At Shanghai Pudong Airport, heading for Hong Kong.
On XYZ <<... is too expensive [meaning higher-priced that the long run marginal cost of production of ... or competing products]>>
... Substitute any of "Housing", "Platinum", "QCOM", ... for XYZ, read sentence, and reflect on its meaning.
As to "long run marginal cost of production of oil" ... you must know someone I do not know, and that someone must be PRODUCING oil, as opposed to just finding same and simply pumping it out of the ground. How is oil made? Starting with the formation of the stars, and the evolution of carbon-based life form ... and you think the marginal cost of all that is less than USD 30/barrel hot off the printing press?
I think we must think in fractal terms, and zoom up to one extreme, and zip down to another terminus, so as to seek truth from facts.
As to <<I'll stick with Lord Browne's opinion [which happen to match my own] that oil is too expensive ... cheaper later, at around $30 a barrel if I remember rightly>>
... so, you must have given up on the dream of oil at USD 2/barrel :0)
I understand that to make oil from coal using current technologies on reality scales, as opposed to extracting oil from oil sand, costs 4-7 times the current price of oil, and if so, well, given coal is so much more plentiful than oil, then perhaps ... well, you know the math and are aware of the logic.
Chugs, Jay |
