Friday, May 23, 2008

Oil

Higher oil prices appear to be driving US politicians, especially Democrats, crazy, making them do foolish things like passing a bill to sue OPEC (324 to 84 in the House): "House Passes Bill to Sue OPEC over Oil Prices" (Tom Doggett, Reuters, 20 May 2008). But, you know what, invading Iraq or suing OPEC doesn't bring more oil fields online or bring down oil prices -- only investment on the supply side and conservation on the demand side can (or else higher oil prices will help bring about far-reaching recessions and bring down demand and prices . . . painfully and temporarily).

Energy GapStrangely, however, not only current higher oil prices but even an increasing fear of a failure to produce enough oil in time to meet the growing world demand for it (due to rising energy consumption in the South) doesn't appear to motivate them to do rational things at all, such as lifting sanctions on major oil producer nations, like my dear Islamic Republic of Iran (which is forced to rely more and more upon itself: Nasser Karimi, Iran Looks to Tap Key Oil Field with Homegrown Crews," Associated Press, 11 May 2008).

The capitalist relations of production and consumption -- especially an insatiable greed for geopolitical power to which they give rise in the minds of the US power elite whose military force exists to defend them -- are clearly serving as fetters on the ability of humanity to develop a more intelligent mode of production and consumption of energy, but this integument is not automatically burst asunder, nor are there forces that are seeking to do so.

2 comments:

Ali said...

See
http://rutledge.caltech.edu/

Sheff said...

The main reason why the U.S. engaged in this horrible conflict in Iraq was to expand Israel's hegemony in the region as outlined in PNAC. The oil companies were dead set against this war.

The reason for the high oil prices has much more to do with risk factors of the Middle East conflict than it has to do with supply. The high prices in fact only feeds the Zionist demand even more by shifting the blame onto OPEC (Arabs).

The problem that I see has been the left's failure to factor in Zionism influential role on U.S. policies.