There’s a Dangerous Bubble in the Fossil-Fuel Economy, and the Trump Administration Is Making It Worse…
“In reversing many of Obama’s keystone climate and environmental policies, Pruitt and Trump are conveniently ignoring these market signals in order to help out the fossil-fuel millionaires and billionaires who put them in office. Their actions could have disastrous consequences, not only for the climate but also for the global economy.”
Where are the economists on this? Oh, right — talking about tax cuts and Fed rate hikes. Using Economist’s View as my sample, I found no links whose title indicated it was about the stranded assets carbon bubble in the two weeks following publication of the above article by Carolyn Kormann in the New Yorker on October 19th. Zero.
I actually think that Kormann is unduly optimistic in her analysis. My suspicion is that there was already a massive carbon bubble prior to the 2016 election that was being wound down excruciatingly slowly. The election of the coal-guzzling orange groper stopped that winding-down in its tracks and ushered in a fossil-fueled feeding frenzy at The Last Chance Texaco.
And where are the economists?
PGL and Barkley Rosser comment over at Econospeak http://econospeak.blogspot.com
Been a staple since the 70’s: “We only have _____ years of oil/gas left”… (that’s known and recoverable oil). What there is not ____ years of left is human ingenuity. We keep finding new deposits and new ways to extract them, without fail. Go ahead and short this at your own peril. The markets aren’t.