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The Cheap Oil Syndrome: 3 Stocks to Benefit

I agree with both mixter and only partially to Cousin A, gov't intervention on both sides, subsidies in the down times, windfall "stupid" taxes in the good times is bad and invokes the law of unitended consequences. Businesses don't pay taxes, people do...because it is passed on, that IS business.

Eric H's point is moot because the 3 trillion is off balance sheet, you did not pay for it with this year's filing of taxes, or the year before...or the year before. We opened another credit card in the US taxpayer's name so since it was all borrrowed and will never be paid back, we couldn't have used it because technically it was never there. I'll agree that if we're going borrow 3 trillion we should have put it to finding alternative energy. The problem is that gov't isn't the best group for it...i.e. ethanol and the devastation it has done to corn (consumers that is). We will all pay for the war with inflation, the stealth tax. We'll never pay off the national day in real dollars anyways, it will be inflated away or rendered worthless when we switch to a new currency (Amero?).

Maybe we shouldn't have constructed our entire society on cheap oil...doh!

The Cheap Oil Syndrome: 3 Stocks to Benefit

The Saudi's can't increase supply because they don't have it. This is the nasty secret that the Government doesn't want to tell the people...thinking they can fix the problem before it happens. Read Matt Simmons' book about Saudi oil and you'll see. They hide this because they don't want to spook the herd or incite hoarding and general chaos.

This nationalization of oil around the globe and war in Iraq(setting up a police station) are all chess board moves for later this century when resource conflict is open and regular. With billions wanting to live like America, shortages will ensue. Eventually a new source will overtake oil but the trillion dollar question is what...and is it in time.

Kind of bleak outlook but a gallon of oil is STILL cheaper than a gallon of milk and look at the backlash. It may be worth it buy a home close to work or a motorcycle with enough land to grow food for a family or two...just in case. Past returns do not guarantee future results.

Or we could breakthrough in sun or wind technology or something and forget the whole thing.