Daily Digest

Daily Digest 8/15 - Sales Of Gold Up On eBay, The Wasteland, Schools Attempt To Cut Energy Bills

Monday, August 15, 2011, 10:48 AM
  • Libya Rebels Threaten a Supply Line to the Capital
  • Sales of gold up on eBay amid stock market turmoil
  • Asian and European Markets Recover After Turmoil
  • Whipsawed
  • Home Of The Brave
  • "The Wasteland" - How Central Planning Broke All Markets... And What We Can Do To Fix Them
  • Change and the Process of Transformation
  • With Post-Its and Checklists, Schools Cut Their Energy Bills

Our 'What Should I Do?' guide has steps to cook, see & stay warm in times of power outage

Economy

Libya Rebels Threaten a Supply Line to the Capital (jdargis)

A rebel military spokesman reported that the rebels had also taken control of Surman, farther west along the road to Tunisia; that claim could not immediately be confirmed. Clashes were reported near the Ras Ajdir border crossing with Tunisia, the spokesman said, as well as in Gheryan, a city in the Nafusah Mountains that straddles another important route connecting Tripoli with Sabha, a Qaddafi stronghold in the south.

Sales of gold up on eBay amid stock market turmoil (woodman)

"When people are coming down to the question, `Do they want to have cash in the bank or gold in their hands?' the answer is they'd rather have gold or silver," said Jacob Chandler, CEO of Great Southern Coins, the largest seller of precious metals on eBay.

Asian and European Markets Recover After Turmoil(jdargis)

Trading in U.S. index futures suggested that Wall Street stocks would rise at the opening bell. The Standard & Poor’s 500-stock index rose 0.5 percent Friday, after a roller coaster performance during the week, as investors struggled to assess the impact of the U.S. ratings downgrade.

Asian shares rose Monday, with the Tokyo benchmark Nikkei 225 stock average gaining 1.4 percent.

Whipsawed (Ilene)

Trading was wild on Tuesday, with the afternoon release of the FOMC minutes, and the anticipation that the Fed would announce a third round of quantitative easing (QE3). Instead of bestowing QE3 on the stock market gods, the Fed took an unprecedented step of explicitly stating a specific duration for keeping the federal funds rate at 0 to 0.25%. (FOMC Minutes) Lack of an explicit promise for QE3 initially pulled the rug out from under the market, but the drop almost instantly reversed as a strong wave of buying lifted the Dow about 600 points off the low.

Home Of The Brave (John S.)

There is no question that a way of life without money will alleviate if not completely eliminate all of the previously mentioned problems. Yet, we scoff at the idea. We are totally convinced that money is a necessity. We cannot imagine life without money. Perhaps the time has come to think otherwise. It is completely obvious our present economy no longer satisfies our present day needs.

"The Wasteland" - How Central Planning Broke All Markets... And What We Can Do To Fix Them (pinecarr)

We must recognize that there are no workable macroeconomic solutions which can be laid down: that everything is a matter of functioning microeconomics building things up; that the diamond takes on its lustrous geometry, atom by atom; that the masterpiece hanging in the Louvre came into being brushstroke by painstaking brushstroke.

Only get the microeconomics right and all else will follow.

Change and the Process of Transformation (pinecarr)

That the Status Quo--dependent on ever-rising debt and asset values, on cheap, abundant energy, food and other resources--is unsustainable, is self-evident to all not firmly lodged in the cocoon of self-deception and magical thinking known as denial. It follows that the Status Quo will devolve or implode within the next 10-15 years, and be replaced by some other arrangement.

Precisely what that arrangement will be is what I term the Great Transformation. The proper way to think about this great social and economic transformation is to think of personal transformation, for as correspondent Bart D. recently observed, "society is a fractal function of the individuals of which it is composed," which boiled down to its essence means the process of transformation scales up from an individual to a household, group and eventually to an entire culture in a self-same fashion.

Energy

With Post-Its and Checklists, Schools Cut Their Energy Bills (jdargis)

Schools, once known as energy wasters, are embracing conservation in increasing numbers. A desire to practice the environmentally friendly principles discussed in classrooms has been heightened by soaring energy costs and tighter budgets. With the help of a growing industry of energy consultants, school officials are evaluating every detail of their daily operations, like the temperature of the swimming pool and the amount of electricity the cafeteria ovens use, and are replacing energy-guzzling equipment with more efficient models.

Article suggestions for the Daily Digest can be sent to [email protected]. All suggestions are filtered by the Daily Digest team and preference is given to those that are in alignment with the message of the Crash Course and the "3 Es."

19 Comments

KugsCheese's picture
KugsCheese
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New York Manufacturing Index Contracts 7.7%; 3 Month in a Row

www.businessweek.com/news/2011-08-15/new-york-area-factories-shrink-for-third-consecutive-month.html

The US cannot thrive without a solid manufacturing base.   Manufacturing going down for 3 months is a bad sign and the NYI is accelerating to the bad side.

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saxplayer00o1
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Bradford's picture
Bradford
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Podcast Aug 13th with Arnold Gundersen on SolarIMG

http://solarimg.org/shows/SolarIMG_podcast_Arnie_Gundersen_130811.mp3

1) The Japanese are allowing contaminated material (farm waste) to be burned.

2) Eventually this ends up in the Pacific Northwest...these "rain-outs" will be depositing hot particles onto the soil along the West Coast for another year.

3) Confirmation that a "strategic decision was made at the highest level of the U.S. government to downplay Fukushima...we are not sampling the food supply that is comming into the U.S. from Japan...he is not sure if this is because they want to support the Japanese Government or the nuclear industry.

4) He wants you to send him samples of contaminated rainwater for testing...tells you how to go about doing so.

Vanityfox451's picture
Vanityfox451
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North Sea oil spill 'substantial'

  North Sea oil spill 'substantial'

An oil spill in the North Sea is estimated to amount to several hundred tonnes, making it the biggest such leak in more than a decade, according to UK Government figures.

The spill - far greater than annual totals dating back to 2001 - was described as "substantial" by the Department of Energy and Climate Change (DECC).

The total amount of oil discharged into the North Sea in 2009 was 50.93 tonnes.

Shell, which operates the Gannet Alpha platform about 112 miles east of Aberdeen, said the subsea well was shut on Wednesday, but it has not confirmed the quantity of the leak.

Continued ...

~ VF ~

 

Vanityfox451's picture
Vanityfox451
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The Urban Farming Boys ...

This video just arrived at my YouTube inbox, and its enthusiasm is just what you need if you're heading into a suburban future of sustainability. I'll be sending it out to friends and subscribers, and hope you'll do the same for the like-minded.

Maybe you can think of a thread here that this film belongs on? Copy and repost ...

Direct Link

~ VF ~

 

Poet's picture
Poet
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Warren Buffett: Stop Coddling the Super-Rich

Interesting words from Warren Buffet:

Warren Buffett: Stop Coddling the Super-Rich (August 14, 2011)
"Last year my federal tax bill — the income tax I paid, as well as payroll taxes paid by me and on my behalf - was $6,938,744. That sounds like a lot of money. But what I paid was only 17.4 percent of my taxable income - and that’s actually a lower percentage than was paid by any of the other 20 people in our office. Their tax burdens ranged from 33 percent to 41 percent and averaged 36 percent. "
http://www.nytimes.com/2011/08/15/opinion/stop-coddling-the-super-rich.html

Noble of Buffett, perhaps. But what he is proposing will never happen, which might very well be why he's feels safe in proposing it. It's like Ron Paul always voting against Congressional budget bills - but still making requests within that very budget bill he votes against for goodies for his district and getting them.

I'm sure some idiot here is now going to announce that the above situation is why we should move towards a flat tax (can we have a more realistic proposal here that won't be killed by lobbyists?), or a consumption tax (that disproportionately affects the poor, who consume a greater portion of their income to survive). That's not news. Just an exercise in futility. :-P

Poet

ao's picture
ao
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Vanityfox451 wrote: This
Vanityfox451 wrote:

This video just arrived at my YouTube inbox, and its enthusiasm is just what you need if you're heading into a suburban future of sustainability. I'll be sending it out to friends and subscribers, and hope you'll do the same for the like-minded.

Maybe you can think of a thread here that this film belongs on? Copy and repost ...

Direct Link

~ VF ~

Repost but good stuff nonetheless.

Outcast 19's picture
Outcast 19
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Home of the Brave?

I'm all for finding better ways to do things, but the posting by John S. leaves me wondering who is minding the front page of this website.  People who come here for solid information and ideas worth considering need not be exposed to the kind of magical thinking presented in this "article".  I mean, please...a school board deciding who gets priority for housing!  Placing this kind of nonsense in the Daily Digest reflects poorly on the credibility of PeakProsperity.com.  If people want to wax "philosophical" (and this was hardly a serious philosophical exploration of a potentially interesting topic), let them use the message boards.

Outcast 19

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Poet
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Home Of The Communists

I agree, Outcast 19.

That "Home Of The Brave" article is essentially a communist propaganda piece that doesn't mention communism. Here's a choice quote that pretty much tells you all you need to know:

"Can we learn to distribute our goods and services according to need (on an ongoing basis) rather than by the ability to pay? Why not? Poverty and materialism will be eliminated! Our sense of value will change. Wealth will no longer be a status symbol. A man will be judged by what he is; not by what he has. He will be judged by his achievements, leadership, ideas, artistic endeavours or athletic prowess; not by the size of his wallet.

"Yes, everything will be free according to need. All the necessities and common luxuries will be available on a help yourself basis at the local store. Surely, this country is capable of supplying the necessities and common luxuries for everyone in this country many times over.

"The more 'expensive' items, such as housing, cars, boats, etc. would be provided for on a priority basis. For example, the homeless would be given housing ahead of those living in crowded quarters. How will this priority be established? Perhaps a local board elected by the people in the neighborhood such as a school board. Or perhaps the school boards could absorb this responsibility in addition to their present duties."

We know what happens next... Those school board "comrades" and their friends and family - the "first citizens" - will become judged worthy of receiving the best, most "expensive" items, such as housing ,cars, boats, etc. Artists who slather dribblings on canvases will receive nice apartments and loft spaces, while workers who strain to meet tractor factory production quotas will see their quotas increaseed 25% each year in new "Great Leaps Forward". And the poor farmers will be collectivized: their livestock and wheat and potatoes and corn taken away in greater amounts until they starve. Because each region will boast of record harvests in even the worst times of drought, as "comrades" dare not report of failures for fear of being sent to "re-education" camps. Soon, the more enterprising ones will feign disability or "social anxiety disorder" or "depression" in order to receive free state support without even having to work!

Poet

Outcast 19 wrote:

I'm all for finding better ways to do things, but the posting by John S. leaves me wondering who is minding the front page of this website.  People who come here for solid information and ideas worth considering need not be exposed to the kind of magical thinking presented in this "article".  I mean, please...a school board deciding who gets priority for housing!  Placing this kind of nonsense in the Daily Digest reflects poorly on the credibility of PeakProsperity.com.  If people want to wax "philosophical" (and this was hardly a serious philosophical exploration of a potentially interesting topic), let them use the message boards.

Outcast 19

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frobn
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The article is not well

The article is not well thought out and therefor easy to pick apart but the concept of a cash free economy is something to think about. Such things as the commons, coops, barter and gifts will play a big part  in future generations.

See: What Can We Learn from Gift Economies? by Gail the Actuary from The Oil Drum

 


Damnthematrix's picture
Damnthematrix
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Outcast 19 wrote: I'm all
Outcast 19 wrote:

I'm all for finding better ways to do things, but the posting by John S. leaves me wondering who is minding the front page of this website.  People who come here for solid information and ideas worth considering need not be exposed to the kind of magical thinking presented in this "article".  I mean, please...a school board deciding who gets priority for housing!  Placing this kind of nonsense in the Daily Digest reflects poorly on the credibility of PeakProsperity.com.  If people want to wax "philosophical" (and this was hardly a serious philosophical exploration of a potentially interesting topic), let them use the message boards.

Outcast 19

I wouldn't have read that site were it not for your posting about it......  I found little to disagree with except maybe "The more "expensive" items, such as housing, cars, boats, etc. would be provided for on a priority basis. For example, the homeless would be given housing ahead of those living in crowded quarters. How will this priority be established? Perhaps a local board elected by the people in the neighborhood such as a school board. Or perhaps the school boards could absorb this responsibility in addition to their present duties."

I certainly would not hand out "cars and boats", and nor would I hand out houses.... but I'd consider handing out materials to build one, and then get the people to built them themselves!  There's nothing like buulding your own house to appreciate what you've got!  And the idea of school boards is a bit flakey.

But communist?  I find that a bit of a stretch.  A future with no money, or very little money, is highly likely, as its value eventually gets decimated by hyperinflation.  maybe this should have been put on another thread rather than the DD (which is about NEWS after all), but I don't think we should get all hot under the collar about this item....

Mike

Matt Holbert's picture
Matt Holbert
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Gift/Barter Economies

My experience is that gift/barter is exhausting. I'm always asking myself whether or not I reciprocated fairly or whether I'm getting the short end of the stick. There is something to be said for a market economy. However, it is clear that in a contracting economy many of the things that we take for granted will go the way of the Dodo Bird. Charging/paying interest, for example, should be a thing of the past. Instead of a gift/barter system, I would submit that we should move to a system where neither debt nor interest is in the equation. The vast majority of us will always be on the wrong side of the debt/interest equation.

My idea is to create a "bank". The "bank" owns assets that we as free agents access in order to produce -- and consume -- high quality goods and services according to a set of rules that everyone signs on to when they make a deposit. Structured properly, we could ramp up our leisure time tremendously. If we prefer, we can remain in one location and do one thing (provincialism anyone?) or alternatively, we can move around and learn how to do anything that interests us so long as we do it well. Our current system -- label it what you will -- puts far too many restrictions on flexibility and creativity.

The current consumption-based economy is every bit as exhausting as gift/barter and it is literally killing us. We have to be active-minded and consider alternatives.

Boomer41's picture
Boomer41
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Home of the Brave?

Outcast sounds like Karl Marx

"From each according to his ability, to each according to his need."

Ayn Rand would spin in her grave.

Damnthematrix's picture
Damnthematrix
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Are we there yet? Tom Whipple reports, getting closer

http://energybulletin.net/stories/2011-08-15/peak-oil-review-aug-15

Peak Oil review 15th August

……..The week also saw new forecasts by IEA, EIA and OPEC suggesting that, unless there is a major economic downturn in the offing, current trends indicate that oil supplies will be inadequate to meet demand in the near future.

Global stockpiles fell by 11.8 million b/d in June while the average for the month is a 1.8 million barrel increase. Preliminary data shows an increase of 18.5 million b/d for July which is well below the recent average of a 27 million
barrel increase for the month. Short term floating storage continues to fall. Overall, the IEA's assessment is that global supply is not currently meeting demand and that global stocks are being drawn down to meet the shortfall.

……….In this month's report the IEA markedly changed the tone of its supply/demand forecasts for the next 18 months. In recent issues, the Agency has been warning that OPEC was failing to produce enough oil to keep up with the
growth in demand and had convinced several OECD members to release a total of 60 million barrels from their strategic stockpiles. While the new report still considers it likely that there will be a supply crunch in the near future, it now recognizes the possibility that growing economic problems across the OECD and Asia could push global economic growth below the 4.2 percent for 2011 and the 4.4 percent for 2012 forecast by the IMF. A decline in the global growth rate to 3 percent could cut the increase in the demand for oil next year to 600,000 b/d from the currently forecast 1.6 million b/d. Despite a cut of 60,000 b/d in demand and a 600,000 b/d increase in global oil production during July, the IEA is still officially forecasting 2011 global
demand to average 89.5 million b/d to be covered by an average supply of 88.7 million b/d with the 800,000 b/d difference to come from global stockpiles.

Outcast 19's picture
Outcast 19
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Boomer41 said...
Boomer41 wrote:

Outcast sounds like Karl Marx

"From each according to his ability, to each according to his need."

Ayn Rand would spin in her grave.

Hmmm...not sure how you arrived at that conclusion, Boomer41.  I'm the one who said the "Home of the Brave" article was nonsense.  Poet agreed with me and went on to say it sounded like communist propaganda.  Being a relatively new poster, I chose not to be that blunt. 

So if you had said, "Outcast, it sounds like Karl Marx", then I would have to agree because the article certainly read like an 8th grader wrote an essay about Marxism.  Frankly, I was astonished that it made it past the editors.

Outcast 19

badScooter's picture
badScooter
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Outcast 19
Outcast 19 wrote:

 

...Being a relatively new poster, I chose not to be that blunt... 

... the article certainly read like an 8th grader wrote an essay about Marxism.  Frankly, I was astonished that it made it past the editors.

I'm a new poster too, and I will be totally blunt.  I don't subscribe to CM to read communist fantasy crap.  I can get that from MSNBC.

I won't bother to put forth debate points about how communism doesn't work very well.  I frankly find it embarassing some days that I served in the US military for a decade in some sort of naive, callow attempt to keep that sort of tripe (and the totalitarianism it begets) at bay, whilst the whole time it was slowly co-opting the country right in front of me.   Stupid me.

Cheers,
Mike

Eye's picture
Eye
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Posts: 88
Thank you for your service

Thank you for your service Mike.

Eye

 

fogettaboutit's picture
fogettaboutit
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Posts: 12
Thank you for sharing that VF

 That video you posted VF was so positive and inspiring. Whilemany of us complain and rail against the system, here is a group of brave individuals who are not only demonstrating that even urban dwellers can become somewhat self-sufficient but they are trying to make a positive change in one of the most hostile enviornments this side of Iraq (the inner city). I sent this link to everyone I know (well, at least those who would understand it) and I would suggest that everyone on this site take the 6+ minutes to watch it. 

Vanityfox451's picture
Vanityfox451
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Fogettaboutit, Thank you for

Fogettaboutit,

Thank you for that.

Very good to see new blood on the forum ...

Take Care,

~ VF ~

 

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