Wednesday, May 12, 2004

Innersting... Oil supply 'cannot match demand', but in particular:

"it seems that major buyers - especially governments - are stocking up on oil, possibly to guard against any disruptions to supply."

Ironically, prices are also up over middle-east instability fear - something I figured the point of re-taking Iraq was supposed to quell, not fuel...

Also, further proof that our society is based on technology, not politics:

"for technical reasons, a number of the world's biggest producers, particularly outside Opec, have been unable to increase output significantly, leading to higher prices."

Has our rapid growth in production and consumption (we've come a long way in only a few hundred years - compare the Egyptians) only been possible due to oil-production technology?

I think oil is the biggie at the moment - does everything else come off it? If people's debts et al depend upon industry profitablity (how many people they can hire, etc), and industry performance depends on, well ultimately, the price of oil, then are we going to see a chain reaction over the next year?

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