CPST1

Oil As Money and the Decline of Energy Earnings

It's outrageous to speculate that the price of oil is staple to the value of currency. If currency best represents productivity in respect to a means of exchange then higher oil prices also equate to higher gold prices. If anything there is a tradeoff of having productivity and a cash rich society, where the price of oil and gold become so high that fewer and fewer have the cash to trade freely.

$150 oil was a wake-up call and things are changing. More has transpired since oil peaked and the result is likely worse than the peak price of oil or gold. That fewer people have the means to sustain themselves independtly, and that in turn will create a demand for a greater scale of economy.