Showing posts with label economy. Show all posts
Showing posts with label economy. Show all posts

Monday, February 25, 2008

One Love, 2

The Top Headline on the NYT site right now is about inflation in the Middle East. Okay, that's not true. The top headline is about the Oscars. But the NEXT top headline.

"Rising Inflation Creates Unease in the Middle East."

The story is very interesting, and rather unease creating in its own right.

It seems to me there are two issues. Rising inflation. Stop. Middle East. Stop.

If we take a look at the Middle East first --

"In Saudi Arabia, where inflation had been virtually zero for a decade, it recently reached an official level of 6.5 percent, though unofficial estimates put it much higher."

One of the things the article talks about is an issue within the government. The thing about countries with an operational king is that that king is supposed to act paternalistic toward his subjects. Subsidies are a major part of the economic workings of many of these countries -- in fact most countries that are heavily state controlled -- so that things stay fairly constant for the average citizen. But with the price of oil increasing so much, so rapidly it's putting pressure on the whole inner workings -- and the rift between the haves and the have nots are growing exponentially. The societal and governmental structure is feeling enormous pressure, and seems to need to find a new way of dealing with all the new money. A few days ago I mentioned Western Universities making their way into the Middle East -- it seems highly unlikely that this is going to make things less volatile.

On one reposting of the NYT article on a blog this morning, one commenter writes "Boo fucking hoo." I don't want to link here, because I don't want to put those cyber connections in place -- sorry. Someone else said something to the effect of "it must be getting expensive driving suicide bomb trucks." Well, things are tough in the blogosphere. Some of us watched poets unwind before our eyes on the National Poetry Foundation blog this month... but things are tough in America, too -- Boo hoo? I'm sad -- in the article it said that a previously middle class guy used to support his family and his parents who lived in the country. He's now unable to send them any money at all. And he just had to switch his baby to the cheap diapers. Moms know -- that means leaks and diaper rash -- that means a lot more cleaning and crying. That means stress -- climbing and quality of life -- dropping. And what becomes of the parents in the country? (I made up that country part -- they don't say where the parents live...)

I wish I had a friendly neighborhood economist to call -- I do, actually, so maybe you will hear more about this soon. It still doesn't quite compute as to why flooding a nation with money makes poverty stronger -- though maybe it's a little like printing more money -- which is easier to understand as a devaluing issue. Could it be that it really doesn't matter if its real money -- as in actual increased earnings -- or paper money? I find this fascinating.

Anyway -- whatever the cause -- things are not going well for a lot of people in the Middle East.

"Public protests and boycotts have followed, and 19 prominent clerics posted an unusual statement on the Internet in December warning of a crisis that would cause “theft, cheating, armed robbery and resentment between rich and poor.” "

It took me a minute to find this statement -- actually, to find a December London Telegraph article about the statement. That's as close as I got. Maybe it was not in English. Ugh -- I don't even know what language they speak in Saudi Arabia. Thank heavens for global etiquette lessons on the web:

((Arabic is the official language of Saudi Arabia, but English is widely spoken. It is used in business and is a compulsory second language in schools. Among the non-Saudi population, many people speak Urdu, the official language of Pakistan, and other Asian languages such as Farsi and Turkish.))

The Telegraph article says, "Wealth distribution is a problem in Saudi Arabia, where members of the royal family - including King Abdullah - and businessmen have been listed by Forbes magazine as among the richest people in the world, while civil servants earn 1,000 riyals ($266) a month."

The statement from the clerics says, "We direct this message to the rulers and officials: we remind you of Prophet Mohammad's words that you are shepherds who are responsible for your flock," the group of 19 well-known clerics, including Nasser al-Omar, said in a statement.

"The rulers should seek to try to remedy this crisis in a way that would ease people's suffering ..."

It happens sometimes that in the course of writing I lose something I was going to refer to. It's very frustrating -- I often read 7 or so articles before writing, and the deadline of my kids alarm simply forces me to finish at 7. I've just lost an article -- but what it was talking about was the economic situation in the middle east causing unrest -- protests and death.

It's important to remember why suicide bombings happen -- unrest, frustration -- colonization... oil. Our entanglement in the Middle East.

The Center for Middle East Strategy at Harvard talks has been talking about the boundaries in the Middle East -- how they are drawn and how they will be drawn in the future.

This was posted on that site yesterday:

"On Thursday evening, Turkish forces entered northern Iraq to do battle with the Kurdistan Workers’ Party, or PKK. Iraqi foreign minister Hoshyar Zebari has called the move “a limited military incursion into a remote, isolated and uninhabited region.” According to various sources, there have been clashes in the Qandil mountains along the Iraqi-Iranian border and in the Zap region. Turkish aircraft reportedly also bombed targets around Al-Amadiyah, an Iraqi Kurdish mountain town about 10 kilometers south of the Turkish border."

Boundaries -- again. The Middle East.

Buddha said if one person remains suffering we all do. Same as the Jews in yesterday's post -- and Marley too.

I don't know -- what if that is simply practical advice? Boo Hoo because it's going to come for us too... Middle East strife, uprising. Inflation too...

The following quotes are attributed to Buddha:
.........

All that we are is the result of what we have thought. If a man speaks or acts with an evil thought, pain follows him. If a man speaks or acts with a pure thought, happiness follows him, like a shadow that never leaves him.

All that we are is the result of what we have thought. The mind is everything. What we think we become.

All things appear and disappear because of the concurrence of causes and conditions. Nothing ever exists entirely alone; everything is in relation to everything else.
...........

All I guess I can say is I'm glad I don't have diapers to buy -- or parents to support.

Saturday, February 23, 2008

Back to the Future

A few days ago, the Wall Street Journal's Environmental blog "Environmental Capital" ran a post discussing a new type of vehicle featured at the 2008 Detroit Auto Show in January. "Flex-fuel." As the name would imply, these cars can run on either ethanol, petroleum or a mix, I believe. According to the blog, GM hopes to make half of its production "flex-fuel" by 2012.

2012. I find myself asking again what the future will look like...
Who will be running for re-election; will there still be snow storms like the one we had last night...

As a total aside, I was watching "Meet the Robinsons" last night with my kids. It's such a sweet movie -- one of the best parts of it is the idea of a rejected orphan looking into the future and seeing huge happy playful family. May our futures be happy... At any rate, I started wondering how much of my theory of time -- of how everything in time is linked inexorably and every tiny thing leads to the present -- a theory that gives me much peace -- I wonder how much of my philosophy of time and faith in the past has to do with growing up with shows like "Star Trek" and "The Twilight Zone" I watched with my dad when I was really little -- and later movies like "Back to the Future" and "Groundhog Day..." Charles Dickens must have really shocked people in his day.

I digress.

First of all -- "Flex-fuel" cars fulfill all requirements of being a hybrid vehicle despite the fact that they need never run on anything but petroleum. Loophole much?

Also necessary -- Right now, ethanol isn't widely available enough to count on. Jane Huckabee owns a "Flex-fuel" car -- but can't find corn oil anywhere...

Furthermore, when you do find ethanol, the $.40 or so savings per gallon is canceled out by a possible mpg reduction of over 25%, according to a December story in the Times.

Some of this argument has to do with the pursuit of ethanol as a monetary relief. $1/gallon ethanol is shimmering on the lips of the future...

And then there are the environmental warnings... in the last year many stories have been written about the environmental dangers of growing corn enough for real fuel consumption -- and the pressure on food production -- of ethanol.

Even if we give car companies the most sympathetic of motives -- that they really do want to be part of the solution and are trying to be flexible moving forward to adapt to changes as they might arise... even then we've got issues.

Maybe part of it is that groups with different motivations coming at one problem for entirely different reasons are linked in an unnatural way...

Money and the environment.

If some people are looking for an alternative to petroleum based solely on price -- and others are looking for an alternative based on the environmental situation the use of petroleum worsens -- can those people really work together without the needs of one group ultimately outweighing the other.

Does investment on future promise eliminate our being able to really look around to see what's not working as we go -- do we get into a track we can't find our way out of through momentum...

If the only real purpose of finding a new energy source is to save money we need a time machine to look at that future... the air, the water, the fields...


The Twilight Zone Gallery at SCIFI.com

Wednesday, February 20, 2008

There's no place like now

A few days ago I wrote that I was playing a bit of an energy game -- one that projected future fuel requirements based on the current state of affairs.
It seems I'm not the only one...

WASHINGTON, Nov. 1 — War in Iran. Gasoline rationing, at $5 a gallon. A military draft. A Chinese takeover of Taiwan. Double-digit inflation and unemployment. The draining of the Strategic Petroleum Reserve.

This is where current energy policy is leading us, according to a nightmare scenario played out

played out where, you might ask -- in a basement while mom fixes a snack and a group of 12 year old boys take turns with a joystick? Oil Shockwave...

as a policy-making exercise here on Thursday by a group of former top government officials.

Far into the future?
2009.

The ignition for the game was $150 a barrel oil.
Oil yesterday closed above $100. It had hit $100 but hadn't closed there before.

The factors in the game included sanctions against Iran, instability in Central Asia and the political situation in Venezuela. I don't know what the Story in central Asia is -- guess I should figure that out tomorrow.

The group was led by the national security adviser, played by Robert E. Rubin, secretary of the Treasury during much of the Clinton administration. At one point, weighing a variety of unpleasant options, Mr. Rubin said in near despair, “This wouldn’t be this big a problem if the political system a few years ago had dealt with these issues.”

Carol M. Browner, the Democratic former head of the Environmental Protection Agency who played the secretary of energy, chimed in, “Year in and year out, it has been difficult to get a serious energy policy.” She and others noted that previous Congresses failed to act on auto mileage standards, efficiency measures and steps to replace foreign sources of oil. Michael D. McCurry, President Clinton’s former press secretary, who played a senior counselor to the fictional new president, said that energy issues were barely discussed in the 2008 campaign.

I'm not sure what piece is so alarming -- the proximity of the panic date -- the extreme and yet entirely plausible circumstances -- or, more than all that, the fact that private companies and retired government officials are enacting awful scenarios simply to try to get some attention -- and that the answers over and over revolve, in the future, of someone saying no one did anything now.

In the game, now is foregone...

Thursday’s exercise, the organizers acknowledge, was a bit of a stunt to publicize the issues and nudge Congress and the presidential candidates.

A few minutes ago, my alarm went off. I was downstairs and it went off loudly with an annoying rock song and scared the life out of my 7 year old daughter who had climbed into my bed for protection. I wonder what the world will look like for her.

I wrote a a friend I was feeling vulnerable yesterday...

Vulnerablity is a funny thing -- we can feel it and strong at the same time -- regard and disregard concern at the same time.

He didn't answer.

I don't know -- maybe I want to give someone in Washington a pair of ruby slippers:
There's no place like now; there's no place like now; there's no place like now.

Sunday, February 17, 2008

Energyville

Well, I started out writing about a court case -- Environmental groups and local officials up in Alaska are suing to block the development up there -- and it looks like Shell has to wait for the court case to begin exploration on its lease of some 29 million acres of land... I may get back to this tomorrow -- in the meantime I've been playing a game...

Energyville.

I clicked on a paid advertising link on the New York Times article page and came across a very elaborate web site of the Chevron Corporation.

Energyville is a game where you (I) make energy decisions for the future of an imaginary city -- I didn't realize it was imaginary at first though; you put your own town's name in and it calls your city that name. I was really impressed until I noticed the plan and stats are the same for Cambridge and Dallas and Afdser. Energy levels, the site asserts for each city (2007-2015) are based on projected production patterns and lifestyles of prosperous countries in North America, Europe and Asia. There, factories consume/will consume 41.59 percent of the energy consumed; vehicles 19.83%; trucking and freight 9.05% airplanes 2.7%; single family homes 9.09%; apartment buildings 6.53% and commercial buildings 8.48%.

Anyway -- you go through the city and you substitute different energy sources for the current usages -- wind, solar, nuclear, coal hydro and bio fuels -- there are buttons for a few emerging energy sources -- but those options are unavailable because they haven't been discovered yet. The game supposedly tracks cost, environmental ramifications and security risks.

Not surprisingly, this game is an advertisement. After a few substitutions it tells you you need petroleum, and it makes sure to mention the problems with each alternative energy source along the way. I had never thought, for instance, of the issue of sea storms with off shore wind farms -- seem like black outs could conceivably go on for a little longer than usual... If you only load your city up with petroleum, on the other hand, it tells you that you need to work on diversification. Man cannot live on oil alone.

But what alarmed me most about inside of the game was the down play of the environmental effects of coal and nuclear power. The lead story in the Times today is about languishing nuclear waste sites -- waste hasn't been buried -- "The federal government is at least 20 years behind schedule on its obligation to bury nuclear waste." The addressing of our current state solely as a production and energy issue, and not as an environmental one seems to me the most damaging issue before us presently.

The other disheartening thing on this site was a link to the Kyoto Protocol. I spent some time reading some of the text of that agreement. I like the fact that I now have a PDF of the entire thing on my computer...

Elsewhere on the site, Chevron had a set of e-cards that was a print advertising campaign in the New Yorker:

large version of piece

large version of piece

large version of piece

Well, while I would certainly support us all going out and getting tandem bikes, driving a little slower, and downsizing out need for more more more, it seems to me that by offering this focus to consumers Chevron is saying one thing -- the need for larger changes are out of our control -- focus on what YOU can change and trust us to take care of the rest...

Since beginning this project I have made a lot of changes to my life - I've been quite happy about them, and keeping up with them to varying degrees. But I certainly don't think they are going to save the polar bears.

(As an aside I think someone needs to take a look at the health effects of florescent lights.)

Well -- I feel a little badly, but I'm not going to link the Chevron site here. If you really want to play it should be easy enough to find...

They also have a cool little counter on the front of the front of the page ala MacDonalds:
4.57 million gallons of oil were consumed during the writing of this post.

Saturday, February 16, 2008

Cross Sections

I've been meaning to get around to figuring out where the candidates stand on these issues -- though I have to say I've been somewhat removed from the whole election thing this time around -- as much as I feel it is an ultimately everything changing event that is about to happen.

Instead I have been reading a very interesting article from the Yale Climate Forum about why the environment and global warming are not an issue in this election.

A Gallup Poll in November had asked Americans to list the top ten issues that were most important to them - and environmental issues ranked 10th.

In its analysis, Gallup wrote:

"On the prominent global warming issue, most Americans take it seriously as a problem. At the same time, only about 4 in 10 Americans believe that immediate, drastic action is needed to deal with global warming, and just 28 percent say there will be 'extreme' impact of global warming in 50 years if efforts to address the problem are not increased."

That, in a nutshell, may explain why the climate change issue has not received sustained attention by reporters and editorial writers covering the presidential election, or from the candidates themselves.

One of the major goals of this project was to begin to fill out a picture that we usually only glimpse in tiny pieces. To try to understand how different ideas cross -- cross sections of the newspaper, cross sections of society -- cross sections of our daily lives.

Because the globe's warming climate is driving long-term changes and many of them are incremental, the story is difficult and often tedious for the news media to track, said Richard Somerville, a climate scientist at the Scripps Institution of Oceanography and a coordinating lead author for the latest series of IPCC Reports.

Another report I've been reading this morning was a roundup of a number of different polls from around the country regarding issues of import for this election. In many of these polls the environment wasn't even an issue. Still the war in Iraq and the price of oil were consistently among the top issues weighing on people's minds. Hurricane relief, health care, homeland security.

All of these things, it seems to me, have oil at their core.

We are so fragmented in the information we obtain; we are so compartmentalized in the way we look at our lives. Moment to moment, task to task, thought to thought.

POLL:

"Now I'm going to read to you a list of issues that the U.S. Congress may address. Which one of the following issues do you think should be the top priority for the U.S. Congress to address: [see below]?" If "All": "If you absolutely had to choose, which one issue would you say should be the top priority?"





.



%


War in Iraq

26


Health care

13


Immigration

9


Economy/Jobs/Unemployment

9


Social Security/Medicare

8


Terrorism/Homeland security

8


Education

6


Gas prices

4


The actions of the executive branch/the President

3


The environment

1


All of the above (vol.)

13


Unsure

1

Lately I feel like I've been taking some liberties -- writing about coal once or twice -- writing about wildlife or the environment without specifically having oil itself as my topic. I've allowed this to enter in because I don't think that compartmentalizing works. Coal is an issue because of peak oil. The pending extinction of many animals is due to oil exploration, refining, burning. The fact that yesterday felt like spring -- that tornadoes and hurricanes are multiplying...

Oil.

My real fear in the election though is that it's about to get really ugly. I fear that whichever democrat wins is about to feel wrath the size of a sunami, and that when the American public sees either candidate in the lead of a white male vice president, they haven't a chance in an oil refinery of winning.

That when it comes down to it, people only think about what they see, what they are afraid of and what is easy -- the rest falls into the realms of forgotten.