The Wealth of Nations and the Prius

@ $36/barrel, the total amount imported will be less than $180 billion worth in 2009. At this point we can't not import oil in the short term, we could cut off the rest of the imports tomorrow. ($600-$800 billion deficit)

 

See, that's what I was afraid of. We'll happily shovel more money to terrorist supporting, oil exporting countries. If anything, the proportion of oil imports will rise, perhaps exceeding 70% of total oil consumed.

Then, when the economy eventually picks up, or we have a major supply shock, they *really* have us by the short and curlies

I have not heard any recent talk of Energy Independence. Given our proven domestic oil is barely break-even at $60 a barrel, we're sunk. One direct effect of this is that Canadian taxpayers will really be soaked for Hibernia, since Hibernia Management and Development Corp - a Crown Corp legally exempt from audit and investigation - guarantees ExxonMobil a direct extraction cost of no more than $30 a barrel

When oil was almost $150, EM laughed all the way to the bank, thanks to the generous Canadian taxpayer. Now that we are entering a crippling global recession and credit "crisis" (Too much easy credit put us over this barrel), EM can still laugh all the way to the bank

 

Now is the time to work towards energy independence, every decision concerning the viability fo anything over the next decade should be made with oil @$125//barrel and part of the energy policy should be to subsidize in some way developing alternatives. If I develop an alternative energy source that needs $125/barrel oil to be sustainable, and the price of oil is say $85/barrel the government develops a formula to fairly make up the difference. This would make us ready for the next price shock and eventually make us energy independent and would probably eliminate any future price shocks.

 

Now you just know that won't happen. So when the inevitable supply shock hits, the sheep go baaaa

 

unfortunatly, nobody can isolate themselves from the world...

... oil is not used just for cars but for many other things, including plastics, which are then used everywhere in everything.

I think it is telling what GM thinks of all that, as they selected Korean battery manufacturer rather than US one.

You know who is working with US battery manufacturers? Germans. Only contract A123 has right now is working with Daimler on next generation batteries. In fact, I have an friend working there and they are nowhere close to delivering end product.

In your world, it would not happen... In fact, in your world i think we would all drive big Chevy's from 60's...

 

Tarrifs.

 

There is another saying here in North America that would tend to apply to your conversation with Malorn:

"Do as I say, not as I do"

In other words, a lot of folks in the US feel it's appropriate to have undue influence over international trade, even to the point of keeping the "locals" desparately poor, as long as the US benefits

The locals are not supposed to "act up" by expecting the same standard of living, or influence, that we enjoy here.

When the tables are turned, suddenly a lot of folks start pissing and moaning.

I've had ten major career upheavals/changes in my working life, including being laid off. Instead of pissing and moaning about it, I work that much harder to get back on my feet and move on with life. That attitude has served me well, as I have done very well in my career

Even engineers here don't see any urgent need to keep their skills upgraded, failing to understand the enormous competition they face from India and China

 

I think long before that happens, the U.S. will put the money into infrastructure, transit, etc. so people will be able to get along without a car. Cities and residential areas will be restructured for pedestrian and bicycle use so groceries and sundries are close and can be transported home.