ferguson

Rough Economic Seas Toss Many Boats, Including Oil Price

Greed is the essential problem. Stock options are just a way of disguising greed and implementing it. Perhaps even more egregious than stock options for executives are stock options for corporation directors, who come to meetings 4-10 times a year, get paid six figures and have stock options to boot, obliterating all obligations to protect stockholder interests. Management proposes stock options for the board, the board approves stock options for management and the result is not greatly different from insider theft from ordinary stockholders and a complete fracture of the relationship between compensation and the value of work.

People will invent all sorts of schemes to satisfy greed. That is the original, fundamental bubble. JK is right.

Saudis Try to Re-Invent the Internal Combustion Engine

The various points of view suggest that this question will present a supreme test for the collective intellect, pragmatism and decision making process of the Obama administration. My bet is that sound decision making in the next eight years will reverse the quagmire of the last eight.

Energy Investing: Scenarios for a Turnaround

Continuing the comment transmitted above in error.

Perhaps the best indication of what the future holds is that President Elect Obama's rating from the public on conduct of the transition to the presidency is at 80%.

My bet is that a very thoughtful, disciplined and highly competent Obama administration will steer the way through the obvious difficulties to a more secure and more sustainable future.

Energy Investing: Scenarios for a Turnaround

Good article. Good discussion. I am inclined to think that Paultaut's scenario is most likely, but the truth is that none of us knows what the future holds.

Peak Oil's Bell Is Ringing

The New York Times lead editorial this morning (11/16/2008) calls for a military restructuring and buildup to deal with a different but still dangerous world. As we look at the real world around us, the editorial has a lot merit.

On the other hand, even if all of the advocated steps are taken and we are able to battle the forces of evil to a draw, the result will still be disastrous for the simple reason that war has now become a distraction from the real problems facing the world which include global warming, environmental degredation, food and water shortages, population growth and (last but not least) peak oil.

War and the preparation for war is one of the least (perhaps the very least) productive uses of time and energy on the planet. The world as a whole (and we have to think in these terms) simply cannot afford a future where a large percentage of resources are spent on national defense, war and the aftermath of war.

The clear interests of the entire world and its inhabitants are in finding a way to move beyond war. As the world's mightiest war machine, the U.S. should take the lead in this direction.

Geologist: In Terms of Supply and Demand, the Oil Peak Is Past

A fabulous array of opinions on a crucial subject. Where is the critical path to the future? 1. Recognize that preserving a long term environment for life on earth is more important than short term profit. 2. Reduce and, eventually, eliminate wasteful uses of energy. 3. Pedal to the metal on investing in solar, wind, geothermal and other forms of renewable energy. 4. Bring energy consumption down to a level that is consistent with both preserving the environment while nurturing life at a humane level. 5. Gradually creating alternatives to "the global economy" by fostering local and regional capabilities in agriculture, manufacturing, marketing, tourism and all other aspects of life. 6. Restricting the use of oil to those functions for which it may be an irreplaceable resource, such as lubrication, jet fuel and plastics. 7. Burning coal only when that can be done in a non-polluting way. 8. Relying on nuclear energy to produce electricity over a transition period (20 years?) which will be required to make the shift to renewables and then gradually eliminating nuclear power unless safety and environmental concerns have been eliminated.