Showing posts with label peak oil. Show all posts
Showing posts with label peak oil. Show all posts

Saturday, March 4, 2017

The Vulnerability of Oil

During the last century, Western culture imported from Asia a number of Oriental concepts of physiology which have influenced our understanding of medicine, analgesia and hand-to-hand combat.  One of these is the concept of "pressure points."  These points, identified by Asian medical practitioners and martial artists over several hundred years, have been held to be points on a human body where the skillful application of pressure or force could produce widespread bodily effects - for good or for ill - even over organs which did not seem to have a direct connection to the point on the body where external pressure or force was being applied.  The efficacy of the use of these pressure points has been debated between Eastern and Western practitioners of medicine and martial arts, as well as the mechanisms by which such points are supposed to work.  (For an interesting take on the subject, please see this.)  Nevertheless, it can no longer be disputed that there are localized regions of the human body where the application of external pressure or force can produce dramatic effects throughout the entire body.

The body is an integrated whole made of many, many individual cells.  And in the same way, human societies function as integrated wholes made of many, many people.  It is therefore not surprising to discover that entire societies have points where the application of force or pressure can produce widespread effects for good or for ill.  Moreover, as time passes, one or more of those pressure points may become especially sensitive to pressure.

Take a society's energy supplies for instance.  (And here I am getting back to the roots of this blog.)  When those supplies of energy (or other limiting natural resources) are abundant and easy to extract, it is possible for a society's economy to grow, and for its wealthiest members to grow ever richer as long as the rate at which they increase their riches is not so great that they impoverish everyone else in the society.  But suppose the supplies of energy become scarce or the cost of extracting those supplies grows to such an extent that it becomes a significant fraction of the total amount of energy contained in the supplies that are extracted.  Then there is the possibility of significant - er, ahem, drama - depending on how dysfunctional the wealthiest members of the society are.

For instance, the holders of concentrated wealth (and hence, of economic and political power) at the top of the society might be reasonable, moral, decent people.  In that case, they might choose to inform their society of the change in conditions, and to consciously lead their society toward a healthy, righteous, realistic adaptation to the changed conditions - an adaptation which was designed to be as healthy as possible for as many people as possible.

But suppose the people at the top of this society were disturbed and dysfunctional.  Then they might try to play a zero-sum game on everyone else in their society by continuing to try to increase their wealth and power at everyone else's expense.  And they might try to cover up the root cause of their society's impoverishment by scapegoating segments of their population in order to divide the lower rungs of their population against each other.  They might also try to mislead their population into believing that there was some magical formula which could make the good times of consumption and material excess last forever.  But while they continued to waste valuable time on these maladjustments to reality, that reality would continue to take ever-bigger bites out of their daily life.  In the end, they might wind up like the Norse who tried to colonize Greenland several hundred years ago.  (For a couple of perspectives on those Norse, you can refer to this and this.)

That seems to be the society we live in right now in the U.S.  We have a President who heads a regime of asset-strippers, most of whom also are enthusiastic in their support of our President's trashing of the environment and scapegoating, stereotyping and threatening of various nonwhite ethnic groups in the U.S. and abroad while they strip the assets of an entire nation right under our noses.  And among them are voices insisting that they have a magical formula that will return us to the good times of consumerism and material excess if only we follow their formula.  Some of those voices belong to the biggest players in the market of Big Oil, who have insisted that the U.S. can achieve "energy independence" if only this nation removes all environmental restrictions that stand in the way of maximum profits for Big Oil.

But is this claim reasonable?  Even as far back as 2013, the German Energy Watch Group had stated that the worldwide peak of conventional oil production had already happened by 2008, and this agency predicted that the global peak in total petroleum liquids production would have passed by 2016.  (What they say about the picture for coal production in the U.S. is also not very comforting.)  Moreover, a curious thing has happened throughout the world, and especially in the U.S.  Because of the huge amount of debt overloading the global financial system - especially in the U.S. - the ability of increasing numbers of the population to afford high-priced petroleum products has decreased, even as the costs of extracting petroleum have risen.  Some analysts indeed say that the costs which oil companies must pay to extract oil have risen above the level at which most consumers can afford to buy the products made from oil.  One such analyst used some rather colorful language last year to describe what was happening to oil producers when oil prices were between $20 and $30 a barrel.

Now we live in a time in which oil prices have recovered to the range of $53 to $55 per barrel, due primarily to OPEC announcements of production cuts.  However, oil inventories remain very high, and U.S. production has increased, moderating the effect of OPEC cuts.  In addition, there are signs that Russia is not complying with the OPEC agreements to cut production to prop up prices.  The factors which have been causing oil producers (including nations that depend on resource extraction for their revenue) to start bleeding to death in a time of low oil prices are still present.  (See this also.)  And there are signs that the current oil price rally will not last.  The problem is that oil producers cannot meet their obligations to stockholders (for private oil companies) or citizens (for resource extraction-dependent nations), or pay down the principal and interest on their debts, or cover their extraction costs, for anything under $45 to $50 per barrel.  This is why the oil producers cannot cut their production by very much even at low prices, for production cuts mean revenue cuts for these producers.

Which leads to a bit of a problem for these producers, many of whom were instrumental in bringing about a Trump presidency.  They might despise the economic status, environmental policy, language, or skin color of a great many people in the U.S., but there is one color they do like:



Many of us who are among scapegoated groups or who are on the lower rungs of American society or who don't want our environment destroyed have pieces of paper that look like this.  We may not have as many as the asset strippers at the upper rungs of society - but they need our pieces of paper in order to prop up their claims to wealth.  We can withhold this paper if we choose, and if we are willing to do the work needed to live without certain things.  How would things be if U.S. petroleum demand were to continue to decline in 2017 - not only because of the factors listed above, but also because the people at the top of American society had made the rest of us angry enough to engage in massive economic non-cooperation?  Let's say that the majority of us traded tire rubber for shoe leather for the majority of our trips, and that we worked out our anger by striding energetically down sidewalks instead of driving.  The oil majors were among the entities who helped to transform the United States from a one person, one vote society into a one dollar, one vote society.  How much pressure could we exert on these people by taking away a few of their dollars in order to sway some of their votes?

Saturday, January 2, 2016

Living In A Place Named "Predicament"



Explosion Kitty walking away from the Zombie 
Apocalypse 


And now in this post we return to the roots of this blog (and we show how a discussion of national and cultural abnormal psychology relates to those roots). This blog began as a diary of my observations of the changes in mainstream American society which are being caused by the decline in energy and natural resources needed by the global industrial economy. Personally, I think some of my earliest posts on the topic were rather amateurish, due to the fact that I didn't quite understand at first everything I was looking at. (Petroleum geology, in particular, is not my forte.) But even people who were born yesterday can catch up a bit by staying up all night studying. ;)

When writers seriously discuss resource depletion, climate change and their likely effects on the global industrial economy, some readers tend to react as if they'd just met a conspiracy theory/zombie apocalypse nut. But these subjects actually have a very solid technical background. Let's explore that background for a moment.

First, there have been thinkers from way back who understood that the earth is finite, and who accepted the possibility that humans might one day bump against the limits of the earth's resources. Two 19th century names come to mind: Thomas Malthus postulated that the human population could grow to a level that would not sustain extravagant lifestyles. Svante Arrhenius postulated that human industrial activity could release carbon dioxide into the atmosphere in such quantities that it could cause significant long-term changes to the global climate. Malthus and Arrhenius did not have the benefit of computer modeling to validate their assumptions. But in the 1970's, there were scientists who did have that benefit. A group of these scientists assembled under the auspices of the Club of Rome to study possible future scenarios for the global industrial society from the 1970's to 2100. They discovered a number of scenarios in which the industrial economy would run into hard constraints related to the amount of virgin resources which could be extracted, and the amount of industrial waste which could be dumped into the environment without serious side effects. Running into those constraints would lead to economic contraction and population distress. Their findings were published in a volume titled The Limits To Growth, which has been periodically updated to the present. The First World in general, and the United States in particular, did not heed the warnings of The Limits To Growth, and so now we see the beginnings of our society running into hard constraints.

One of those constraints deserves special mention. In the 1950's, M. King Hubbert, a petroleum geologist for the Shell Oil Company, derived a simple formula from calculus to model the flow rate of an oil field as a function of its proven reserves. (See this also.)  The implications of this formula led Hubbert to conclude that production of conventional oil in the United States would peak in the early 1970's and enter into irreversible decline thereafter. He also postulated that production of conventional oil worldwide would peak some time in the early part of the first decade of the 21st century and enter into irreversible decline thereafter. He published his conclusions in a prominent peer-reviewed journal and managed to make his Shell Oil bosses very unhappy. The trouble was, he was right.

Hubbert's assumptions were validated by Colin Campbell and Jean Laherrere in an article titled “The End of Cheap Oil,” published in Scientific American in 1998.  This article provoked a flurry of both interest and controversy and was a catalyst in the formation of the Association for the Study of Peak Oil, or ASPO in short. The Oil Drum website was also born, as well as organizations like the Post-Carbon Institute. A child lately born among this brood was the Energy Watch Group which began as a collection of geologists and other scientists sponsored by the German government under the leadership of Hans-Josef Fell of the German Parliament. (The Energy Watch Group correctly stated that the peak of global conventional crude oil production (excluding shale and tar sands) had already occurred by 2008.) All of these groups were characterized by strong technical leadership consisting of scientists with strong technical backgrounds who were well-qualified to discuss the field they were addressing, namely, the likelihood of near-term declines in global conventional oil production.

The discussion of the likelihood of near-term decline in the availability of cheap oil naturally led to the discussion of the likely impact and effects of such a decline on First World economies. This led to the generation of a number of scenarios. At first, those producing the scenarios were strongly technical types very similar to the people who were studying the possibility of production rate declines. For instance, the United States government commissioned a group of respected scientists led by Robert Hirsch to study the likely impacts on American society of permanent near-term declines in availability of oil. The results of that study were published in 2005 in a document now known as the Hirsch report.

The Hirsch report predicted major disruptions to industrial society unless preparations were made sufficiently far in advance (as in, 20 years) of the peaking and decline of conventional oil production. Hirsch, et al, did not exactly talk about zombies, but the impacts described in the report were dramatic enough to inspire a number of other people (including several people without technical academic degrees) to start mapping out possible scenarios. These scenarios tended to fall into two general categories: a “fast crash” case and a “more nuanced” case.

In the “fast crash” camp were such people as the creators of the World Without Oil website, a supposed reality “game” in which people could explore the impact of a sudden drop in oil availability. (I discovered the site in 2007, and noticed that most of its scenarios tended to be variations on a violent “zombie apocalypse” theme. But I'm getting ahead of myself.) There was also Matt Savinar, a blogger who formerly devoted himself to covering the impacts of peak oil on industrial societies. Matt earned a degree in law (and thereafter started calling himself the “Juris Doctor of Doom”) while trying to build a business selling what I would call “doom preparation kits” of emergency rations and other “collapse preparation” supplies. But there came a point in 2010 where he suddenly felt “led” to switch from collapse preparation and law to astrology. Among the ranks of “fast crash” writers were also people like Guy McPherson who is trying to build a career as a traveling doom counselor, Michael Ruppert who reportedly shot himself in 2011, and James Howard Kunstler, a former journalist and writer of fiction who used to regularly predict at the beginning of each year that the stock market would crash to a level no greater than 4000 points in that year.  Over the last few years, Mr. Kunstler has expanded his offerings to include extremely racist, misogynist and right-wing statements of the sort that make it clear that he is eager to throw those whom he deems powerless under the bus if he thinks he can get away with it. 

The “more nuanced” camp also had a number of members, who generally tended to be much less colorful and much more cautious in their assessment of the future, and who also tended to be much more prudent in giving advice and recommendations for dealing with a future of economic contraction. They also tended to be strong and deep systems thinkers. Three names immediately come to mind: first, Richard Heinberg, a fellow of the Post-Carbon Institute, and David Holmgren, who together with Bill Mollison founded the discipline of permaculture (a discipline which is now being seriously taught in government-sponsored Australian universities, by the way). In looking at a future of scarcity, such people as these tended to recognize the need to play a long game.

Over the last several months, the differences in outlook between the two camps has intrigued me, not least because the way a person sees a situation tells a lot about what's inside that person. And the differences in outlook between the two camps has been interesting from a psychological, sociological and spiritual viewpoint. The key assumptions of the “fast-crashers” was that a sudden or serious shortfall in availability of the resources and consumer goods needed for a middle-class American lifestyle would result in the eruption of instant anarchy, with violent mobs (all assumed to be poor and usually dark-skinned) raping, pillaging, looting and burning everything in sight. Therefore, the proper way to prepare for such a shortfall was to buy a doomstead in Montana or some other isolated place, and to stock it with an abundant supply of guns, ammo, baked beans and gold pieces, and to outfit one's doomstead with as many trappings and gizmos as necessary to preserve “liberty!” (and a middle-class lifestyle) into the post-apocalyptic age.  (Another key to preparation was to watch the stock market obsessively every day, watching for the first sign of collapse in order to know when and how to shift one's "investments" in order to preserve maximum value.)  In such a fast-crash world, the kind of morality that regarded other lives as precious enough to share your material goods with them (especially the lives of people different from you) was to be regarded as excess baggage to be discarded as soon as possible, and the “survivors” of such a crash were exhorted to adopt a moral compass that looked a lot like the compass of selfishness that guided Ayn Rand throughout her miserable life.

One problem with such a viewpoint is that it was and continues to be contradicted by evidence from every available corner of the planet. For instance, there are hundreds of millions – even billions – of people who live in societies with per capita incomes much lower than the per capita income of the United States, and these people live quite peaceably as long as they have their basic needs met. They are not zombies. (What warfare arises among these people is usually provoked by resource-hungry Anglo-American or European powers, and not by the indigenous people themselves.) And there are a lot of poor people in the U.S. who are the salt of the earth. Who says that instant anarchy has to erupt if people don't have all the stuff that most mainstream Americans are taught to crave? Such a belief is a fallacy typical of spoiled mainstream Americans who tend to believe that if they can't have a lifestyle of “special” privilege and comfort, the end of the world must be at hand. Another problem is that people with this point of view are trying to sustain an unsustainable lifestyle by a zombie apocalypse version of hoarding, like Gollum or Smaug the dragon in Tolkien story The Hobbit. So we have people who outfit their doomsteads with several kW of solar panels and massive battery storage systems so they can enjoy all the comforts of home in case the grid goes down. (Good luck trying to get them to share any of their stash.) Why not learn to live without some of those comforts, since after all, the batteries and panels will eventually wear out?

To me, it seems that the fast-crash scenario has become something of a blank slate on which certain personalities project fantasies whose characteristics have been covered repeatedly in the psychology-related posts of the last year and a half on this blog. So it is probably not surprising that over the last few years, such zombie apocalypse/prepper thinking has been picked up by the talking heads at Fox News and similar media outlets, who have gotten into the business of hawking gold and emergency rations as part of their campaign to instill mass hysteria into a captive cult audience of aging white Baby Boomers. (That's how I knew I tasted something funny...) Another example of this is the post-apocalyptic novels of James Howard Kunstler, in which he places the survivors into ranks and social classes that suit the fantasies of Anglo-American narcissistic males. (I bought his first "collapse" novel, but I have to admit that I didn't even get halfway through it, as the prose in his novel seemed to be no better than that of the Left Behind novels.  (Although I am a Christian, I couldn't stand those books - it's a sin to make cheap art out of Scripture.)  Here are a few trenchant lines regarding Kunstler's book from a Los Angeles Times reviewer.  If you want to read some well-written post-apocalyptic fiction, I would recommend Stephen King's The Stand, although King does not deal with resource depletion and climate change.)

The more nuanced camp has thus had increasing appeal to me over the years. I now consider myself to be a member of that camp. I believe the official reports of the Energy Watch Group and of Robert Hirsch's task force. I also believe the authors of the Limits to Growth reports. I therefore believe that our global industrial society (and American society in particular) is already encountering some non-negotiable changes. But I also believe that this fact does not give us a pass to throw away our moral compass. Rather, that moral compass (and a firm grip on reality) should guide us in assessing our situation. We should be asking whether we face a problem to be gotten over, or a predicament to be lived with graciously. (I believe the evidence points to the latter.)

If then we face a predicament, how shall we address it? What are the strategic goals we should have? One reason I like people like Richard Heinberg is that he seems to be looking for solutions which benefit as many people as possible (rather than clamoring hysterically about a coming zombie apocalypse)! If helping as many people as possible is to be our goal, that goal will guide the technical adaptations we pursue. The search for technical adaptations will have to take place on three scales: the individual, the local, and the societal. And these adaptations will not be effective without first adapting psychologically, namely, in deciding whether we are willing to accept a humbler lifestyle. Dysfunctional psychology will interfere with the wise choosing of appropriate technical adaptations! Can “we” get over our modern Western, American dysfunctional psychology in an age of limits? Or will we continue to hawk the same “solutions” that got us into our present mess: guns, “liberty!!!”, selfishness, the “free market,” the exaltation of the “agentic” over the “communal” (as blogger CZBZ puts it)? The coming days will mark the end of Anglo-American “fantasies of unlimited success, power, brilliance, beauty, or ideal love,” and "we" will have to heal our diseased mindset, lest we continue to try the wrong solutions to the wrong problems. Those who keep pushing wrong approaches may end up trying to feed themselves with long spoons in Hell.  And let me tell you something.  The rest of the world will not simply roll over and die so that you can have a temporary extension of your fantasies of unlimited power.  You will have to adapt to life in a multipolar world and a multicultural society.

As far as technical adaptations, that has been my focus for the last few years, and it is the reason why I have gone back to school. I believe that the formulation of technical adaptations to resource scarcity and lower energy availability will require the presence of people with a strong background in math and the sciences. That will be the background of people who are interested in playing “the long game,” and that is the background which I have been acquiring. Those with such a background will not only be able to formulate technical adaptations, but will also be able to test and fine-tune those adaptations so that they work optimally. Along those lines, I intend, God willing, to write a post this summer about a project that I've been working on since last year. Stay tuned...

Sunday, November 15, 2015

A Guess At Motives, Part 2

After yesterday's post, I thought about further information on the Paris attacks.  This was information I had not considered while writing yesterday's post.  One item of information is that Syrian refugee passports just happened to turn up near the attack scene.  It has also been revealed that these passports are probably fake.  The second is that the attack occurred during efforts by Russia to negotiate a political settlement to the Syrian war.  The third is that French attack aircraft have stricken Raqqa, which is in a major oil-producing region in Syria.  It may well be that Washington, Paris and Brussels, who have been intent on overthrowing Syria since 2006, may have "found a reason" to launch a retaliatory fight against "terror" which will conveniently also secure (or at least destroy) Syria's oil production, as well as derailing Russian efforts to stabilize the region.  The "Empire" seems hell-bent on seizing and smashing Syria, no matter what it has to do to engineer a pretext for doing so.

Wednesday, August 8, 2012

The World, According To Me


I've been busy. That is why I haven't been blogging over the last six months. Ironically, my busy-ness has consisted of me scrambling to find ways to become less busy while still paying the bills. At my last office job, I found myself being worked a bit too hard for my liking (they wanted me to be available between 50 and 60 hours a week). So I've been teaching a bit and trying to freelance. And I've been exploring ways to lower my “burn rate.” It's the teaching and the scrambling to freelance that has been keeping me busy.

My abstinence from blogging has made me aware of the divide that exists between those who have a powerful voice in our society and those who have no real voice. Being a blogger, by the way, does not automatically grant a powerful voice to a blogger. After all, I have to admit that there are probably not that many people who read my blog. Even as an active blogger, therefore, my voice has been very small. But having taken my place for a few months among those who have no voice, I have been observing how much effort, how much money and how many words have been expended by those whose voices are powerful. All that effort and all those words have been expended in order to inculcate in ordinary people a world view that just happens to be convenient for those with powerful voices. I thought it might be good to let these people know just how an ordinary person without a voice views the world, so that they can see whether they have been wasting their time and money. I can't speak for all ordinary people, but I will speak for myself.

To sum up what the people with powerful voices have been saying, I think they've been trying to convince ordinary people that the United States is still a first-rate nation, that the U.S. is the blameless and pure defender of freedom and democracy, that we still live in a world of abundance un-threatened by shortage of any kind, that the “free market” can be trusted to distribute said abundance to any and all who are worthy of it, and that our mad scramble for material abundance is having no effect on the earth. The most pressing thing that ordinary Americans should worry about, therefore, is which teen star is getting divorced.

If this is what the loud-voiced have been trying to communicate, I'm afraid they haven't succeeded with me. The disconnect between their message and my world-view can be summed up under four general headings: oil, geopolitics, climate change, and economics. There is also a fifth heading, which I call “the proliferation of sheep dogs.”

Oil
A lot of well-placed people have been insisting over the last year that Peak Oil is a fallacy, and that the world has plenty of hydrocarbon resources to last for several decades more. Even people who pretend to be members of the counterculture have said things like this. (See, for instance, what George Monbiot and Noam Chomsky have been saying.) For me, however, the Bible on Peak Oil has been the 2007 Oil Report, titled, “Crude Oil – The Supply Outlook” from the Energy Watch Group of Germany. That report made a number of bald, blunt statements and predictions: first, that global oil production peaked in 2006; second, that global oil production would experience steep declines post-Peak, and third, that the steepness of the declines can be quantified (for instance, the authors asserted that production would decline from a 2006 high of 86 million barrels per day to 58 million barrels per day in 2020).

I like predictions and statements like this, because it's easy to tell whether the predictor is right or wrong, and you don't have to wait very long before finding out. (Which is easier to verify – a predictor telling you that you will meet someone famous at some time in your life, or a predictor telling you that you will meet Genghis Khan and his Mongol army tomorrow morning at ten?) I believe the Energy Watch Group report. I believe it because, from 2007 until now, the world has been acting as if the report's predictions are true. Everything that has happened from 2007 to now makes perfect sense when viewed through the lens of those predictions, from the oil price spike and economic crash of 2008 to the slow bleeding economic death of the West and the OECD at present (and the frantic attempts to rob oil-producing countries like Syria and Iran by means of “regime change”).

That means that an ordinary person like me regards as liars those people who deny that we are living post-Peak. This includes people who made a name for themselves writing for sites like The Oil Drum and who are now writing articles claiming that global oil production is still growing, albeit slowly. Whenever someone posts an article like that on the Web, they are wasting their breath (and keystrokes) as far as I'm concerned, because I'm not going to read what they write. I also regard as suspect those articles which dismiss the peak of conventional crude production by pointing to steady levels of “total liquids” production. (Just such an article appeared here, of all places. Suffice it to say that the production of many of these “liquids” yields either a very poor positive return or an actual negative return on energy invested.)

Geopolitics
The decline of the energy resource base of the industrial world has, of course, led to a mad scramble for the world's remaining energy resources. This is paralleled by the scramble for the other raw materials needed by a modern industrial society. This is the reason why Syria has been branded a rogue regime, and the reason why the West has instigated and is financing the insurgency against the Syrian government. This is also the reason why the West is trying to destabilize Iran.

I normally don't save newspapers, but I have a copy of the Oregonian from 2007 in which there is an article describing a 2007 National Intelligence Estimate of the Iranian nuclear program. In the view of the U.S. intelligence community, there was no evidence that Iran was trying to build a nuclear weapon. Therefore, anyone who writes an article claiming that Iran must be prevented from building nuclear weapons is regarded as a liar by an ordinary person like me, along with people who say that we have a moral obligation to remove Hafez Assad from power in Syria, or those who say that the 10,000 well-fed American troops who went to Haiti after their most recent earthquake were sent to help the Haitians, or those “compassionate conservatives” who insist that America has a “responsibility to protect” the citizens of other nations from using their resources as they see fit.

Climate Change
Need I say anything about this? Many well-funded voices in America, both secular and religious, have insisted that climate change is a hoax by the liberal Left who “hate our freedoms!” and want to hinder the prosperity promised by free market capitalism.

To those who have said such things, I have a question: How do you like our summer so far? Have any of you keeled over from heat stroke? How many of you have lost your homes to wildfires so far? How many of you will be starving due to crop failures? I'd like to weep for you all, but the heat has dried up my tears.

I'm struck by something the Governor of Oklahoma said recently when questioned about the climate change-induced drought gripping her state. She asked people to “pray for rain.” Now, I am a Christian, and the Bible does command Christians to pray for their needs. But I am a peculiar type of Christian. I believe that the chief thing God wants to do with Christians is to transform us into decent people. The main point of our earthly lives is our moral development, not the satisfaction of all our earthly cravings. Therefore, God frequently allows us to suffer the consequences of our stupidity – in order to teach us a lesson or two. In asking prayer for rain, this Republican ditz makes it seem as if what Oklahoma is suffering is some supernatural judgment, and not merely the natural consequence of ignoring very simple physics and chemistry. (Let me ask you, if you play on the freeway and get run over by a semi truck, was it due to a supernatural act of God or your own stupidity?)

Unfortunately, I suspect that Governor Mary Fallin's “request for prayer” will be typical of the responses of a large majority of Americans to the age of limits, as they chuck adult reasoning in favor of appeals to magic.

Economics (and Sheep Dogs)
The loud voices which dominate public discussion in our country are all preaching the same message: namely, that the chief aim of our society must be to pursue economic growth at all costs. Selfishness and greed are exalted above all virtue, while frugality, community spirit and altruism are demonized. Above all, the message has been that economic growth is still possible, and that there are no structural, functional limits to growth. Therefore, everyone can be rich if he wants to be, and everyone should want to be.

By contrast, a counterculture has arisen in the United States and other countries. This counterculture recognizes that economic growth has ceased throughout the industrial world, and that those things that look like growth are merely zero-sum transfers of wealth from one group of people to another by means of swindles. Many people within this counterculture are able to accurately trace the reasons for the cessation of growth to the decline of our resource base and the pollution of our environment by economic activity.

However, a funny thing has happened as certain members of this counterculture have become more popular and have acquired powerful voices of their own. What has happened as time has passed is that the message of these “powerful voices” has changed to resemble the message of the mainstream which this counterculture is supposed to oppose. In other words, the supposedly countercultural voices have been turned into “sheep dogs.”

Let me define the term “sheep dog.” In a society dominated by privileged ruling elites, there are certain people who become popular and well-known spokespersons for those exploited and oppressed by the elites. These spokespersons are tolerated as long as their popularity and influence is not great enough to threaten the established order. However, once they achieve a critical mass, both they and their message are usually co-opted by the ruling elites in the hope and expectation that the energy of both the spokespersons and their followers may be turned in directions that are harmless to the ruling elites. They become the sheep dogs of the elites. Sometimes these sheep dogs are manufactured by the elites. (This process occurred in the ancient Roman Empire, by the way. There's a book that describes the process – I think the name of it is Subversive Virtue.)

Within the Peak Oil/climate change/limits-aware counterculture, a fair number of sheep dogs have arisen. I have time to mention only two just now. I think of Tom Whipple, a retired CIA analyst whose first involvement in the Peak Oil scene was commendable, in that he raised the issue in an intelligent, easily understandable manner. But Tom has lately seemed to run off the rails – on the one hand, foaming at the mouth about how Syria and Iran are rogue states which must be overthrown, and on the other hand, raving about how new breakthrough technologies like cold fusion will enable us to continue to lead an opulent life for decades to come. (Earth to Tom: even if “cold fusion” was a viable physical process (which it isn't), scaling up a fusion power plant to produce the amounts of energy our society demands while keeping the physical size of the plant at a reasonable scale would quickly turn the “cold” fusion plant into a “hot” fusion plant, with all the problems that entails.)

Then there's Jay Taylor, a supposed finance “whiz” who hosts an Internet radio program, “Turning Hard Times Into Good Times.” In his radio show, he claims that he will guide you into keeping your money from “Wall Street” by giving you information on stocks that's not found in the “mainstream media.” He can show you how to grow your money by smart investing, yadda yadda. According to Mr. Taylor, America is in its present jam because we have let the Government get too powerful, rather than letting the free market work its wealth-creating magic.

(Earth to Jay Taylor: if you claim that you're trying to keep me from being robbed by Wall Street, why are you then telling me to invest in mining stocks? The age of “investment” characterized by people getting something for nothing merely by purchasing the right stocks is over. Our entire debt-based economy is running off the rails. You are not the counterculture. You sound just like the Wall Street Journal.)

Yes, indeed, that's what Jay Taylor sounds like. (For that matter, even Max Keiser has lately joined the cheerleaders of “free market” economics.) Such people appeal to the greed of those members of the upper middle class who seek to hold on desperately to unearned privileges and prerogatives. To this class such people say, “Yes, the world is a dangerous place and your wealth is under threat! Come here and we'll tell you how you can guard all your stuff from the coming zombie apocalypse! We're trustworthy; we're not the mainstream!” But I've got something to say to anyone who claims to be countercultural, yet allows himself to be interviewed by one of these bozos: Don't grant them interviews anymore. But if you do, tell the rest of us exactly when you start talking on the show and when you stop so we can skip the ads for stocks and the free market rah-rah. Otherwise, people like me may not bother listening to you anymore. My cat can beat up your sheep dog.

Wednesday, May 25, 2011

Scoring Some Big Books

Our knowledge of history is under threat in the United States – especially our accurate knowledge of recent history. An accurate knowledge of recent history and of the role the United States has played in that history might well cause a great deal of unease of conscience among the masses of consumatrons who make up the vast majority of native-born Americans. Therefore, powerful institutions are at work to try to make everyone forget. Their efforts seem to be working. As an example, I was talking to a couple of kids a month ago and found out that they knew very little about the origins of the war in Iraq.

Accurate online histories are also under attack, and false histories abound. Even accurate online histories can be subject to sabotage.

So I am happy to report that I scored a big prize today. I finally got my hands on two copies of Fuel On The Fire: Oil And Politics In Occupied Iraq by Greg Muttitt. The book was devilishly hard to get. I wanted to purchase it by a particular method: namely, walking into a bookstore and handing over cash in exchange for the book. I didn't want to order it online or use a credit card or Paypal account to buy it. (Partly, this was because I don't want to let the U.S. Government know what sorts of books I like to read ;) ). It seems that you can only buy this book in person if you go to bookstores in Britain. In the U.S., Borders Books only offers an e-book version. Barnes and Noble doesn't offer it at all. Amazon sells both paperback and e-book versions, but you have to tell them a bit about yourself (things like credit card numbers, for instance). Powell's Books right here in Portland deserves special mention. Powell's will sell you the book, but their website states that the book is “available for shipping only. Not available for In-store Pickup.” (Powell's has made a name for themselves as “progressive” and “locally owned,” but as far as I am concerned they are just as evil and consumerist as Starbucks.)

Anyway, I circumvented a few roadblocks by getting a very small, locally owned bookshop to order me a couple of copies. The bookshop was happy to take my cash in return. These books are thick (as a former boss of mine used to say, “Enough paper to choke a horse), and chock full of U.S. and British government and industry documents obtained from the British government under their version of the Freedom of Information Act, which is a lot freer than the U.S. version of the FOIA has become. Now that I have them, I'll be sharing some highlights from my reading over the next several months, as well as discussing and reviewing a couple of other books that are pertinent to adaptation to economic contraction and energy descent.


* * *

P.S. I am sad to report that Naomi's Organic Farm Supply will be closing soon. Neil and Naomi Montacre are the proprietors of the place, which includes a large organic garden and greenhouse as well as an organic gardening store. They are situated on a plot of land that is owned by Les Schwab's Tire Stores, and Les Schwab wants to build another store on that plot of land. A Les Schwab store seems a very poor substitute for Naomi's. Wherever Neil and Naomi go from here, I am sure they will enrich the place of their sojourning, as they have done up to now.

Saturday, April 2, 2011

The End of Local Currencies? And, A Heist Gone Bad?

Several thinkers and activists in the “post-Peak preparedness” camp have written about how local communities can become more resilient and self-sufficient by creating their own local currencies. Those who write on this topic discuss the many advantages of local currencies in times like these, advantages which chiefly center on the ability of local currencies to keep local wealth in local communities rather than allowing the extraction of wealth from local communities by large, distant, multinational businesses.

I haven't read of any of these writers asking what the large multinational businesses think of this, but it's really not necessary. One man has found out for us. (He found out the hard way.) From the blog ClubOrlov comes this story which originally appeared via Reuters News Service, but which was largely ignored by the larger organs of U.S. mainstream media:

March 21, 2011

WASHINGTON (Reuters) – A North Carolina man was convicted for creating and distributing a counterfeit currency that was very similar to the real dollar, a U.S. Attorney said.

Bernard von NotHaus, 67, minted Liberty Dollar coins in the value of $7 million dollars. The conviction concludes an investigation that was started in 2005.

“Attempts to undermine the legitimate currency of this country are simply a unique form of domestic terrorism,” Anne Tompkins, U.S. Attorney for the Western District of North Carolina, said in a statement on Friday.

“While these forms of anti-government activities do not involve violence, they are every bit as insidious and represent a clear and present danger to the economic stability of this country,” she said.

According to Mr. Orlov's blog, while this story has largely been ignored by the big mainstream media outlets in the U.S. (although, to be fair, it has been picked up by Wikipedia, the Wall Street Journal and a number of smaller outlets), it has not been ignored by Russian media. Seems to me that as long as the only things that can be bought via local currencies are housesitting time, feng shui lessons and foot massages, the Federales will probably not care. But if you try meeting any serious needs via such alternative arrangements, they'll be all over you like white on rice.

Ah, but the glory days of the Federales may be numbered. The attempt by the Western coalition of willing thieves (the U.S., Britain and France) to hijack Libya's oil seems to have stalled. Gaddafi's forces are dominating the insurgency which the West had hoped would quickly unseat him and open his country as an oyster ripe for the eating. Moreover, the conflict now seems set to drag on for a considerable time. This is taking its toll on OPEC oil production. According to a 1 April article in the Oil and Gas Journal, “...OPEC production for March shows sharply lower Libyan output, falling Nigerian volumes and higher Saudi production, highlighting the tight market conditions...” Note that the same article describes the effect of unrest in Yemen on its oil production as well. And according to Bloomberg, Libyan oil output is down by approximately 995,000 barrels per day. There are also rumors that Al-Qaeda and Hezbollah operatives may be among the rebel forces in Libya. The whole “revolution” is starting to look like a fight gone bad.

All of this had me thinking today as I rode my bike home past cars and SUV's stuck in traffic, and past the gas stations, many of which are now sporting prices above $4 a gallon for diesel, mid-grade and premium gasoline. I remember how in 2007, when the Oil Report of the Energy Watch Group was published, I read their conclusion that the global peak of oil production was already behind us, and that it had likely happened in 2006. It seems they were right. Saudi Arabian oil production is not keeping up with shortages engendered by conflicts in other Mideast states. As I rode my bike today, I couldn't help glancing at the drivers of shiny new Chevy and Ford and Dodge trucks and the SUV's of many brands, and thinking to myself, “Oh, that person was short-sighted, and that one over there,...and oh, that one was really short-sighted...”

Friday, October 22, 2010

Half Full or Half Empty? A Look at Renewable Energy and First World Demand

There are many basic presuppositions, conclusions and concerns within the circle of well-known figures studying Peak Oil, ecological degradation, resource constraints and the financial ramifications of these things. These conclusions and concerns form a body of commonly accepted “received wisdom” within this circle, and they frame the discussions regarding the seriousness of our energy and environmental predicament and the appropriate response to that predicament.

But those within the circle must beware of the tendency to form a closed society or “ghetto” that is cut off intellectually from the larger society. In view of the seriousness of the energy, economic and environmental challenges facing us, I think it's valuable to engage intelligent decision-makers within the mainstream in order to start and maintain a conversation regarding these challenges. (That is one reason why I like doing interviews – that I may ask, “Are we starting to see the same things?”.)

Thus I recently found myself conducting an interview with Dr. Slobodan Petrovic, a professor who is part of the Electrical Engineering and Renewable Energy programs at the Oregon Institute of Technology (OIT). Dr. Petrovic recently returned from a humanitarian mission to Tanzania, where he and several students from OIT designed and installed several small-scale solar photovoltaic projects for schools and hospitals. (You can read about it here.)

During our interview, we discussed small-scale renewable energy installations, the present peak of global oil production, and renewable energy prospects in the United States. My questions were as follows:

  • Tell us a little about your renewable energy work on the African continent.

  • It sounds like your work concerns renewable energy solutions applied at a local scale (neighborhood, district, or village) rather than a national scale. What constraints exist in African nations that prevent the execution of large-scale renewable projects scaled at a national level?

  • Do you see such constraints at work here in the United States, particularly in economically depressed areas? Why or why not?

  • Given the present contraction of the global economy and the continued decline of its resource base, what do you believe the most likely direction of renewable electric energy generation will be in the U.S. over the next 20 years?

  • Do you believe that renewable energy technologies have a good chance of supplying a major portion of present U.S. energy demand in the near future? Why or why not?

  • Is it possible that the U.S. will have to do some permanent "load shedding" in the near future in order to cope with a drastically lower availability of energy? What form would such permanent cutbacks take, and how can local neighborhoods prepare?

  • What resource constraints affect current renewable technologies, particularly regarding strategic minerals located in poor countries with large indigenous non-European populations?

  • In a time of economic contraction and resource depletion, what advice do you have for people who want to be engineers?

A podcast of the interview can be found at the Internet Archive, here. Feel free to listen and see whether we adequately answered the questions I posed above. Also, for those who live in the Portland metro area, Dr. Petrovic will be giving a talk in the near future on his work in Tanzania. I will post details as they become available.

Sunday, June 27, 2010

The Asymptote of Truth

I won't have very much time on the weekends for deep, analytical posts for a while. The summer school session has just started and I am teaching a sophomore level engineering class two days a week as an adjunct. This is on top of my day job. (I'm glad I arranged to work part-time!)

But a couple of things have been on my mind lately. First, the continued oil spill (or leak, or gusher, or whatever you want to call it) at the Macondo field in the Gulf of Mexico. People who are paying attention should know that originally BP claimed that the spill was “very minor,” and that it was only grudgingly that they revised their daily leakage numbers upward to 5000 barrels per day. This figure they (and the U.S. Coast Guard) steadfastly maintained to be the truth, even though available evidence suggested that the spill was far worse. Recently, the evidence has become so overwhelming that the “official” leakage figures have steadily crept toward agreement with estimates made by independent observers. This source states a figure of 60,000 barrels per day. Even that figure pales in comparison with BP's own worst-case estimate of 100,000 barrels per day. The truth is coming out, but grudgingly.

The story of this oil spill and of the “official” story of this oil spill is but a subset of the story of our present societal predicament and of the “official” story of that predicament. This is especially true regarding Peak Oil. The official story started with denial. But as the evidence of our true situation has grown worse and more overwhelming, the official stories have begun to line up with the accounts of independent observers. After years of denial, even the U.S. Energy Information Administration now admitting that Peak Oil is real, and that it is here.

What makes people in power lie through their teeth? The answer to that question, while rather simple, would take a lot of time to write, and I have to be out of the house early tomorrow. But I am thinking of one possible outcome to our societal predicament, an outcome I first heard suggested in a podcast I heard of someone interviewing Dmitri Orlov. I think what may happen in a lot of cases is that people in power will lie to us just as long as the lie holds some hope of being profitable to them. As the available evidence mounts to disprove their lies, they will change their story to bring it closer to the truth – yet they will never quite reach truthfulness. Once the available evidence becomes overwhelming, Orlov suggests that some of these people will simply walk off their jobs and disappear, because there's no further reward to be had by staying. I wonder.

Wednesday, June 2, 2010

To The Left Of...The Oil Drum

On Memorial Day I posted a rather provocative question to the Oil Drum website regarding the efforts of British Petroleum to stop the Deepwater Horizon oil leak. I got a lot of provocative answers. In fact, I felt a bit like a private detective character in a crime noir film who walks into the midst of a street brawl unawares. I took a few lumps. But here's giving a few lumps back again (as private detective characters usually do).

My question was as follows:

I have been following the Deepwater Horizon story from a bit of a distance. I am not an oil man or oil industry expert by any means. But seeing the multiple failed efforts to plug the leak, along with the continued low-balling of estimates of the magnitude of the leak on the part of BP and the U.S. Federal government, I can't help but be a bit skeptical about a few things. To me it seems that BP's efforts are constrained by its desire to protect its profits from damage at all costs. I think they're just dinking around. I wonder - not that I think this would ever happen in our country at present - but what if money was no object; how quickly could this leak be stopped?

By "stopped" I mean stopped - without any regard for whether BP could use this well afterward. How could it be that "money was no object" in stopping the leak? One of two ways - either assume that BP has unlimited resources, or assume that a government (such as the U.S. government) had the guts and the strong moral sense to seize BP's assets and liquidate the company entirely in order to pay for the quickest and most effective means of stopping the leak. In other words, someone with a backbone and means of enforcement would have to make BP an "offer they couldn't refuse." What sort of engineering solutions would be available then? And how quickly could they be implemented?

It's an academic question to be sure, since it's not going to happen. But considering such a question would at least provide us with a "delta" between what could happen if those in charge really wanted to stop this mess versus what's happening now.

You can read both my question and some of the answers here. Now here's the thing. Most of those who answered my comment attacked my lack of expertise and the obvious “silliness” of my question and assumptions. I'll have to give them a bit of credit; as I said, I am not an oil man or oil industry expert. These same people were very sympathetic to BP, stating that BP was doing the best job it could under the circumstances, a “first class effort” undertaken by the “best minds on the task.” One poster commented that “...we should all wish them luck, and after all, they really are working for the collective 'us'.” Another wrote that “the idea that BP is withholding some efforts on the basis of costs is pure nonsense. Your analysis is just not credible...” Yet another said that “right from the start BP volunteered to pay for everything although they could have hidden behind a $75 million cap for the clean-up...”

Farther down the comment thread are posts unconnected to my question, written by posters who gush (pardon the pun) about the “breathtaking skill of the engineers and technicians” now working to stop the leak. One poster writes that “we are seeing stuff akin to what NASA does.” He also writes, “We are witnessing the destruction of wealth and assets and reputation and we may never be certain if anyone really screwed up...KUDOS to the people in the petroleum industry. You all rock!” There's more obsequious frothing at the mouth in praise of the petroleum industry, but I'll let you all read it for yourself if you're interested.

Once again, I admit that I'm certainly no oil production expert. But I also have experience in witnessing the mismanagement of problems in engineered systems, along with the inevitable lying and cover-ups that occur afterward. In fairness to the many fine experts at the Oil Drum, I promise to read up on the tech talks that have been written about the efforts to stop this leak. I am sure they are all fascinating. However, I think the following points are still worthy of mention:

  • BP's low-balling of the magnitude of the leak, from the very first days after the sinking of the Deepwater Horizon until now;

  • The attempts to cover up the extent of the environmental damage and of the spread of the oil, as I documented in my last posts on this subject;

  • The use of a toxic dispersant chemical (Corexit) by BP in an attempt to break up some of the oil slicks, instead of more expensive, yet more effective and environmentally-benign chemicals used by other companies;

  • And lastly, the lies that were published in the mainstream media (such as Rupert Murdoch's News Corp outlets) about the “progress” being made by BP in bringing the spill under control (such as the ship that was supposedly sucking 5,000 barrels of oil per day from the leak).

These things all make me question (and frankly gag over) the party line that BP is a wonderful company that just happened to be the victim of an accident that's nobody's fault and that nobody caused, and now BP is exerting superhuman efforts to try to clean up the resulting mess. It is still a valid question to ask whether the most effective engineering solutions are being employed here.

I'm also wondering a bit about the Oil Drum. When I first started visiting that site, I was drawn into participating in some of the online discussions, driven by a fascination with the Peak Oil story and wondering how it would all play out. I made the “mistake” of announcing that I was a Christian once when I ran across an online discussion that was critical of Christians, in which most of the posters assumed that we were all like Sarah Palin or Pat Robertson. Because of my admission, I was treated to another round of “private-detective-gets-jumped.” Nowadays it's ironic that I, the moralist, the believer in an absolute standard of right and wrong, should suddenly find myself to the left of ... the Oil Drum! For not only am I lately finding a curious reluctance to discuss anthropogenic climate change over there, but I am also finding posters who are horrified at the thought that the Federal Government might ever force BP to make full restitution for the mess they have caused.

But true restitution is a sign of true repentance (Luke 19:8). Not only does BP not seem repentant, but the entire oil industry seems reprobate – what with Shell Oil winning leases for offshore drilling near Alaska and Canada issuing permits for drilling off its coasts – all in the aftermath of the Deepwater Horizon leak. Morality won't stop these people from continuing to make a mess. Our only hope for oceans that retain even some semblance of life is for another sweeping credit crunch that destroys the ability of oil companies to finance deepwater projects.

As to credit crunches, a curious thing has been happening. In 2008, as oil prices spiked to nearly $150 a barrel, credit markets crashed. Some argue to this day over whether or not the two phenomena were related. As a result of the crash, oil prices fell to nearly $30 a barrel. Now they are back over $70 a barrel. But we recently saw another credit crunch, this time involving not just banks, but the countries of the Eurozone. Oil had been trending above $83 a barrel just before that crisis. Now the price of oil has fallen to the low $70's (and is starting to rise again). But notice that this credit crunch did not deflate prices to nearly the same extent as the 2008 credit crisis.

To me this is a validation of Oil Drum analyst Tony Erickson's earlier prediction that there would be a significant decline in global oil production throughout 2010 – for oil prices are remaining stubbornly high even as deflationary events continue to happen throughout the world. (Tony Erickson is one of the good guys in my opinion, by the way.) But that's just my guess. As I am not an expert on oil, I don't pretend to be an expert on money matters either. ;)

Wednesday, May 5, 2010

Deepwater Event Horizon

I was sitting in a job safety training meeting this morning. The trainers challenged us all to examine our attitudes toward jobsite safety, especially attacking the assumption which they believe to be prevalent among many employees that “what really matters to our company is the bottom line. If safety interferes with the bottom line, then safety has to take a back seat.” The trainers emphatically stated that at their jobsite, safety is always first.

This got me thinking about the recent deepwater oil well blowout and sinking of the British Petroleum mobile rig Deepwater Horizon. I haven't been able to follow the story as closely as I should, but I do know a few things, namely, that the sinking of the rig killed eleven people onboard; that according to reliable sources, the rig was the deepest in the world; and that for years its owner, BP, had fought the sort of safety regulations that would have prevented a disaster of the magnitude we now see. The ruptured well is leaking between 5000 and 25,000 barrels of oil per day at present (depending on whose estimate you believe), and has leaked enough oil to form a slick bigger than Rhode Island. BP's present efforts at inserting a concrete cap on the sea floor will only deal with one source of leakage; by now there are several. And there is a chance that the cap will not work as intended. Moreover, it may be months before BP can stop the leak fully. Lastly, this massive oil leak comes during both the spawning season for a lot of sea wildlife in the Gulf of Mexico, and the beginning of the tropical storm season in the Atlantic.

Although I am an engineer, I am by no means an expert on the oil industry. But I am a student of human nature. I remember the strategy of the McCain-Palin campaign in the 2008 U.S. presidential election, and how the Republicans and Rupert Murdoch's Fox News blamed high energy prices on “excessive” Democratic/leftist concerns over the environment. The Republican message was simple: “Drill here, drill now, pay less,” and they wanted to open up all of the most environmentally sensitive areas in the United States and its coastal waters to oil drilling. The Gulf Coast states were all Republican-leaning “red states” in the 2008 election, with the exception of Florida.

Now they are about to be baptized in oil.

I wonder how many Republican-leaning good-ole-boy commercial fishermen will have their businesses wiped out this year by the Deepwater Horizon disaster. I wonder how many coastal residents will be sickened by toxic chemicals washing up onto their beaches. I wonder how much of an economic disaster the Gulf Coast will have to face from the spill. More importantly, I wonder how many of these people will be both able and willing to connect the dots between their lifestyles and electoral choices and the oil now killing their ocean. “Whatever a man sows, that he will also reap.” Or as J.R.R. Tolkein once wrote, “The burned hand teaches best. After that, advice about fire goes to the heart.”

That is generally true, I suppose – unless someone interferes with the lesson of the burned hand by drugging the burn sufferer. And Fox News is a willing pusher of drugs these days. Their coverage of the disaster has painted BP in a very positive, almost heroic light, while greatly exaggerating the effectiveness of the work done by BP to date to stop the oil leaks. They have also tried blame shifting, questioning whether the Obama administration's response to the Deepwater Horizon disaster was effective enough. They have downplayed reports of dead animals washing up on Gulf Coast shores, saying, “...even though the dead turtles and jellyfish washing ashore along the Gulf of Mexico are clean, and scientists have yet to determine what killed them, many are just sure the flow of crude unleashed by the explosion at BP's Deepwater Horizon is the culprit.” And in an unbelievable display of bad timing, they have even revived the “Drill Here, Drill Now, Pay Less” mantra, as stated in an opinion piece written by Newt Gingrich yesterday. I have compared Fox to a collection of drug pushers, but to publish the kind of distortions they do they must all be taking mind-altering drugs. Then again, money is a drug, and some people will do anything to get some of it.

The Deepwater Horizon disaster is an example of the risks that come with trying to exploit ultra-deepwater oil reserves. Many respectable analysts do not believe that deepwater oil will save the world from a post-Peak state of affairs. But deepwater oil can make one really huge mess. How much more can the earth's oceans take before all the life in them collapses?

Sources:

Wednesday, March 31, 2010

Watching The Well, Late March 2010

This month, it was announced that an island in the Bay of Bengal was swallowed up by the sea, due to rising sea levels caused by climate change. Five other nearby islands are also threatened with submersion.

This month, NASA scientists stated the very high likelihood that this year, 2010 could be the warmest year on record. FYI, 2009 was the warmest year on record in the Southern Hemisphere, and the second warmest year overall.

This month, the U.S. Federal Reserve announced the end of its program of buying U.S. mortgage-backed securities. The buying of these securities by the Fed was a major factor in propping up the U.S. financial system, and was quite possibly the single biggest factor in keeping American home prices elevated.

This year, the U.S. Energy Information Administration finally joined a chorus of official voices from official government and oil industry agencies who are saying that the world could start to see a decline in global oil production...right about now (actually, to be quite precise, starting in 2011). However, neither the EIA nor the U.S. government in general can yet bring themselves to say the words, “Peak Oil.”

This year, none of these pivotal stories has been covered in any meaningful way in mainstream American media. However, Scripps Networks have just launched a new “reality” TV show on their Travel Channel, called, “America's Worst Drivers.” Our media continues to lull us to sleep by petty distractions such as these, and many of us are as a mouse nodding off to the sound of the purr of a nearby cat. So few of us realize that the cat's jaws are about to close on us.