oil

Mostly Serious – Part Two


This is a continuation of the Mostly Serious- Part One post of October 9, 2022.

Page 4: This Isn’t New, But

The Russians and the Saudis just decided to cut oil production by 2 million barrels per day. That will lower world supply, driving prices higher, which you will feel every time you fill your gas tank. We’ve done this dance with oil producers many times and we always get our feet stomped on. Same thing when the gouging comes from our domestic refiners. Think: Arab oil boycott in the 70s and price gouging this year.

In addition, many people have noticed that there probably is something to the claims of over 97% of international climate scientists who say that we humans are the biggest contributors to global warming. That’s leading to things like vastly more destructive hurricanes (I know you noticed that), droughts of Biblical proportions, rising sea levels that will flood coastal cities and more.

What that means is that drilling to produce more oil to lower costs probably isn’t a good solution to anything except more profit for the fossil fuel industry companies in the short term and ever worsening ecological disasters for all of us. Good news! We’re not required to be that, hmmm, what’s the word? – oh yeah: Self-destructive.

Maybe it’s a good time to start weaning ourselves off our dedication to self-destruction. We could do things like:

    • Start a massive program to install solar collectors on every roof and wind farms everywhere it’s windy.
    • Start upgrading our electric grid.
    • Make big incentives for people to replace their gas guzzlers with electric cars.
    • Begin construction of a huge number of charging stations.
    • Incrementally shut down coal and oil fired power stations.
    • Fund ongoing research to produce better power generation and storage.

You get the idea: Initiate a Manhattan Project to bring this country into the 21st century. Sooner or later we’re going to do this because we have to; otherwise we, our kids and grandchildren are gonna die.

I’m completely serious about all of that.

“If we want to make a difference, we need to maximize our energy security, national security and economic security, all at once. The only way to do that effectively is to incentivize our market to produce a stable and secure supply of energy with the lowest possible emissions at the lowest possible costs as fast as possible.

“The only truly effective way to do that is with a strong price signal – either taxes on dirty stuff or incentives for clean stuff – plus steadily increasing clean energy standards for power generation .  .  .  “

Page 5: A Final Serious Note

Republicans are fighting progress with all the hypocrisy they can muster, and they  can muster a lot of it. They excoriate Biden and Democrats for inflation, including high gas prices, but produce not even one idea to combat it. With blithe disregard for victims of global warming events they indifferently mumble something about “thoughts and prayers.” That probably won’t help the people in Lee County FL, any more than their thoughts and prayers have helped mass shooting victims anywhere. And they continue to support the candidacy of mentally scrambled Herschel Walker because for them it’s Power Uber Alles.

From Dana Loesch, former spokesperson for the NRA:

“I don’t care if Herschel Walker paid to abort baby eagles. I want control of the Senate.”

From David Corn of Mother Jones:

” .  .  .  how much does it matter if a Republican says he or she is a conservative, moderate, or liberal, if he or she believes Barack Obama was born in Kenya, the 2020 election was stolen from Trump, and Democrats are scheming pedophiles?

“The polling numbers on these reality-free propositions for Republicans .  .  . are 40, 50, 60 percent.”

“This is not an ideological polarization. It is a divide over reality and rationality.”

Which is all about grabbing power at the expense of all higher brain functions. Minority rule.

Tell me you’re getting this.

Too many Americans are sleep walking in a metaphorical democracy fire. The fire trucks are at the ready in the firehouse, but they’re just sitting there with nobody at the wheel, even as the 911 phone is screaming its alarm, the huge bell is clanging, sirens are wailing and everywhere flames are scorching the halls of democracy.

WAKE UP!

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If you’re already awake, jab an elbow into the ribs of the people on your right and on your left to wake them up. It’s time for all of us to climb aboard the fire engine to answer the call of democracy.

All of us should be serious about that.

“The times have found us.” – Thomas Paine

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Our governance and electoral corruption and dysfunction and our ongoing mass murders are all of a piece, all the same problem with the same solution:
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Fire the bastards!
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The days are dwindling for us to take action. Get up! Do something to make things better.

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The Fine Print:

  1. Writings quoted or linked from my posts reflect a point I want to make, at least in part. That does not mean that I endorse or agree with everything in such writings, so don’t bug me about it.
  2. There are lots of smart, well-informed people. Sometimes we agree; sometimes we don’t. Search for others’ views and decide for yourself.
  3. Errors in fact, grammar, spelling and punctuation are all embarrassingly mine. Glad to have your corrections.
  4. Responsibility for the content of these posts is unequivocally, totally, unavoidably mine.
  5. Book links to Amazon are provided for reference only. Please purchase your books through your local mom & pop bookstore. Keep them and your town vibrant.

JA


Copyright 2024 by Jack Altschuler
Reproduction and sharing are encouraged, providing proper attribution is given.

We’re A Very Entertaining Species & BHB


Here’s a Fourth of July message, because this is how we define ourselves. This is how we do things. This is how we plan for the future. Be advised that we can be a very entertaining species.

Read this from Wikipedia:

The oil depletion allowance in American (US) tax law is an allowance claimable by anyone with an economic interest in a mineral deposit or standing timber.[1] The principle is that the asset is a capital investment that is a wasting asset, and therefore depreciation can reasonably be offset (effectively as a capital loss) against income.

The oil depletion allowance has been subject of interest, because of the relationship of big oil with the US government, and because one method (percentage depletion) of claiming the allowance makes it possible to write off more than the whole capital cost of the asset.[2][emphasis mine]

The oil depletion allowance applies to most extraction commodities – anything pulled from the Earth, like fossil fuels. The allowance is basically a subsidy to those industries and to those who profit from them.

Once we’ve sucked all the oil out of the ground it’s gone. We don’t have another 60 million years to wait for more supply. So we pretzeled our tax code to give the industry billions of dollars in tax reductions so the oil barons would have a soft landing when all the holes are dry a long, long time from now. We surely wouldn’t want to burden them with the awful mental labor of figuring out what’s next. They just want to go on cashing their checks.

It was a simple jump to taxing the profits of the oil companies – income tax – to make governments beholden to the revenues they received from Big Oil, Coal and Gas. That made politicians and the public protective of the fossil fuel industry because of all the services they funded. It also relieved our leaders of that same burden, the terrible entrepreneurial mental labor of figuring out what’s next. They, too, just want to go on cashing their checks.

So, congratulations to all of us for setting ourselves up for sclerotic brain functioning about what comes next. We aren’t in immediate danger of running out of fossil fuels. But we are in danger of running out of a survivable place to live, because we’re cooking ourselves in our own juice, even as we defend the source of what’s cooking us. It’s good for individuals and local, state and federal revenues to protect the status quo. Pay no attention to the people dying of heat in Portland, Seattle and Vancouver, or the water reservoirs going dry and agricultural fields drying up.

This is just another chapter in the Book of Reality Denial. Like most of the other chapters, you can get to the root of the foolishness by following the directive of Deep Throat: Follow the money.

We humans can be bought at such a low price. Every day there’s a blue light special in aisle seven and we stampede to it, heedless of our own coughing and wheezing. And that’s the BHB – Basic Human Behavior* – we have to overcome if we’re to save ourselves, because the Oil Depletion Allowance won’t grow food, provide water, stop mega storms or un-foul our air.

Be sure to wave your flag at your town’s Fourth of July parade (if it isn’t cancelled due to the pandemic). Watch for my traditional red, white and blue flag shirt as you pass by.

And wake up to the reality that a few more bucks in our pockets at both individual and governmental levels will be worth nothing if we’re scratching for existence. It’s time for us to see red, white and blue in a new way so that those colors will still be flying for our children and grandchildren.

Because ready or not, what’s next is coming.

If you’d like to have a look at our century-long subsidizing of and our squishy love affair with Big Oil, have a look at this piece from Mother Jones.

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* BHB – Basic Human Behavior

Be clear that we humans have a nearly infinite capacity for self-delusion. Even today we see Governor Greg Abbott (R-TX) pledging to complete Trump’s border wall, at least in Texas, and he’s pledged $250 million of Texas tax payers’ money to do it. I guess Mexico just isn’t going to pony up any cash for a wall and, clearly, Abbott’s paltry fund won’t buy much wall, so he’s soliciting private donations. Abbott received $459,000 from duped donors in just a week. To learn why they’re duped, take this math test:

Trump’s border “wall” – sometimes it’s just a fence – cost over $22 million per mile. This was accomplished through the magic of Trump’s no-bid contracts awarded to his donor friends.

The Texas-Mexico border is 1,200 miles long.

How much would it cost to construct Gov. Abbott’s border wall?

Hint: $26,400,000,000

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So, no, Gov. Abbott is not going to build that wall. You can be confident that the money he collects will go to the governor’s favorite campaign fund. And don’t be surprised if all that gets erected along the border is a weather beaten post with a bullet-riddled stop sign.

Politicians will fund raise on anything that tweaks donors. Stoking fear of immigrants has repeatedly proven to be an excellent stimulus for the emptying of citizens’ wallets into politicians’ piggy banks, exactly what Abbott is doing right now. Our BHB – Basic Human Behavior – allows us to be duped in this way over and over. And it gets even crazier than that.

Somehow Republican South Dakota Governor Kristi Noem thinks it makes sense for her to send South Dakota National Guard troops to the Texas-Mexico border. Yes, seriously.

And Tennessee (not South Dakota) billionaire megadonor Willis Johnson has pledged to fund Noem’s spectacle of trying to look patriotic. Yes, seriously.

VSQ (Very Serious Question): What do you suppose megadonor Johnson expects to get back as a return on his investment in Noem? Hint: Noem thinks she’s a 2024 presidential candidate and Johnson might want to be on Noem’s favorite donor list to get whatever it is he wants. He’s just another grifter and we allow ourselves to get duped by the megadonor 2-step nearly every time.

Click me

Like I said, we’re a very entertaining species.

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More BHB

We Americans are making great progress in refusing vaccines. And we’re doing it just in time for the arrival of the Delta variant which is 140 times more contagious than the “that’s so 2020” Covid-19. Here’s a great summary.

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Thanks!

The Fine Print:

  1. Writings quoted or linked from my posts reflect a point I want to make, at least in part. That does not mean that I endorse or agree with everything in such writings, so don’t bug me about it.
  2. Errors in fact, grammar, spelling and punctuation are all embarrassingly mine. Glad to have your corrections.
  3. Responsibility for the content of these posts is unequivocally, totally, unavoidably mine.

JA


Copyright 2024 by Jack Altschuler
Reproduction and sharing are encouraged, providing proper attribution is given.

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