“Money”, by Philip Larkin
Quarterly, is it, money reproaches me:
‘Why do you let me lie here wastefully?
I am all you never had of goods and sex.
You could get them still by writing a few cheques.’
So I look at others, what they do with theirs:
They certainly don’t keep it upstairs.
By now they’ve a second house and car and wife:
Clearly money has something to do with life
—In fact, they’ve a lot in common, if you enquire:
You can’t put off being young until you retire,
And however you bank your screw, the money you save
Won’t in the end buy you more than a shave.
I listen to money singing. It’s like looking down
From long french windows at a provincial town,
The slums, the canal, the churches ornate and mad
In the evening sun. It is intensely sad.
When the Blind insists on leading the Blind. @wolfofwolfst Why Wolf Richter is so wrong! #EnergyEconomics #theDebtMoneyAxiom #IABATO #PDC #GrubStreetJournal #ConquestofDough @financialeyes @JoeBlob20 @wiki_ballot
”The monetary and financial system of an economy are part of the socio-politico-economic control mechanism used by every state to connect the economy with the polity and society. This neural network provides the administrative means to collect taxes, direct investment, provide public goods, trade. The money measures provide a crude but serviceable basis for the accounting system which in turn, along with the codification of commercial law and financial regulation are the basis for economic evaluation and the measurement of trust and fiduciary responsibility among the economic agents. A central feature of a control mechanism is that it is designed to influence process. Dynamics is its natural domain. Equilibrium is not the prime concern, the ability to control the direction of motion is what counts.
Money and financial institutions provide the command and control system of a modern society. The study of the mechanism, how they are formed, how they are controlled and manipulated and how their influence is measured in terms of social, political, and economic purpose pose questions, not in pure economics, not even in a narrow political economy, but in the broad compass of a political economy set in the context of society. ” Martin Shubick,
Tim, You say and have said before many times that.
“All of these hopes miss the fundamental point, which is that ECoEs are very much higher now (above 9%) than they were in the 1970s (at or below 2%).”
Russian and Saudi Lifting costs account for a very large part of core world supply and also proved reserves for future supply, as the proved reserves are using enhanced recovery methods but not the more expensive heat-based recovery of non-conventional heavy oils. I think the simple claim that a substantial proportion of world oil production and continuing supply from those reserves are still at High ECOEs, can you prove otherwise?
Accessible data available in admittedly partial data sets, contradict the very stark claim you make that up to the 1990’s it cost 2 barrels of oil to extract 100 barrels giving a net 98 surplus energy barrels. and that now the energy cost is 9 barrels of every 100 giving 91 surplus barrels.
Adjusted lifting costs on a per-dollar basis have if anything fallen, it is also possible that for Giant fields that lifting costs have actually fallen in Energy terms.
Are your 2% and 9% figures theoretically or empirically derived and if empirically could you please provide the data source from which you derive such a bold claim?
It is also unsatisfactory not to provide adjusted figures for the different souces be they, conventional Land, off shore, deep sea and shallow and deeper conventional sources.
At this point I think it is reasonable to put the End of cheap oil in energy terms theorists to proof.
This paper tackles the question in energy terms and not assumptions drawn from monetary/price assumptions.
The average 100,000-square-foot office building in the U.S. uses approximately 2 million kWh of electricity per year, or 20 kWh per square foot of space. For my mother, a kilowatt hour is a unit of currency. She knows that, until October 31 when the rates change, one kWh of electricity used in off-peak hours costs her 8.7 cents. Mid-peak usage costs her 13.2 cents per kWh, and on-peak use costs her 18 cents per kWh.
Quick service (“fast food”) restaurants in the U.S. are real energy hogs, burning through an average of 81 kWh of electricity per square foot every year. But my mother is an anomaly. Many consumers aren’t as conscious of their use, or the price of that usage. So, let’s put the kWh into perspective.
U.S. grocery stores require a massive amount of electricity, as well, with 66 percent of the average 52.5 kWh used annually going to feed lighting and refrigeration alone. In the average home, one kWh of electricity means the ability to:
watch 10 hours of television,
wash 12 pounds of laundry,
cook a hot breakfast for 4 people,
listen to 20 hours of radio, or
use the computer for 5 to 10 hours.
According to The World Factbook, the United States alone–and it’s the second-largest consumer of electricity in the world, behind China–consumes 3.832 trillion kWh of electricity annually. To break that down, imagine cooking breakfast for 15.3 trillion friends (or roughly 2,000 times the world’s population), or doing 46 trillion pounds of laundry. That’s how much electricity the United States consumes in a year.
But my mother is an anomaly. Many consumers aren’t as conscious of their use, or the price of that usage. So, let’s put the kWh into perspective.
My Model spreadsheet of the world economy in KWH equivalents from Circa 2018.