Peak Oil is You
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Page added on October 29, 2013
The Curse Of Oil
Having huge oil reserves can be an economic curse for a developing country. The natural-resource curse often produces oil-rich nations that are ruled by dictators and are so reliant on petroleum that its economic growth is hindered because all other industries are neglected. The prediction of the end of fossil fuels will come true someday, but the exact time of death isn’t easy to forecast because improving technology seems to keep extending the useful lifetime of oil. Here are a few links on the topic of planning for a post-oil economy.
- Saudi Arabia discovered its oil reserves in 1938, and now oil accounts for 90% of the country’s exports and about half of its GDP. By 2030, those oil reserves could start drying up, so the country is starting to look at ways to diversify its economy and create a culture of innovation. Changing an entire country’s mindset about work and entrepreneurship isn’t exactly a simple task, however. [url]
- A recent report predicts that at the current rate of development, global oil will be depleted about 90 years before its replacement technologies are ready. This prediction is based on stock market data, not on any single expert’s opinion on the state of alternative energy projects. So will we see the end of oil coming — and not change our behavior in time? [url]
- Norway is one of the few examples of a country that has managed its oil reserves to avoid the natural-resource curse. After Norway discovered it was sitting on about half a trillion dollars worth of black gold, it didn’t allow drilling projects to commence at full-speed. By strictly regulating its oil drilling operations, Norway has been able to prevent oil money from destroying its existing industries and economic health. [url]
If you’d like to read more awesome and interesting stuff, check out this unrelated (but not entirely random!) Techdirt post via StumbleUpon.
3 Comments on "The Curse Of Oil"
bobinget on Tue, 29th Oct 2013 2:56 pm
‘Oil Curse’ effects have a great deal to do the the amount of corruption, size of population and educational levels. Take Russia for instance. Except for a brief period between a repressive Soviet period and today where most wealth lies in the hands of 110 Russian billionaires who command 35 percent of the nation’s wealth, while worldwide, billionaires account for 1 to 2 percent of total household wealth.
170 million strong Nigeria, the world’s 6th largest oil supplier, must, outside of Russia be the world’s most corrupt. Still not recovered from a civil war that killed over a million Nigerians, continues to battle Muslim
rebels in that nation’s poor, oil free north. Needless to say most wealth here too is concentrated in fewer and fewer hands every year.
noobtube on Tue, 29th Oct 2013 3:13 pm
It’s funny how the racist trash always look to Africa to demonize black people and always look to west Asia (Europe) to celebrate whites.
How any west Asian (European) can call black people corrupt is a tribute to self-delusion and racial hatred.
As far as I remember, black people did not create banks, fractional reserve, money as debt, stock markets, and insurance companies.
It’s also funny how the racists can never find anything good to say about black people or Africa, yet these same racists cannot keep their arses out of Africa or leave black people alone.
If you racist scum are so superior, take all your oil companies, gold & diamond miners, foresters, farmers, and fishers and stay your behinds in Europe, and get the hell out of Africa.
antiwarforever on Tue, 29th Oct 2013 3:55 pm
unfortunately before Peak Oil finally breaks in , humanity will transform in a giant oil slick, there will be drillings everywhere (and I’m not even talking of shale oil, of coal in China, of nuclear waste): under the Poles, in the south Atlantic (guess why corrupt Argentinian president Kirchner wants to grasp the Falklands), in the Amazonas forest (the ecuadorian president just authorized drilling in the country’s most important national park), etc.
Ground to be pessimistic for the future, alas.