Tom Rogue

How Does the Financial Crisis Affect the Peak Oil Thesis?

As I say in the article, Peak Oil is likely to be the key, yet ignored cause of the financial crisis (which finds its roots in the subprime crisis).

In 2006, interest rates were raised in the USA, so the monthly bill, usually poor borrowers of subprime mortgages had to pay, rose dramatically, until they could no longer pay it and saw their houses confiscated; thus contributing to the housing market plunge.

Finally, interest rates were increased in order to fight rising inflation, which started with the dramatic surge in oil prices the world faced over the past few years. So yes, the financial crisis finds its roots in the oil crisis and nobody seems to care about it.

The current events that nobody saw coming, were already announced in as early as 2006 by Dr. Colin Campbell, a renowned geologist:

"Expansion becomes impossible without abundant cheap energy. So I think that the debt of the world is going bad. That speaks of a financial crisis, unseen, probably equalling the Great Depression of 1930; it's probable we face the Second Great Depression. It would be a chain reaction, one bank would fail, and another one would fail, industries will close…"

www.ireport.com/docs/D...