by peaker_2005 » Thu 20 Oct 2005, 12:26:30
$this->bbcode_second_pass_quote('rowante', 'A')ctually this is pretty sensible stuff:
$this->bbcode_second_pass_quote('', 'T')hird, I don't think we should be too reliant on "free market solutions". Yes, the free market is very powerful in creating solutions to problems. However, sometimes those solutions are very painful. The old expression goes, "an ounce of prevention is worth a pound of cure." If we don't address this problem BEFORE it gets out of hand, then whatever solution the "free market" comes up with is bound to be painful, because all the options will be painful. I believe in the free market as much as the next person, but I don't believe in using "the free market" as an excuse for procrastination of necessary duties. An example will suffice to make my point: Lets say you are a businessman who operates a factory. You decide to spend all surpluses on dividends (since you are the largest shareholder.) You neglect maintaining your equipment or purchasing new equipment to replace older equipment. Your advisers tell you that you need to make adjustments in your priorities and spend more money on your equipment, but you tell them, "Nah, don't worry about it. If my equipment starts to break down, I'll worry about it then. Don't worry, Adam Smith said something about an `invisible hand' or something like that. The free market will take care of the situation."
You know what ... you'd be right: The free market WILL handle the situation. You will go out of business.
Let's not be naive. This is a problem, and its a problem for much more than just the petroleum industry. It's a problem for all of us, and to fail to address the problem is not only silly, its irresponsible.
That's the best anti-free-market-will-solve-peak-oil argument I've ever come across!
Agreed.