You create market panic by targeting oil personel in Saudi.
Oil prices rise because of a risk premium.
Saudi would certainly pump at maximum because:
- inflated prices would be extremely tempting
- inflated prices encourage marginal amounts of substitution, and potentially hurt Saudi economy over the medium term. It is in Saudi medium term interest to keep oil price low to moderate, esp. if they have as much oil as they say they do.
Are you thus implying:
Sceptical CIA analysts artificially create a temporary risk premium to test Saudi's claims of surplus capacity? Or attempt to expose Saudi surplus capacity to the
Maybe I'm reading too much into your 'hypothetical challenge', but I think it really important that peak oil advocates really refrain from advocating extremely speculative points of view like those I have outlined above.
I'm a recent investigator of peak oil, and i discovered it when searching the net for 'conspiracy theories' to pop holes in. It's a past-time I very much enjoy, my favourite fruit of the modern world. To my chagrin, I was unable to flaw the reasoning; the only weakpoint, i believe, if one exists, is in the validity of the raw data.
However, my friends are proving decidedly hard to open to peak oil possibilities. Whilst they have oft delighted in my pointing out problematic reasoning in other domains, they are more prone to see peak oil as 'the conspiracy theory I cannot defeat' (
i.e. It's still wrong, I just can't figure out why...). I have struggled to understand the line of reasoning they follow, and it is clear.
What are the consequences?
Very very bad.
Therefore impossible.
Therefore conspiracy theory.
And who could blame them. Do a search on the internet and peak oil theories are often intimately tied to other more speculative, conspiracist type theories (i.e. recent CIA plotting coup article).
Let me make it clear - I'm not saying these theories are wrong, just that they are speculative; the evidence is not conclusive. Peak oil is potentially a conclusive argument, when various consequence speculation is removed from the crucible.
Perhaps I have rambled but I am lost on this one. It seems all too clear that peak oil has suffered from being associated with conspiracy theories, and perhaps (data validity dependant) it has suffered for too long. It seems much too much to ask for people to refrain from making conspiracy sized claims -
because the implications really are that big!!! But how can these ideas enter the sober (drunken?) world of news media when the ordinary implications appear so unbelievable, so outlandish???

A brief moment of depair.
It aint over till the fat lady sings.