Clark on peak oil. That’s right. Peak oil. At least he’s sticking to his sweet-spot academic subject…
The economy would withstand enormous increases in energy costs with modest damage because energy is even now so extravagantly cheap that most of it is squandered in uses of little value. Recently, I drove my 13-year-old son 230 miles round-trip from Davis to Chico, to play a 70-minute soccer game. Had every gallon of gas cost four hours of my wage, I am sure his team could have found opposition closer to home.
Actually, Clark has written a paper close this subject. I discussed it a while back. His argument in that paper is basically that the industrial revolution drove increases in demand for fossil fuels thus encouraging firms to develop new ways to discover and extract those fuels. Say’s Law in reverse, I guess.
(h/t CD and egghead)