Kunst

Cool Hand Bernanke Protects a Bankrupt Fed

"We will never run out of oil, it will just be so expensive there will be cheaper alternatives"

Actually, there is another wrinkle to this that is more ominous. It takes money to extract oil, right? Actually, it takes oil to extract oil. The easiest oil to get was used first. The oil we're using now is getting harder and harder to extract and process. We will never extract all the oil that exists. Before that, we will reach a point where it takes more oil to get the new oil than the energy it yields. When that happens, oil is done. Every new barrel will be a net loss, no matter what its monetary value.

Now granted, oil and energy aren't quite the same. To some degree, we can use other kinds of energy to produce new oil. But mostly the oil industry runs on oil, so electricity from coal or nuclear isn't going to help much.