Excess Capacity
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Excess Capacity

George Bush pleads with OPEC to increase supply. It countered with little-to-no excess capacity due to peak demand.

The demand increase has been anticipated for literally a decade. In many cases, political economists warned of an increased demand and an organized restraint of supply over 30 years ago.

Are these captains of industry really that stupid that a 10-30 year learning curve is not long enough to organize and finance the means of supply?

No. The elite of industry and finance have spent their intelligence to fashion the tools, the organized technologies, the habilas, to maximize the profit with a false market legitimacy.

Reaganomics is a perfect example of a profit-maximizing organized technology, limiting supply and maintaining demand with huge budget deficits.

McCain says he is a Reagan conservative. Meaning what? We're going to put this fire out with gasoline? No, that won't be possible, because we can't afford to buy a scarce gallon of it!!

The lack of excess capacity is an organizational problem: a supply problem, not a demand problem. No. Demand has been destroyed significantly to increase the supply. Speculative demand is supporting the price and is being falsely argued as market fundamentals. It is a fraud. A lie!

Instead of being used to keep us out of foreclosure, the funds of private equity are being used to support commodities prices and deflate our economy, forcing foreclosures.

Fuel and food prices are being managed on the demand-side (deflation), not the supply-side (disinflation).

Understand that in the cartel world of oil production, excess capacity is a negotiable term that is a supply-side determinant. In the free world of an unconsolidated marketplace, excess capacity results in the negotiable terms of a market demand price, not the organized tyranny of a fixed determination of supply.

If you want to support the tools for your exploitation, vote Republican!

Very best wishes.

Reader Comments
  
well think about it
By NJ member May 12th 2008 at 8:39 pm EDT
why would they increase production? Supply and demand, and we are addicted, they are making more per barrel then before. More money for less work. Plus everyone knows the oil is going to run out at some time, maybe sooner then we think, if the produce more they will just run out sooner. The price will continue to rise.

Plus there is a lot of scientists that now say peak oil production was in 2002, which means the oil left in the earth is going to be in smaller pockets and tougher to produce, aka the flood of oil will become a trickle
  
Very good post...
By Betty Lou - Independent May 12th 2008 at 9:34 pm EDT
however, I will enterject...via your own words

"If you want to support the tools of your exploitation,"...stop voting for those who are backed by these very entities with their thousands of dollars to ensure a win in their favor.
  
a consideration
By My Vote May 13th 2008 at 1:13 am EDT
Add to the demand a nation (Iraq - formerly a producer) the size of California with all of its military vehicles sitting at idle. And an air force flying 24 hours a day.