PeakOil is You
Don't bet on $100+ price oil...says
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Don't bet on $100+ price oil...says
by frankthetank » Thu 14 Apr 2005, 12:05:54
http://moneycentral.msn.com/content/P114806.asp$this->bbcode_second_pass_quote('', 'W')ill such a spike happen? Um, in a word, no. Barring an unpredictable external event -- i.e., a terror attack on shipping lanes or an invasion from Mars -- I seriously doubt oil will reach that level on its own. Why? About halfway there, the high price of energy would ground the global economy to a screeching halt. If $55 oil is a drag on the economy, then prices 50% higher -- $75 to $80 -- would act as a huge parachute. The deadweight economic drag would slow the economy and reduce demand to the point at which oil prices would beat a hasty retreat from those levels as the global economy careened into a worldwide recession.
It seems this guy is overreacting to the recent fall in the price of crude. Do we have proof that expensive oil is reducing consumption?
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frankthetank - Light Sweet Crude
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by Ebyss » Thu 14 Apr 2005, 12:08:28
http://www.energybulletin.net/5309.html
$this->bbcode_second_pass_quote('', 'H')igh prices appear to be stemming global oil demand, according to the west's energy watchdog, which on Tuesday pointed to signs of slower demand in the US, China and other Asian countries.
$this->bbcode_second_pass_quote('', 'H')igh prices appear to be stemming global oil demand, according to the west's energy watchdog, which on Tuesday pointed to signs of slower demand in the US, China and other Asian countries.
But :
$this->bbcode_second_pass_quote('', 'â')€śInternational Energy Agency optimism that high oil prices are curbing demand are not shared by Opec,” said one Opec official, who added that Chinese demand was strong in March, and looked to be continuing this trend in April.
We've tried nothin' and we're all out of ideas.
I am only one. I can only do what one can do. But what one can do, I will do. -- John Seymour.
I am only one. I can only do what one can do. But what one can do, I will do. -- John Seymour.
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Ebyss - Tar Sands
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by aahala » Thu 14 Apr 2005, 12:44:49
All you have to do is look at the price. If there were a serious mismatch
between demand and supply, the price would rise if demand was much
greater or fall if supply were in surplus.
The speed and direction of price tells us the relative relationship. It's
not minute by minute but you don't have to wait months to discover
the relationship.
between demand and supply, the price would rise if demand was much
greater or fall if supply were in surplus.
The speed and direction of price tells us the relative relationship. It's
not minute by minute but you don't have to wait months to discover
the relationship.
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aahala - Tar Sands
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by Leanan » Thu 14 Apr 2005, 12:47:19
I'm sure there will be some demand destruction. Eventually, high prices will lower demand. (According to recent news reports, used Toyota Priuses are selling for higher prices than new. There's a 3-6 month waiting list, and people don't want to wait.)
But the resulting recession will be part of the peak oil problem, not the solution.
But the resulting recession will be part of the peak oil problem, not the solution.
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Leanan - News Editor
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by Tuike » Thu 14 Apr 2005, 14:35:44
$this->bbcode_second_pass_quote('Leanan', '(')According to recent news reports, used Toyota Priuses are selling for higher prices than new. There's a 3-6 month waiting list, and people don't want to wait.)
This is great news that people are intrested in energy conservation by buying hybrid cars.
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Tuike - Tar Sands
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