Feed on

I surely am happy to see the US turn itself into what Mark Perry calls, “Saudi America” through its continued development of its oil and gas resources. And while I am nonetheless (even if this had not happened) not worried about “Peak” Oil or Peak Anything for that matter. Nonetheless, I am NOT optimistic that the oil and gas boom will be long-lasting or have much spillover into the rest of the economy. Ought “we” permit its expansion? Sure. Ought “we” be happy about it? Sure. But I would recommend strongly against using this as some “turning point” for America. And I would warn even more that if the boom continues, it may even perhaps be a curse and not a blessing. If resource revenues come pouring in, then where is the urgency to get our entrepreneurial, legal, fiscal, etc. houses in order?

2 Responses to “Tuesday Morning Quartback”

  1. RIT_Rich says:

    One the one hand, I don’t think that we CAN get our fiscal or legal house in order; it is too far gone because the American people are too far gone at this point. On the other hand, I doubt that tax revenues from increased oil production will do more than a tiny dent, and thus will be inconsequential to “relieving” the fiscal burden on this country (because of the previous sentence). I think all we can really “hope” for is to “keep up” with the growing fiscal mess.

    Sorry for my pessimism.

  2. Harry says:

    Lower energy prices are good for everybody, but the present regime will do what it can to prevent cheap energy.

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