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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: elmatador who wrote (26165)	12/7/2007 11:51:56 PM
From: Maurice Winn	Read Replies (1) \| Respond to of 220453

Remember the woes about "recycling the petro-dollars" in 1979? It seemed obvious to me then that they would just do what they are doing now = go shopping. Which is exactly what they did. Except that the price of oil fell before they became accustomed to the manner to which they wished to become accustomed and pretty soon even Saudi Arabia was running out of money. I have never yet come across anyone who can't spend all the money they can get their hands on. Not necessarily wisely or usefully or even enjoyably, but they do seem to be able to get through it. Governments are especially good at it. They get through vast amounts of it and the taxpayers just go on voting for more of the same. They'd better enjoy it while it lasts because the price of hydrocarbons is well above where it will be when competition for customers has done its thing. Even Iran, a big hydrocarbon producer, is competing with itself, by building a nuclear power station and bomb making facility. Which shows just how cheap noocular energy is if Iran can do it cheaper than they can do their own hydrocarbons. Once nuclear reactors are built, they won't be turned off again even if oil goes to $5 a barrel. So OPEC had better be careful. If oil gets so cheap that even nuclear energy isn't economic, Iran can always go into making noocular bombs [which of course is their primary intention despite the NIE and Disbanded Office of Disinformation latest propaganda]. Mqurice