Daily Digest

Daily Digest 4/16 - The End Of U.S. Growth, What The EIA Oil Data Shows, Are We Prepared If Saudi Oil Production Collapses?

Monday, April 16, 2012, 10:44 AM
  • The End of Growth in the United States
  • The Pain in Spain is too Big to be Contained
  • Are We Prepared if Saudi Oil Production Collapses?
  • World's armies circle as Arctic warms to reveal untapped supplies of oil and gas
  • What the New 2011 EIA Oil Supply Data Shows
  • Clean Energy Investments Reduce Prices, Increase Policy Initiatives
  • 100 Tornadoes in 24 Hours, but Plenty of Notice

Follow our steps to prepare for a world after peak oil, such as how to store & filter water

Economy

The End of Growth in the United States (Ernest W.)

If you had told someone ten years ago that Total Non-Farm Payrolls would be at similar levels in 2011, that likely would have sounded impossible, or extreme. But the fact is, US Total Non-Farm Payrolls averaged 131.83 million ten years ago, in 2001. The

The Pain in Spain is too Big to be Contained (Ilene)

By the way, the #3 contender, with 14% of the vote, is Marine Le Pen of the far-right National Front Party, who advocates Nationalization of Banks as well as clamping down on the "Muslim Problem." It should be noted that the far right of France would still be considered the Left by Fox news and the GOP.

Energy

Are We Prepared if Saudi Oil Production Collapses? (efarmer.ny)

This analysis demonstrates that the most effective response is to plan ahead for a massive oil supply disruption and think strategically about its impact. The United States should create in advance an interagency task force under the National Security Council and the National Economic Council to enhance national security and economic security of the United States by using all available policy tools to guarantee the flow of oil. The U.S. should also reserve the option of deploying military forces to Saudi Arabia or other Gulf Cooperation Council (GCC) countries upon their request. The stabilizing presence of U.S. forces and U.S. leadership around the world would significantly contribute to weathering the crisis. In addition, the U.S. should take steps to mitigate the domestic crisis. Releasing strategic petroleum reserves, tapping the North American resources, and reducing energy consumption by U.S. government agencies would accelerate the recovery at home.

World's armies circle as Arctic warms to reveal untapped supplies of oil and gas (Jeff B.)

Last month, Norway wrapped up one of the largest Arctic maneuvers ever — Exercise Cold Response — with 16,300 troops from 14 countries training on the ice for everything from high intensity warfare to terror threats. Attesting to the harsh conditions, five Norwegian troops were killed when their C-130 Hercules aircraft crashed near the summit of Kebnekaise, Sweden's highest mountain.

What the New 2011 EIA Oil Supply Data Shows (Ernest W.)

The shortfall in oil production relative to what would have been expected based on the 1983-2005 growth pattern amounted to 4.7 million barrels in 2011. This is far more than any country claims as spare capacity. This is no doubt one of the reasons why oil prices are as high they are now. These high oil prices tend to interfere with economic growth of oil importing nations.

Clean Energy Investments Reduce Prices, Increase Policy Initiatives (James S.)

According to the Climate Institute, solar PV panel prices have fallen by 75 percent over the last five years. Likewise, the cost of wind energy has fallen by over 50 percent for onshore generation and over 75 percent for offshore generation since 1985. According to Thinkprogress.org, “Clean Edge” projects in 13 US states could drive solar PV prices down in less than a decade to make the cost-competitive at the residential level, without subsidies.

Environment

100 Tornadoes in 24 Hours, but Plenty of Notice (jdargis)

A spokeswoman for the state’s chief medical examiner identified five of the victims as Frank Hobbie, a 5-year-old girl and a 7-year-old girl, all of whom died after the tornado hit their mobile home park, and Darren Juul and a 10-year-old girl, both of whom died in a house a few miles away.

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7 Comments

saxplayer00o1's picture
saxplayer00o1
Status: Diamond Member (Offline)
Joined: Jul 30 2009
Posts: 4145
KugsCheese's picture
KugsCheese
Status: Diamond Member (Offline)
Joined: Jan 2 2010
Posts: 1447
Spain et Al

Spain 10 yr bond: 6.06800 0.09100 1.52%

Housing Market Index: Consensus 29; Actual 25

General Business Conditions Index: Consensus 18; Actual 6.56

Market Up!

saxplayer00o1's picture
saxplayer00o1
Status: Diamond Member (Offline)
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Posts: 4145
Egypt 'needs £7.5 billion bail-out to avoid bankruptcy'

Egypt 'needs £7.5 billion bail-out to avoid bankruptcy'

Bill Hicks's picture
Bill Hicks
Status: Bronze Member (Offline)
Joined: Jul 3 2011
Posts: 34
States Allow Big Companies To Keep Employees' Tax Withholdings

 billhicksisdead.blogspot.com/2012/04/corporate-welfare-porn-states-allow-big.html

“Job piracy” occurs when one state diverts taxes to lure an employer across state lines. AMC Entertainmentannounced a deal last year to move its corporate headquarters from Kansas City, Mo., to a nearby Kansas suburb. In return, Good Jobs First said, Kansas will let the multiplex chain keep $47 million of state income taxes withheld from its workers’ paychecks, a drain on public finances that did not create any jobs, but does enrich the Wall Street firms that own AMC including arms of J. P. Morgan, Apollo Management, Bain Capital and the Carlyle Group. AMC declined to answer my questions.
 
“Job blackmail” occurs when a company threatens to close a plant unless it gets tax money.
 
In Illinois, the law requires companies to threaten to leave before they can keep taxes withheld from paychecks. Motorola Mobility, now being acquired by Google; the truck maker Navistar; the German manufacturer Continental Tire, and three auto makers – Chrysler, Ford and Mitsubishi – get to keep $346.8 in taxes over 10 years because they threatened to leave Illinois. Navistar can pocket $62.1 million even if it fires a quarter of its Illinois workforce, its contract shows. A recent deal gives Sears $150 million, Good Jobs First reported.
DurangoKid's picture
DurangoKid
Status: Silver Member (Offline)
Joined: Oct 25 2008
Posts: 174
 Egypt is in trouble.  In

 Egypt is in trouble.  In a very few years it will cease to be a net energy exporter. A 7.5 billion pound bailout is a 'band-aid on a hemorage' solution at best.

osb272646's picture
osb272646
Status: Silver Member (Offline)
Joined: Mar 14 2010
Posts: 120
Bill Hicks

There's an easy fix to this issue, at both the Federal and State level.

Eliminate the income tax for corporations, and tax all individuals on their dividends and capital gains received at the same rate as earned income.  Revenue neutral, and it ends the economic impedence of double taxation of corporate earnings.

Next up, what are the high income tax states going to do to keep their retiring citizens from relocating to lower or zero income tax states?

 

 

Damnthematrix's picture
Damnthematrix
Status: Diamond Member (Offline)
Joined: Aug 10 2008
Posts: 3998
Egypt is in trouble alright...
DurangoKid wrote:

 Egypt is in trouble.  In a very few years it will cease to be a net energy exporter. A 7.5 billion pound bailout is a 'band-aid on a hemorage' solution at best.

Egypt, a classic case of rapid net-export decline and a look at global net exports

by Jeffrey J. Brown & Samuel Foucher

(Note: Commentaries do not necessarily represent the ASPO-USA position.)

In a recent guest column, “Peak Oil Versus Peak Exports,” we discussed the dramatic differences between simple post-peak oil-production declines, e.g., Texas and the North Sea, and net export declines, e.g., the UK and Indonesia, as illustrated in the “Export Land” Model (ELM), a simple mathematical model.

Based on the ELM, we have concluded that given a production decline in an oil-exporting country, the Net Export Decline (NED) rate will exceed the production-decline rate and the NED rate will accelerate with time - unless the exporting country cuts its oil consumption at the same rate as, or at a faster rate than, the rate of decline in production. Furthermore, the bulk of post-peak Cumulative Net Exports (CNE) tends to be shipped early in the NED period.

After hitting a production peak in 1995, Egypt became a classic case of a rapid NED, as its NED rate exceeded its production-decline rate and accelerated with time. Furthermore, only four years into this NED, Egypt had shipped more than 50 percent of its post-peak CNE.

The BP database shows negligible Egyptian net oil exports for 2009, and Egypt probably approached zero net oil exports in 2010, or it became a net oil importer. The EIA database shows that Egypt in 2009 was already a net importer. Note that while Egypt’s total petroleum-liquids production in 2009 was only down by 20 percent versus the 1995 rate, this production decline combined with increasing consumption to result in a 95-percent NED from 1995-2009, according to BP. Most oil analysts would probably focus on the 20-percent production decline while remaining largely oblivious to the 95-percent NED.

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