IEA: Stop keeping gasoline prices artificially low

Hogan · Light Sweet Crude Joined: Oct 25, 2004 Posts: 1298

IEA: Developing countries must stop keeping gasoline prices artificially low

idiom

Maybe the the IEA should tell the States to add taxes.

Yeah. that is just as likely.

Hogan · Light Sweet Crude Joined: Oct 25, 2004 Posts: 1298

I guess the IEA doesn't realize that demand destruction = economic destruction. Most countries will do everything in their power to avoid economic destruction. That is why I seriously doubt there will be massive oil and gasoline demand destruction worldwide any time soon. Demand is just too inelastic.

idiom

Also Oil is way to freaking cool. It is still seriously undervalued for what it allows.

yesplease · Fission Joined: Oct 03, 2006 Posts: 2100

Oil's long term elasticity isn't anywhere near it's long term elasticity.
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Hogan · Light Sweet Crude Joined: Oct 25, 2004 Posts: 1298

yesplease · Fission Joined: Oct 03, 2006 Posts: 2100

Hogan · Light Sweet Crude Joined: Oct 25, 2004 Posts: 1298

Hogan · Light Sweet Crude Joined: Oct 25, 2004 Posts: 1298

yesplease · Fission Joined: Oct 03, 2006 Posts: 2100

Hogan · Light Sweet Crude Joined: Oct 25, 2004 Posts: 1298

yesplease · Fission Joined: Oct 03, 2006 Posts: 2100

Nope, that's not what I meant. The long-run and short-run elasticities of oil are different. For instance, if the short-run elasticity of oil results in a 3-5% drop in consumption after a doubling of price, the long run drop in consumption would be much larger, probably 4-6 times that. It isn't about economic collapse, or whatever doomcopian notion people wanna use Wink

, it's about people choosing to spend less on fuel and more on other things. Here's a good read. Check out table four to see the difference between short run and long run elasticities.
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Hogan · Light Sweet Crude Joined: Oct 25, 2004 Posts: 1298

I hate to break it to you, but without cheap oil and gasoline, world economic growth cannot continue. And without growth, the system collapses. Modern societies were built upon and are heavily dependent on the availability of cheap and plentiful energy. I shouldn't even have to mention this, because you already know this. This argument has been done a million times on this board, and has now become a total waste of time and energy. I won't get into any more debates or arguments with cornucopians here over the basics of ecology and geology. All I have to say is anyone here who still has doubts is they should read 2 books: The Collapse of Complex Societies, and Overshoot: The Ecological Basis of Revolutionary Change. The argument and debate about these very basic and proven concepts is over as far as I'm concerned.

I honestly have to say that I have had my fill of cornucopian thinking on this site. Ignore button clicked.

mrobert

Why don't they tax fuels differently? One tax for fuel used for public transport, trucks, ships, etc, and another tax for fuel used for "personal entertainment".

It's not a solution, but could make things slightly better.
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yesplease · Fission Joined: Oct 03, 2006 Posts: 2100