by MonteQuest » Sun 01 May 2005, 12:20:41
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And “scalability” is surly no issue where there is profit to be made just like at every turn in the past. The United States alone could finance this switchover if it came to that even if it puts US with debt much greater then the GDP like we had during & after WWII. Private industry will take care of these issues not even requiring that though. Many people including professionals supposedly in the know claimed we could never overcome the “scalability” of what was required to win the war in Europe & Asia simultaneously but we cranked out a war machine that did just that and we will prevail at cranking out a machine to replace oil.
Guess you lack an understanding of the current economic situation as well. The US could finance the world's switchover to alternatives? The US is bankrupt! We borrow 2.9 billion dollars a day just to keep the economy going. Private industry? They are broke too.
For example:
Who’s Picking Up the Tab?$this->bbcode_second_pass_quote('', 'B')ut consider that Government sources have estimated that ‘fixing’ social security will cost somewhere between 1 and 2 Trillion Dollars. It has been clearly stated that the proposed means by which this fix up will be effected is with borrowed monies. Current U.S. fiscal and balance of trade deficits combined, are somewhere in the neighborhood of 1 Trillion [give or take a couple hundred billion either way] annually. Foreigners are counted on to absorb perhaps 75 % of these gross new borrowings each and every year [the entire current account deficit as well as 40 % – 50 % of the fiscal budget deficit]. As former Fed. Reserve Chairman, Paul Volcker points out,
“…The United States is absorbing about 80 percent of the net flow of international capital…."
With the above information being undisputed fact, we ask, how could America - let alone anyone borrow an additional 1 – 2 Trillion dollars when existing borrowing, of about 1 Trillion, is already 80 % of global savings? On our planet, such a proposition is sometimes referred to as an oxymoron. In our opinion, the mere proposition that new borrowings of this scale are possible is nothing short of hubris. To believe that such incredulous borrowing plans have any chance of success whatsoever would require overt deception, deceit and temerity – as well as a generous supply of unwitting victims [dare we say the John and Jane Six-Pack American Public?].
Where would anyone go to find such a generous supply of unwitting, uninformed human beings? Answer that, dear reader, and you’ve answered the Fed and Treasury’s latest 2 Trillion dollar dilemma – just remember to smile when your waiter asks, “Will that be cash or Visa?”
I don't think it is unreasonable to think that this switchover will costs trillions of dollars. Just where do you suppose this money will come from? US printing presses? Get ready for Weimar Germany 1923 inflation. Better buy a wheelbarrow.