ODAC Newsletter – March 18

The earthquake and tsunami which ripped apart the northern half of Honshu in Japan on Friday has caused a massive humanitarian disaster and a nuclear emergency which may still develop into a major catastrophe. The wider knock on effects could be a backlash against nuclear power, and further global economic instability as a result of damage to what is the world’s 3rd largest economy. Meanwhile in Libya the civil war raged on, and in Bahrain protests became bloody as the government turned to military force and outside help to retain power.

tipping point

It’s not that you are discounting yourself – it’s that the personal you with all its small indulgences, its interiorities and subjective biographical events is turned inside out suddenly and asked to be someone else. Someone who acts within the bigger picture. Your own Spring uprising.

George Will: Driving a wedge

The facts are these, in case Mr. Will is interested: we have a serious energy crisis and an even graver potential crisis. Petroleum resources are depleting worldwide, and new reserves aren’t coming into production fast enough to offset the rate of depletion. Fuel prices are once again on the rise. Many people can’t afford to operate their automobiles now, and it’s likely to get worse. The civil unrest in the Middle East threatens to disrupt the flow of petroleum and, thus, torpedo our global economy…In this age of energy instability, do we really want to say no to rebuilding our passenger rail capabilities?

The peak oil crisis: protests, tsunamis & deficits

It is coming to the point that one’s world outlook has to be modified every few months as the old ways of looking at things are changed by events. So it is with oil — supply, demand and, of course, price. At the beginning of the year the future of oil was thought to be mostly about China and how fast its economy and demand for oil would grow during 2011. In last two months, however, the world situation has changed markedly and we now have a multiplicity of factors vying to influence the global oil markets in ways as yet unknown.

“I think 2011 is going to be an interesting year… in the Chinese sense…” (Heinberg interview)

First of all, we have a very fragile economy that could come apart, almost at a moment’s notice. Then we have the political situation in the Middle East, which is forcing oil prices up and which could in turn cause the economy to come apart at the seams at any moment. So putting all those things together, it’s a very, very volatile situation. I think 2011 is going to be an interesting year… in the Chinese sense…

As nuclear falters, here is a practical, affordable (and safe) clean electricity plan

In the wake of the Japanese nuclear debacle, we need a practical and affordable clean electricity plan that does not rely on new nuclear power. This article presents just such a Plan. New nuclear is absent from the Plan not because of any safety concern, but simply because it fails the “practical and affordable” test. President Obama called for “80% Clean Energy” by 2035. This Plan presents how we can do it right.

Memo to market: High oil prices are DE-flationary

As the European Central Bank prepares to raise interest rates to prevent inflation, the bank cites rising commodity prices, particularly oil prices, as a sign of that inflation. What the bank and other market participants don’t seem to understand is that high commodity prices and, in particular, high oil prices are deflationary.