[Marxism] Liu on Oil

Les Schaffer schaffer at optonline.net
Fri May 27 10:05:15 MDT 2005

a pretty comprehensive article on the economics of oil.

attention good comrade rrubinelli: see Fact 8 in the article. comments?

les schaffer


Global Economy
     May 26, 2005
The real problems with $50 oil
By Henry C K Liu

After oil prices peaked above US$58 a barrel in early April, and stayed 
around their current $50 range, the White House announced that it wanted 
oil to go back down to $25 a barrel. There is a common misconception in 
life that if only things could go back to the ways they were in the good 
old days, life would be good again like in the good old days. 
Unfortunately, good old days never return as good old days because what 
makes the old days good is often just bad memory. The problem with 
market capitalism is that while markets can go up and markets can go 
down, they never end up in the same spot. The term "business cycle" is a 
misnomer because the end of the cycle is a very different place from the 
beginning of a cycle. A more accurate term would be "business spiral", 
either up or down or simply sideways.

full:  http://www.atimes.com/atimes/Global_Economy/GE26Dj02.html

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