A new language was introduced in Washington when President Obama began his first term in office. For a time, it flummoxed his observers, including many Republicans, who were caught off-balance by the combination of the President’s soaring rhetoric and his Chicago-style politics.
The language is newspeak. Introduced by George Orwell, it is characterized by using familiar words and phrases in unfamiliar ways. In the President’s parlance, “fair” means skewering the upper middle-class and redistributing their wealth. "Necessary investments" are excuses to raise taxes and grow government.
Similar convoluted definitions exist in the President’s energy policy pronouncements. His “all-of-the-above” approach apparently means wasting precious federal revenues on failed renewable projects while bankrupting the coal industry and slapping new taxes and regulations on U.S. oil and natural gas producers.
Promoting renewables is hardly a new idea. President Jimmy Carter tried it in the 1970s when the Iranian Revolution and gasoline lines made America fearful of its dependence on foreign oil. Speaking to the nation in April 1977, he called the energy crisis the “moral equivalent of war” and said “we must prepare…permanent renewable energy sources” because “we are now running out of gas and oil.”
Although many in America apparently don’t remember that President Carter’s renewable energy investments were an expensive failure, his warning stuck in the American psyche. Today there are still countless Americans in denial about our ability to achieve North American energy independence in the near term.
The latest global energy projections from the U.S. Energy Information Administration (EIA) shatter the Carter-era myths. According to EIA, U.S. imports of foreign oil are plummeting and are expected to continue to fall in 2013 and 2014. Oil production in both OPEC and non-OPEC countries is expected to rise. New technologies, including hydraulic fracturing and horizontal drilling, are rapidly expanding U.S. oil and natural gas production, while improved vehicle fuel economy and other factors are likely to continue reducing demand for oil.
Hussman's Open Letter to the Fed; The Problem with Bubbles; Textbook Pre-Crash Bubble; Reflections on Not Chasing Bubbles; Integrity vs. Respect | Mike Shedlock