I have to agree with Blech in some ways and I think some of you are misconstruing his posts. If self-sufficiency implies a complete ability to provide all needs for a family or group of people from one piece of land, I think that is highly unlikely. This does not make the goal of increased self-sufficiency wrong however.
Increasing the ability to grow one's own food, maintain one's shelter, clothes and tools; reducing dependence on complex energy/water/waste systems in favor of localized low impact systems will be essential. It will be increasingly important to be a generalist with skills in many different areas in a powered-down world, just as our ancestors were.
However, people will still specialize in specific skills and we will continue to need to trade and get help from others in areas we are deficient in. Someone may grow enough food to trade with someone who can offer wood for shelter or heat. We will need blacksmiths, tanners, ferriers, veterinarians, electricians, candle makers, farmers, shop keepers, carpenters and woodsmen.
Not everyone can or should devote themselves to just farming, though it would be smart for all people to devote some of their time to gardening.
In terms of urban vs. rural: some cities will fade and die due to a lack of enough localized resources to support the community. All will have to dwindle and reshape themselves into mini-villages. Suburbs also have this potential because they are nearer to farmland.
As in older times, farmers will continue to bring their food to markets, located in....towns and cities. London had 700,000 people in 1750 long before the consumption of oil. Some cities will be able to have that many as well in the future.
http://www.oldbaileyonline.org/history/ ... e18th.html
The problem will be the contraction period in the next few decades when there is an excess of population, a lack in knoweldge of how to live in a low-power world combined with serious ecological damage wrought by centuries of overconsumption.
I do agree that this period could pose a major threat to all people and especially urban populations. Those who can create the greatest opportunity for food security and warmth/shelter during those times have the greatest likelihood of survival.
At the same time, the rural poor, who are used to shopping at handy-mart will become desperate as well. There are a lot of questions in my mind as to best place to be in that crisis period.