Quote from Debaser82:
libertad I like your posts very much and your ideas but...
I would like to know your thoughts on if you agree it is the lack of cheap energy for now (be it genuine recourse scarcity or by industry monopoly) that has pretty much caused the US and global economy into tailspin and if that is the case it really doesnt matter which tax or political system there is implimented no?
Cheers.
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I like your ideas as well....
Free speech can sometimes be a good thing....
Grats to ET....
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In terms of energy....The IBs have provided the means whereby revenue to oil owners has been stabilized by dollar hedges....
You will note this handily when actual demand does not change proportionately relative to prices....What is even more interesting is how this important aspect is glossed over by the media....
What does become interesting is the catch22 with regards to this hedge....as alts become more heavily researched as price movements become more extreme....then this process relaxes when price extremes pass....Also note that the hedge is certainly not perfect but offers more reward to the oil producers....
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As an aside....The senior partner with Buffett recently mentioned that electrical energy storage combined with sun-produced electricity is a necessity for a better worldwide economic future....ie BYD is a company that could be a game changer....
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The tax picture does matter because of individual property rights and ownership....More and more government means less and less individual ownership and incentives....
As I have mentioned previously a proper worldwide universal stock market is the key to advancement worldwide....The reason being efficiency and wealth by merit....
Successful globalization cannot happen without this....
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The current political system is inefficient and has become fascist. Management needs to be state by state not from the Fed....The Fed should be directed by state mandates....
Albeit regulations with regards to wealth distribution are needed....based on individual merit....not govt, handouts....
ie A change in the tax structure to 10% consumption tax per state....5% to the Fed....would turn the US into the most attractive home for all of the world's best businesses....and the jobs that go with them....
All of the world's "individual golden carrots" would be dangled to the entire world's populations by the USA....the best entrepreneurs in the world would be cemented to the USA....
And although the tax take may seem small to "Washington's finest lawyers"....the tax take would dwarf what the US has ever experienced before....
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And the core energy question....
Why Iraq, Iran are of interest ?
Iraq has very low lifting costs and could be an oil price stabilizer....Iran also has a long way to go to full development....
This is why the US is in Iraq....To secure one of the lowest cost producers....
And very true.....
"A car is worthless without fuel....It does not matter what type of car...."
