I found your view point as short sighted as “peak oil” claim. Just because there is a short-term over-supply of oil does not mean it is here to stay.
Fracking reserves basically run off in two years and are much closer to oil storage reserves than a good, traditional field that flows for 30 to 60 years. Instead of a reserve, we are using it up as fast as we can at the moment. The entire industry is also not cash flow positive, which allow for the possibility that fracking costs have been underestimated…as the bankruptcy of many firms will soon show.
Meanwhile, cheap traditional oil, in contrast, becomes increasingly difficult to find both in the U.S. and globally. Last year for example, despite spending nearly $700 billion globally – up from $250 billion in 2005 – the oil industry found just 4½ months’ worth of current oil production levels, a 50-year low.
The “market system” that you are so proud of is very short-sighted and we are still using fossil fuels that were deposited in millions years in history as quickly as we can despite all the energy conservation “mindset” people claim to have.
It is like last year, CA government boasting about that they ended fiscal year with cash for the first time in seven years. But we all know the problems didn’t end there. But we are all more willing to accept happy-ending stories without much harder choices about our lifestyles.
