ROCKMAN]

Being one of the robber barons the Rockman must agree with the words of the pissed off kitty. Thank Dog the bulk of the masses have remaind ignorant of the facts.

[vtsnowedin]

Yeah. the US has a bunch of oil. How much of that is diverted to our MILITARY . . . to maintain your imaginary glut? It's a lifestyle thing. Like that, huh lol

About 300,000 barrels a day or 1.7% of US consumption or pretty much all of current Alaska production. A bargain considering the enemies list that would like to take us down.
https://en.wikipedia.org/wiki/Energy_us ... s_military

[americandream]

The Saudis are also gunning after US shale...its fairly public knowledge. But we are also in volatile business cycle which is affecting forwards.

Yes, they refused to drop production to preserve the high price, instead they hoped that the shale oil companies would quickly fold. But, instead it appears that their (the US shale companies) financial backers are playing a "last man standing" strategy which is allowing them to stay in the game a lot longer than expected.

One would hope so. Anything that defangs those vile feudalist cum pretend capitalists would be a great move forward in a more nuanced market.

[ennui2]

Hey mos, does this look like a glut?

Yes. here is a chart of petrol prices in Ireland and Italy over the last few years. Trending DOWN.

http://www.mylpg.eu/stations/italy/prices
http://www.mylpg.eu/stations/ireland/prices