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Not long ago I read an article on the site OilPrice.Com in which the author claimed that President Barack Obama lied when he stated that there was a shortage of oil onshore or in the waters around the United States (U.S.).
Before continuing, let me state that I do not intend to vote for Mr Obama, nor do I consider him or his Energy Secretary -- Nobel Laureate Stephen Chu -- competent when the subject is energy, however not only was the president called a liar, but the author of that preposterous article announced that the U.S. was actually in possession of an enormous amount of oil. Unfortunately for him, using the numbers provided in his example, it is possible to calculate that there is more of that resource in the U.S. than in the entire Middle East and Russia, which is provably false. We often hear the same kind of nonsense about the amount of natural gas reserves in the U.S. in relation to the oil in the Middle East. This is an issue that I treat at some length in my forthcoming energy economics textbook (2012), and also in my long article 'Some Mathematical and Historical Aspects of the Crude Oil Past and Present' , which will be published by UNESCO later this year. As a more easily read antidote to the OilPrice.Com misrepresentation however, I would like to recommend the article 'The Folly of Energy Independence' by Gal Luft and Anne Korin (2012).
When I attempted to bring this matter to the attention of Mr (OilPrice.Com) Editor, he responded with a ballistic reply in which my work (or perhaps just my observation about the silly article he published) was called "garbage".
As it happens, garbage is one of my favourite words. When I was expelled from the infantry leadership school at Fort Ord (California), although I was first in the class, I was assigned to work on post garbage trucks. This gave me a chance to discover that Chairman Mao (of China) was correct when he said that "War is ten percent fighting, ten percent resting, and eighty percent self improvement". Or put another way, defeat often promotes opportunities. For instance, after three months of relaxing in the fire direction center of an artillery brigade in Germany, I was able to take advantage of the opportunity to conclude my tour in the army with a 12 month paid vacation, visiting and luxuriating in the great cities of Europe, following which the gorgeous 'GI Bill of Rights' made it possible for me to leisurely complete my engineering and economics education in Chicago and Stockholm.
In a so-called TV debate/discussion arranged by Radio Moscow, and apparently beamed to a large audience, I informed the other participants that the leading oil economist in the world might be Professor James Hamilton of the University of California (San Diego), although in seminars and conferences I never miss a chance to emphasize that I am the leading academic energy economist in the world. I want to confess however, that where oil and nuclear are concerned, it doesn't make the slightest difference to me who is named what, and that includes the charlatans I unfortunately have to contend with in Sweden at the present time, and who are responsible for the deplorable knowledge of energy economics that is exhibited by many Swedish decision makers.
The key thing to clarify is that oil is not the way it was pictured in the odious OilPrice.Com article, either in the U.S. or anywhere else on this planet, and as made clear by Professor Hamilton and myself, it has a very ugly macroeconomic dimension that was revealed in 2008, when the oil price touched 147.5 dollars per barrel (=$147/b), and as a result the global economy moved into a partial meltdown. Perhaps that should be made clearer: the international macro-economy cannot function 'normally' with an oil price in the vicinity of $147/b, and this should be remembered the next time the oil price accelerates upward.
The Real Oil Deal
Having taught courses in energy economics in four countries, I am not really alarmed when students, colleagues or the high-and-mighty cannot comprehend Laplace transforms or mathematical economics. The problem is that many ladies and gentlemen trying to learn energy economics are taught (or mentored) by people who make a habit of forgetting how to add and subtract when pontificating on the elementary theoretical and empirical aspects of the oil and gas markets.
What the distant future will bring where the oil price is concerned is completely unknown to this teacher of energy economics, nor do I plan to do any serious thinking about this subject unless some money changes hands, but I am always ready and willing to prove that I understand present oil realities at least as well as someone who circulates grotesque bunkum about the availability of oil in the U.S.
In case you are fortunate enough to attend my lectures on this topic during the present academic year, you will be informed that in the last year (or years) of the 20th Century, when the price of oil fell under $10/b, all the members of OPEC finally got the message. The message was to produce as little oil as possible, for as long as possible, and where this process is concerned, never hesitate to lie to snoops and busybodies! (Here we can identify the game theory concept of sub-game perfect equilibrium, or if you prefer backward induction, where Nash equilibriums are compared and inferior strategies are discarded.)
That brings us to a man who was often named the best brain of the 20th Century, the late John von Neumann, and who did seminal work on game theory.
In his easily read book Prisoner's Dilemma (1992), William Poundstone says that game theory is "a study of conflict between thoughtful and potentially deceitful opponents". Statements of that nature definitely caught my attention the first time I taught that subject, because if that is a meaningful description of the subject, then some elegant mathematics can be presented to naïve students. However according the Jacob Bronowski (1973), von Neumann said that real life had little or nothing to do with the equations that we so gladly put on the blackboards and whiteboards, but instead the key elements of this discipline are bluffing, deception and "asking yourself what is the other man going to think I mean to do". And probably also the other woman.
When put that way, I immediately think of the absurd "beautiful blonde" dilemma presented in the film 'A Beautiful Mind', which regrettably makes an appearance in many microeconomics and game theory textbooks. ('A beautiful mind' was originally a brilliant biography of the mathematician John Nash by Silvia Nasur, but as to be expected was turned by Hollywood into a travesty in which the (make-believe) 'beautiful blonde' episode was later impugned by Professor Nash). Instead -- in real life games that deal with oil and 'dates' -- attention should be focused on players devising or interpreting what they believe to be credible 'signals' that can provide gentleman players with information about supply and demand (for e.g. oil and female companionship). By "credible" I include credible lies and misunderstandings.
The claim here, as in my other work, is that the global oil market is almost the way that people like Donald Trump once described it, with OPEC calling the tune. "Almost" because OPEC is assisted by the major oil companies, who function as 'fellow travellers'. As von Neumann and Morgenstern (1944) noted, any enterprise that can legally take part in a cartel would be unwise not to do so, and by the same token it seems reasonable that firms outside that cartel, and selling the same product (e.g. oil), should provide as much assistance as is legally possible. (The disadvantage of believing in and attempting to practice 'independence' is also alluded to in the famous Prisoners Dilemma model, although the best example of beneficial cooperation is not oil but the 'arms race'.)
In the coming academic year, my students will be required to perfectly understand that instead of the oil price falling to the levels predicted at the turn of the century by a number of half-baked energy experts, it slowly increased, and began to accelerate during 2005-2006. I pointed this out both in my last textbook (2007) and in the long lecture that I gave at the Ecole Normale Superieure (Paris), and I comprehended what was happening by simply observing the bad news that began to pour in from the financial markets.
In addition, the low oil price around the beginning of this century helped to boost the global macro-economy, and in 2007-2008 the demand for oil began to outrun the supply. The price of oil understandably surged upward.
Some observers have claimed that speculation fuelled the intensive oil price rise, but my reaction to that contention is that anyone expressing -- and attempting to defend -- this notion in a classroom or seminar room or conference or even on a street corner in a genteel part of town when I am present, will receive a lesson that -- as Rambo expressed it -- they won't believe. Professor Hamilton also rejects the speculation gambit.
The power of OPEC was fully revealed when the oil price declined sharply, and talk commenced about oil going to twenty or thirty dollars a barrel. What happened was that OPEC simply had a meeting or two at their headquarters in wonderful Vienna, and the oil price accelerated up. I can also mention that with reference to my statement about Big Oil assisting OPEC, without that assistance the same phenomenon would have been experienced on the global oil market as on the present market for natural gas, where the price of natural gas in North America is extremely low, while that in Europe (and Asia) is high.
Final Remarks
OPEC's income in 2011 was apparently about a trillion dollars (of which about 355 billion dollars came from the U.S.), and they might feel that they need or deserve the same amount this year, and perhaps more in the near future. If so, an effort by presidential aspirant Mr Romney to 'create' 12 million new jobs during a possible first term in office is unlikely to provide the desired result, because the damage to the global economy caused by an escalating average oil price is (macro-economically) bad news for everybody except the producers of oil, although it is possible to posit a series of events in which even they can be in serious trouble.'
I sent a paper called 'Iraq and Oil' to a site that usually publishes all my articles, but apparently they had doubts about that contribution. They had doubts because they and certain others might want to promote the nutty belief that Iraq intends to compensate people like President George W. Bush for starting a war on the basis of a lie. The compensation would feature upsetting OPEC's apple cart, and the modus operandi would be taking the lead in increasing the global supply of oil. Some of my students may believe this, but they will not be allowed to unmake my day by bringing it to my attention, because believing it amounts to believing that the decision makers and others in Iraq fail to understand the benefits that a moderate rate of increase in the oil output can bring them.
References
(2012) Banks, Ferdinand E. 'Energy and Economic Theory.' London, New York and Singapore: World Scientific. (Forthcoming)
(2008) 'The Sum of Many Hopes and Fears About the Oil Resources of the Middle East'. Leacture given at the Ecole Normale Superieure (Paris), and the Asian Institute of Technology (Bangkok, Thailand).
'The Political Economy of World Energy: An Introductory Textbook.' London New York and Singapore: World Scientific
(1991) 'Paper Oil, Real Oil, and the Price of Oil'. Energy Policy (July/August)
(1980) 'The Political Economy of Oil'. Lexington and Toronto: D.C. Heath
(1973) Bronowski, Jacob 'The Ascent of Man.' London: British Broadcasting Corp.
(2012) Luft, Gal and Korin, Anne 'The Folly of Energy Independence.' The American Interest
(1943) 'The Theory of Games and Economic Behaviour' Neumann, John von and Oskar Morgnstern. Princeton, N.J.: Princeton University Press
For information on purchasing reprints of this article, contact sales. Copyright 2013 CyberTech, Inc.
In reading through this contribution, I notice that I went overboard with the self-promotion that is actually a form of self-defense in the academic world, because in that world it is impossible to avoid dealing with frustrated, over-ambitious neurotics. However one thing needs to be made clear where the thinking behind this article is concerned: on the basis of the present evidence, the lie that there is a huge amount of oil in or directly offshore the United States (US) is the same kind of attack on the US standard of living as the belief that renewables can replace nuclear in the US energy future, or that the US has a sacred duty to bring democracy and freedom to Afghanistan.
Of course, hope springs eternal. But I see no reason to accept hope replacing secondary school mathematics, or for that matter the kind of history and economics taught at Boston Public. Springtime for China and India means winter for an increasing number of persons in the US and EU unless...UNLESS the lies and misunderstandings about things like energy are exposed, and our political masters cut the posturing and get down to business..
Len Gould 10.21.12
Good job of dealing with the economic realities of the world oil situation, Fred.
Curiosity, perhaps unrelated but several analysts claim a close relationship between economic growth and oil production.... Assuming that's presently true and oil production cannot grow much more, what do you think are the odds that we could reorganize our societies to remain stable with significantly lower GDP per capita? For example, supplying a lot less throw-away kitchen utensiles, reduced processed levels of food, much longer-lived electronics products, etc. It seems logical to me that we should be able to maintain an approximately equal standard of life that way, with much lower energy consumption, but that the "laws of economics" which we presently believe to be necessary wouldn't allow that.
Fred Linn 10.22.12
If we don't use oil to power our vehicles, it does not matter what the price of oil does.
We have ethanol, biodiesel, natural gas and biomethane, as well as electric. Using a combination of all of the above, we can reduce the usage of petroleum dramatically easily within ten years. Since these systems can be used either in tandem or in combination with petroleum, we can easily reduce the need for petroleum to whatever level we want---we can even use no petroleum at all.
Let OPEC say or do anything they want---it won't make any difference to us.
Len Gould 10.22.12
Well, Fred Linn, I think you'll be hard pressed to find any sane economist who would agree with you IF you are talking "transition period". No doubt much of your proposed alternatives can be implemented by a healthy economy over a long time period, but those are two worrisome qualifiers. The problem is, under present economic rules, we won't begin the transition until the gasoline and diesel prices are high enough to hurt us badly in a short time period. Knowing that this problem is "out there" somewhere over a fairly near horizon, shouldn't we be taking serious steps now either by modifying the economics or by modifying the outcomes of the unmodified economics (e.g. subsidies)? And MUCH more effectively than some minor re-direction of food into fuel?
Eric Christenson 10.23.12
Wait a sec... do you posit that OPEC, an intergovernmental organization of which its members control approximately 80% of the world's supply of oil, has actually successfully achieve its stated goal of using its market power to control the oil market?
Malcolm Rawlingson 10.23.12
While Fred Linn asserts that we can power our vehicles with other fuels I doubt that can be done at a cost lower than oil is currently. While we have not changed the fuel that most vehicles use to any great extent we certainly have changed the efficiency with which those fuels are burnt. To my mind it isn't so much how much the fuel costs but what you can do with it. Thirty years ago a gallon of gasoline would take you about 20 miles if you were lucky. Nowadays 50 mpg is not uncommon. Same with the airline industry. Every generation of airplanes improves the efficiency of moving people and cargo around the world.
There is another factor at play though and that is how much energy it takes to get a barrel of oil and I think that more than anything else dictates the price of oil. Let's say that the US is "awash with oil" as some contest. It is not awash in oil that can be easily extracted. In the Texas oil gushers at the turn of the last century (Circa 1901) the return on energy invested was about 100 to 1. That is it took 1 barrel of oil equivalent to extract 100 barrels of oil. Most of the new discoveries require 1 barrel of oil equivalent to get three barrels of oil. In 1901 you did not need to build a two billion dollar oil rig to get at the oil. Now you do. In 1901 you did not need to move half of Alberta by truck to an oil separation plan. Now you do. So it is the cost of getting at the oil that is a significant determining factor in whether the US is "self sufficient" or not. If it costs more to extract than you can make then companies will stop producing - their job is to make money not lose it.
It takes a lot less energy to get oil from the Middle East than it does to get oil from the Alberta Tar Sands.
But sooner or later oil extraction will become too expensive and that is the time when the move to other fuels will occur. Are we there yet - probably not - but certainly the time will come.
There is no technological reason why we cannot run vehicles on natural gas. The reason we do not is there is limited distribution of the gas via filling stations which - coincidentally - are all owned by the oil companies who have zero vested interest in having you transfer to using natural gas.
Remember also that you do not need oil refineries for natural gas so if you are an oil company shutting down a massive industrial facility that you have invested billions into does not seem like a sensible business decision. So the status quo is maintained as long as natural gas distribution is kept away from vehicle owners and as long as the price of oil and gasoline does not get too out of whack with incomes.
When oil at an affordable price does become scarce then the market will change. But don't expect anything in the next few decades.
Malcolm
Len Gould 10.23.12
Good points Malcolm. The oil companies obviously have a vested interest in witholding natural gas as an auto fuel even though it costs only about 1/4 the price per joule. However, I somehow doubt that the oil companies can carry that much influence with ALL automakers selling in our market, including eg. Japanese and Korean. If a business case could be made, I think they would provide those vehicles in a minute.
One thing I learned to my chagrin is that US regulations are a huge hurdle. The cost of getting any modified vehicle onto the market is greatly increased by the crash-worthiness testing costs, repeated for every model / type / year to be offered. Any make / model / year to be offered with CNG fueling would need to have several samples tested to destruction for crash-worthiness, which cost places a very hard lower limit on the number of units which must be sold to break even. Any organization lacking immediate access to nationwide distribution is pretty much frozen out of the price-sensetive, which is where CNG should be appealing...
Len Gould 10.23.12
My suggested solution is that automakers should be free to offer to the market vehicles which have not been tested for crash-worthiness provided the customer is clearly made aware of that, perhaps by a cast steel notice built into eg. a rear bumper or something. Then small mod-shops would be able to get a start into the market with new technologies and modifications (like CNG dual-fueling) without needing to sell 10,000 units of each model / year offered each year to break even.
Don Hirschberg 10.24.12
“OPEC's income in 2011 was apparently about a trillion dollars (of which about 355 billion dollars came from the U.S.)...”
Very crudely I think this overstates US payments to OPEC by about >twice. A trillion dollars for OPEC in 2011 looks OK. (1x10^12/say $100/ b x365) = 27.4 x10^6 b/d. This comports fairly well with OPEC producing one third of 88 million b/d of conventional oil. 88/3=29.3 b/d.
While the US imports from OPEC countries (Saudi Arabia, Venezuela, Nigeria, and Angola to the tune of about 3 million b/d) Canada and Mexico are significant.
I submit that your 355 billion dollars more accurately represents US payments to all countries we buy from, not just OPEC countries.
Tom McNevin 10.24.12
Malcolm Rawlingson noted, "There is no technological reason why we cannot run vehicles on natural gas. The reason we do not is there is limited distribution of the gas via filling stations which - coincidentally - are all owned by the oil companies who have zero vested interest in having you transfer to using natural gas."
Interestingly, the New York Times yesterday had a feature article on Iran's commitment to fueling vehicles with natural gas.
Malcolm Rawlingson noted, "There is no technological reason why we cannot run vehicles on natural gas. The reason we do not is there is limited distribution of the gas via filling stations which - coincidentally - are all owned by the oil companies who have zero vested interest in having you transfer to using natural gas."
I think Malcolm has hit very close to home on his observation.
Germany is pushing vigorously convert petroleum use to CNG(methane--both fossil methane and biomethane)
They are building out biomethane production plants as fast as they can. And bi-fuel petroleum/methane cars are offered both by new car manufacturers and as after market conversions. Germany has installed over 5,000 CNG filling stations, roughly 10X as many as in the US---in a country about the size if Missouri and Iowa combined. And they have done it in less than ten years.
The difference between Germany and the US is, Germany has a well thought out, and workable plan---and they are serious about implementing that plan. Germany is now a world leader in advanced technology that is environmentally and human friendly.
We should learn from the German initiative.
Malcolm Rawlingson 10.24.12
In defence of the oil companies (not that they need any help from me) their job is to make money. They make more money from processing and distributing oil than they do from natural gas so they will go to the business model that makes them the most return on investment. If you want to change that then you have to make the current business model less attractive. Problem is of course that the only people who can do that (The Canadian Government) are also the ones with an even bigger vested interest than the oil companies. However while you can certainly force the matter by direct Government intervention it is going to occur automatically as the price of extracting oil goes up and the access to natural gas increases.
It will take time but it is inevitable. While I certainly applaud the initiatives of Germany their natural gas supply is mostly from Russia and I doubt biologically produced methane is available in the quantities necessary. However it is certainly an example of what is possible.
In regards to Lens comment about vehicle safety tests - it seems odd to me that people consider heavy duty pressurised gas cylinders to be less safe than a thin walled plastic tank full of gasoline. At least the gas escapes rather than surrounds you in a pool of burning hydrocarbon.
But the oil industry lobbies well to ensure the status quo is maintained irrespective of the benefits to the planet.
Good grief I am sounding like an environmentalist. You guys are a bad influence on me.
Good discussion.
Malcolm Rawlingson 10.24.12
Don, Yes I agree those numbers don't seem to make sense to me. The US currently receives about one third of its oil from your friendly Canadian neighbours to the North. It also gets it at a really good price (NOT the world market price) because there is a glut of oil at the Cushing, Oklahoma and Patoka Illinois oil terminals. The purpose of Keystone XL is of course not only to increase the flow of oil from Alberta but also to get it to Texas where the refineries are geared up to refine heavy oils such as those from Venezuela. That gives a much better rate to Canadian oil producers and is the reason why the pipeline is fully subscribed for 25 years. The Texas leg of Keystone is already being built and whoever wins the election will approve the leg through Nebraska and Dakota.
With a near unlimited supply of Alberta oil (unlike the German situation) I don't see much changing for North America for along time to come.
Malcolm
Don Hirschberg 10.25.12
In 1927 Charles Lindbergh flew solo from long Island to Paris in a airplane he helped design for that purpose. (He had a HS education.) Although only 25 (younger than my father) he was also a reserve officer in the Army Air Corps and was flying air mail in open planes. “Lindy” became the best known human on the planet.
Only six years later in 1933 I witnessed the 24 Italian flying boats of General Balboa land on Lake Michigan for the (Chicago) Century of Progress Fair. About ten years later Germany had jets flying in WWII.
In a very remarkably brief period both horses and Model T Fords disappeared. I saw electric cars. They were expensive and only really suitable to boulevards. Yet their performance was very near present claims. Although only a decade before my memory of such things there were millions of horses in the US. As a child in the early '30s I saw some Model T's and draft horses I never once saw horses used for transportation. I never saw anyone use a hitching post outside a store. Our milk man and our ice man still used horses. But household refrigerators soon made that uneconomic.
When we showed nuclear emery at Nagasaki and Hiroshima the world changed, no, the concepts changed. We now had energy so cheap that households need not be metered!! and even better fusion electricity was just around the corner. And better batteries too were just around the corner.
About 1950 we6 we told fusion might be as much a 50 years in the future. After 60 years we were told it is likely more than 50 years in the future. We had had the lead acid battery about 130? years. It is still in nearly every vehicle built today.
Wind? As a child I saw that farms in Northern Illinois nearly always had wind mills to pump water for stock and vegetable garden irrigation. They had rainwater cisterns for washing (zero hardness, important in pre-detergent days) and manual wells for drinking and cooking. Many also had wind generators for their batteries which furnished limited lighting but also charged the batteries for their tube radios.
In the early 70's we knew there was an impending energy crisis. Particularly an oil crisis. Well no – actually it was the appearance of the ugly population crisis. In the ensuing 40 years or so what have we done? Use of fossil fuels use has skyrocketed. In 2012 it continues to skyrocket. If wind, solar or bio energy has been effective I have not seen it. If you are headed for the cliff, step on the gas. Whee.
Michael Keller 10.26.12
Seems to me making pronouncements on future oil supplies is a risky business. Technology has a way of yielding the unexpected. Case in point: shale gas.
While actual levels of oil reserves in North America is murky, there is no question that restricting access to the oil (the policy of the Obama regime) is economically unhelpful. Similarly, squandering massive amounts of taxpayer money on renewable energy is unhelpful.
While Professor Banks laments OPEC, the administration's actions also divert money that could otherwise be used by citizens for more general economic activity.
Len Gould 10.26.12
Micheal. Governments collecting taxes and spending the money is typically better for overall economic health than leaving the money with the taxpaying citizens (as they usually immediately spend it again largely on small business services like school buildings and supplies within the country rather than on electronics and etc. shipped in from Japan or China) .
The government actions which immediately and effectively stifle the economy are those which a) reduce money supply (restricting private borrowing, increasing government borrowing) or b) reduce money velocity (creating economic uncertainty etc. causing people to stash as cash or reduce debt rather than re-invest or spend).
One would think that groups of people running around yelling that they have the only economic solutions would at least learn a bit of basic economics LOL.
Len Gould 10.26.12
My (as they usually immediately spend it " above refers to governments of course. Bottom line, demanding that taxes not increase when governments are in deep debt is simply bad policy. Best of course is not to let governments get in debt in the first instance, BUT if they are running debts in good times THEN you must demand either that taxes increase or spending reduce until they books are balanced. Right-wingers and neo-cons promoting tax reductions when government budgets are in deficit are simply amazingly foolish, and will teach everyone else that lesson (again) if they get their way. Demand reduced spending, fine, but first demand increased taxation not reduced taxation.
Don Hirschberg 10.27.12
Yoo Hoo, anyone home?
We were told pre-Kyoto Protocol that we were 1) either past the point of no return on CO2, or 2) perhaps able, if we immediately reduced CO2 emissions to possibly save the planet. Seems Scientists agreed. Never heard a peep in rebuttal except by those popularly characterized as nuts..
CO2 emissions have skyrocketed since then and are still skyrocketing today. Reduce CO2 emissions? – hells bells we cannot even reduce the rate of increase. So is population. So has the number of people without electric service.
Now we find great elation about increased fossil fuel production largely due to fracking. Isn't this what we were told so recently would be the worst possible scenario? Yet we are celebrating?
Shouldn't we be lamenting?
Len Gould 10.27.12
Sure Don. I do what I can myself (no car, most efficient living quarters I can afford, no flying if I can avoid). But it seems so pointless to continue nagging everyone else when all I get is apathy or worse in response.
I'm convinced that nothing much will help until everyone starts trying to help, though, and that'll never happen as long as there's money to be made by convincing people that their GW footprint doesn't matter.
Malcolm Rawlingson 10.27.12
Don, There was and continues to be a great deal of rebuttal against those that consider man-made carbon dioxide emissions to be the cause of changes to the climate. Most of it has been silenced by the media. Going back a few years these same climate "scientists" were telling the same gullible population that we were about to enter a new ice age but little has been published to explain why the sudden change of mind. The enduing difficulty of all predictions of climate is that they cannot be proved scientifically that is there is no experiment we can devise that shows that any of these theories (and that is what they are) are true or false. However I do agree with you that population is the largest problem we face and we seem not to want to do anything at all about that. Mother nature always figures out ways to control errant populations and I fear she is about to do just that.
Malcolm
Jim Beyer 10.29.12
I'm trying to reconcile the conservative vs. liberal mindsets w.r.t. climate change and peak oil.
I think the liberal mindset does not appreciate the costs and chaos and authoritarianism from mandating such radical changes.
The conservative mindset, however, is paranoid and assumes such pronouncements are just inaccurate or lies and won't face them. In that sense, the derided Al Gore was right in calling it "An Inconvenient Truth". On Peak Oil, I see little evidence to counter that; it's been predicted, in some form or another, since the '70s, and has mirrored these predictions pretty well. At present, the vast majority of nations are now in their own peak oil decline. Saying anything meaningfully can be done by more domestic drilling is just nonsense, just as saying a single country limiting CO2 output would be meaningful is also nonsense. But it's odd how conservatives support the former but deride the latter.
In general, I find the conservatives advancing beliefs that are quite easy to dismiss, which bothers me (a lot). On the other hand, I think the more liberal viewpoint is impractical about how to plausibly advance on this problem. The best think developed countries like the U.S. can do is be ready to perform CO2 reductions IF everyone else is willing to do so as well. And forget about our historical context of running up CO2 levels for the last hundred years; that brought us (meaning: the world) vaccines, antibiotics, flight, nuclear power, and a bunch of other stuff responsible for raising the standards and populations of the developing world in the first place. So deal with it.
Michael Keller 10.29.12
The idea that the "Governments collecting taxes and spending the money is typically better for overall economic health than leaving the money with the taxpaying citizens" is stunningly arrogant and belies a leftist mentality that the citizens exist for the sole benefit of the government.
At the risk of pointing out the painfully obvious, the government is too big and chews up too much of the economy. The answer is to shrink the government, not raise taxes.
As for catastrophic global warming caused by man, there is simply no compelling proof as the process is simply too chaotic, with too many unknowns, to draw a conclusion. At best, you have conjecture. That is hardly a valid basis for spending trillions of dollars, especially on poor solutions like renewable energy. Try using and creating energy more efficiently and wisely, which is a vastly superior solution to the perceived threat.
Len Gould 10.29.12
Micheal " is stunningly arrogant and belies a leftist mentality that the citizens exist for the sole benefit of the government." -- No it isn't, its simply rational economics which you should be able to figure out yourself. I challenge you to get a qualified economist to refute it.
Jim Beyer 10.29.12
Michael Keller says:
"Try using and creating energy more efficiently and wisely, which is a vastly superior solution to the perceived threat."
You say this over and over, but neglecting CO2 emissions (and probably some aspects of coal and oil depletion as well) the cheapest thing to do is just burn more coal. We know how to do it. The infrastructure is in place. No scary nuclear stuff. The Chinese are doing it (so it MUST be wise!).
Efficiency is sometimes not the cheapest thing to do. So there is no economic incentive to be efficient, or wise, for that matter.
peter snell 10.30.12
Neglecting CO2 IS the efficient thing to do.
Macro Climate science is at the stage of determining whether the sun or the entire universe circles the earth. They've not yet begun to perceive the earth is not flat.
Len Gould 10.30.12
"And all the while, the water was rising, to levels never seen before in New York" ;<]
Malcolm Rawlingson 10.30.12
Jim, Sorry if I confused you but I was not at all trying to perpetuate the myth about a new ice age coming. The point I was trying to make - albeit not very well - is that just a few short years ago the media was awash in stories predicting that a new ice age was coming. Now it is awash with stories about dramatic increases in the earths temperature. Either the first lot of scientists was spectacularly wrong or the second set of scientists is spectacularly wrong. Even Len would agree that having the earth warm and cool at the same time is not possible.
The problem is of course that both sets of predictions (both backed by learned papers by equally learned professors) are just theories that cannot be proven.
What concerns me most regarding the various pronouncements about climate is that they follow a very similar format to pronouncement about other sure things. Such as the earth is flat - a widely held scientific belief of its time proven now to be spectacularly incorrect. Or the Sun revolves around the earth - a whole generation or two of the brightest scientific minds of the day once again proven to be spectacularly wrong. Or the decades of medical pronouncements from learned professors of medicine that stomach ulcers were caused by stress and worry - now shown to be caused by a bacteria. Or that blood letting cured disease in humans. Or the belief that the recent flooding in New York has anything whatsoever to do with climate. The list of such scientific follies goes on and on. The real point is of course is that given enough publicity people can be brainwashed to believe anything at all. And that is very sad.
Malcolm
Len Gould 10.30.12
Malcolm, you're really stretching to claim that "scientists" proclaimed the earth flat. In those times, science was centered in the Islamic and Chinese cultures where they had no such theories. And blood-letting preceded scientific medicine since beliefs in its' effectiveness were not based on any scientific method.
And you're actually proclaiming and untested theory yourself, to wit that the flooding in New York was NOT due in any part to global warming. Where's your backing?
Hopefully you're not as solid as you think you are about brainwashing the public, and we will be able to actually take some mitigating steps despite the brainwashing attempts of your ilk constantly trying to discredit solid science.
And before you come back at me again about the flooding in New York, consider that GHG's in the atmosphere, by simple application of known physics, should have (IMHO unarguably) contributed to the recent increases in ocean temperature noted by satellite measurements, resulting in a) increased ocean levels due to thermal expansion (If temperatures are allowed to rise by 3 degrees, the expected sea-level rise could range between 2 and 5 metres, with the best estimate being at 3.5 metres.)
Jim Beyer 10.31.12
Malcolm,
You are misunderstanding me. The myth is that scientists said that there would be a new ice age in the 70's. This didn't happen. Follow the link.
Len Gould 10.31.12
Sorry about HTML error.
Ferdinand E. Banks 10.31.12
I'm not going to learn or try to learn anything from Germany, Mr Linn. If Germany were really to dump nuclear, my electric bill would double. Of course if the Swedish government takes my advice, everything will be lovely: PUT AN EXPORT TAX ON ELECTRICITY GENERATED IN SWEDEN.
Malcolm Rawlingson 11.1.12
Len, I did not propose any theory regarding the flooding that occurred as a result of hurricane Sandy. However I was pointing out that you had obliquely stated that it was and there was no basis at all for that statement.
I would propose some possible causes for the high water levels. You can call it a theory if you want to but it is some basic observations of the situation.
1. There was a large hurricane. Not the worst hurricane and as wind speeds go rather tame in the scheme of things. Quite large in diameter therefore the sea swell effect was significant. 2. It was a full moon. High tides are a known and predictable effect and always cause high tides. Ask any sailor.
The combination of these two events is a much more likely explanation of the high water levels.
The water expansion data you supplied is hogwash and you know it. Yes that IS what happens if you expand the entire body of water on the earth but you surely are not going to tell me that the water 3 miles down in the Pacific is at all affected by increases in surface temperature.
I made reference deliberately to those people of yesteryear as scientists because that is how they were viewed buy the population of the day. Just as the scientists of the day are viewed by the general population of today. Yes todays scientists have better technology but if you are unable to prove your results then you are no better than the flat earthists. I note that you did not comment on the failure of eminent medical scientists to fully understand stomach ulcers which is very recent. Finding the true cause of the problem was a complete accident. So if you think modern scientists with all their computer technology cannot make gigantic mistakes you need to give your head a shake. They can and they do.
There is an old saying in the computing world - GIGO - Garbage in - Garbage out. If you put unreliable data into the climate modeling computers you get similar unreliable results out.
And as I said there is not a single element of the GHG theory that can be proven. Therefore it is guess work aided by big computers. Just as the ice age prediction was.
Malcolm
Malcolm Rawlingson 11.1.12
Fred, Now there is a good idea putting an export tax on Swedish electricity. I like that idea. You should come to Canada Fred. Much like Sweden in many ways except we have a few billion barrels of oil. Plus we have a good strong nuclear industry having just put two rebuilt 800MW CANDU units on the grid. Both good for another 40 years of cheap reliable clean generation. That makes a total of four units back on the grid since 2005. Total installed capacity of nuclear is now over 12000 MW. Together with our gas plants and hydroelectric stations Ontario will no longer be burning coal to produce electricity after 2014. That is quite an achievement but of course went completely unreported in the media. Malcolm
Len Gould 11.1.12
Malcolm QUOTE And as I said there is not a single element of the GHG theory that can be proven. END Q
Lol
Ferdinand E. Banks 11.2.12
Thee is a very ugly rumor going around Malcolm, which is that I am arrogant. My grandchildren believe that it's true. Anyway, like it or not , I am going to quote what you say above about nuclear. I just hope that I spell your name right
Len Gould 11.2.12
Malcolm, just to reinforce Fred's comment, I also fully endorse your statements regarding nuclear power in Ontario, which is an unqualified success from every aspect. I also note there is a serious competition among communities across the entire Canadian Shield region to be named as Canada's repository for permanent storage of spent fuel, which clearly one of them will win. Though I hope the decisionmakers are sensible enough to put such a valuable resource into a state from which it can be readily recovered in future, as it is certain to be.
Ferdinand E. Banks 11.4.12
Great comment Len. I'm a little short on pocket money these days or I would pay somebody to use it, so I guess that I'll just have to use it anyway. And I hope that I spell your name right too.