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Future Oil Production Curves for 42 Countries!

by Jay Hanson

01 December 1999 00:20 UTC


[ Permission to repost expressly granted! ]

Never published anywhere before!  See future oil production curves for 42
Countries at http://dieoff.com/42Countries/42Countries.htm

Now you can estimate when your own country will disintegrate into violence!
For example, once Mexico's petroleum production "peaks" (est. 2001) and
starts to decline, foreign capital will flee the country and Mexico will
once again descend into anarchy -- this time forever. [1] Ultimately, the US
will be forced to build a new Berlin Wall to keep the Mexicans out.

OVERVIEW
One hundred years ago, fundamentally stupid economic theories led to two
world wars with millions killed:

"By the end of the seventies the free trade episode (1846-79) was at an end;
the actual use of the gold standard by Germany marked the beginnings of an
era of protectionism and colonial expansion. the symptoms of the dissolution
of the existing forms of world economy -- colonial rivalry and competition
for exotic markets -- became acute.  The ability of haute finance to avert
the spread of wars was diminishing rapidly.  For another seven years peace
dragged on but it was only a question of time before the dissolution of
nineteenth century economic organization would bring the Hundred Years'
Peace to a close." [p. 19, Polanyi]

Today, the same stupid economic theories are still being taught to students
all over the world and are leading to a new generation of world wars with
billions killed:

"Protesters representing a rainbow of causes attempted to disrupt Tuesday's
opening session of the World Trade Organization conference. Activists in
large numbers vowed to shut down the city with acts of civil disobedience.
At one location, police used tear gas to clear protesters." [ CNN, Nov. 30,
1999]

Neoclassical economic theory teaches that we will never "run out" of a
commodity.  This is because as prices increase, we will use less-and-less of
it, but there will always be some available at some finite price.
Practically every economics textbook teaches this, but every economics
textbook is wrong because "energy" is fundamentally different from every
other commodity.

There is no substitute for energy.  Energy is the prerequisite for all other
commodities, so if we "run out" of energy, we will "run out" of everything
else too.

By definition, energy "sources" must produce more energy than they consume,
otherwise they are called "sinks".  By definition, energy sources have "run
out" when they consume more energy than they produce.  This universal energy
law holds no matter how high the money price of energy goes.

Economists are blind to the unique properties of energy because economic
methodology is inherently defective.  Economists first abstract all
commodities to money -- which of course, obliterates all qualitative
differences between the commodities themselves -- and leaves economists
uniquely unqualified to know the relationships between the commodities they
purport to study.

"The origins of the cataclysm lay in the utopian endeavor of economic
liberalism to set up a self-regulating market system." [p. 29, THE GREAT
TRANSFORMATION, Karl Polanyi; Beacon, 1957]

Jay -- www.dieoff.com
---------------------------
[1] See for example, "Mexico's Petroleum Exports: Safe Collateral for a $50
Billion Loan?" at  http://www.hubbertpeak.com/duncan/mexoil.htm

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