Have you noticed how oil prices are constantly one step ahead of the stock markets whenever they go up. You can take that as a warning that every time the market/economy improves, the cost of gas, food, and energy will go up, and drag things right back down again. You can watch the value of crude oil go up with every twitch in the market. That’s why it’s imperative that we change our energy sources immediately.
The moves planned in the stimulus bill and the budget will do something that should have been done decades ago. By retrofitting government buildings with green technology and providing incentives to private ventures, businesses and homeowners, this has the potential to vastly improve the renewable technologies, not only in efficiency, but in cost. Why? Because it provides a strong incentive to mass-produce these products, and it creates a highly competitive market.
A burst of economic rerouting that recreates the solar industry on a local basis will add an army of small businesses to economies both urban and rural. And it will provide higher paying jobs. This is an essential part of moving the US economy forward. Although most renewable energy projects are very expensive right now, that could change quite rapidly, especially if coupled with substantial credits for private projects by businesses and homeowners.
A surge in alternative energy sources over the next year could counter rising oil costs’ stranglehold on the economy. In my last entry, I blamed the insurance industries. Not all of them, but those that have taken advantage of consumers and small businesses, and engaged in risks well outside of their “actuarial” guidelines.
Looking back to just last year, however, our dependence on oil, and our failure to diversify energy sources on a massive scale over the last 3 decades, was the real catalyst in bringing the economy down like a house of cards. Sure, there were problems with sub-prime loans that would have to be dealt with. But, when gas and oil prices soared up to $4.00 a gallon, that was the straw that broke the camel’s back. Not only were most people saddled with unaffordable or substandard healthcare coverage that took thousands of dollars out of their pockets with each year they aged… Not only was the education of their children in jeopardy… Not only were their retirement savings disappearing at an alarming rate… And, at a time when salaries and wages had fallen substantially behind the cost of living. But now, the cost of commuting, groceries, electricity, travel and everything around them was rising dramatically, while their wages became stagnant or went down to save costs for business.
The energy catalyst caused a major retraction in the economy, which in turn resulted in job losses, and wage cuts, and ultimately sent the foreclosure rate racing towards disaster. To put it bluntly, it was like throwing gas on a worldwide tinderbox, and striking a match by raising energy prices at a blazing pace. So, as you can see, we can’t let companies, particularly those involved with insurance, go unregulated. And, we have to get oil out of the energy picture. It’s not only a danger to the environment, it’s a constant threat to a stable economy. Let’s go green everywhere possible.
