The Weekly Notes 2008

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Weekly Notes:

August 4, 2008

 

T. Boone Pickens:

I believe he is full of it, not oil, but poop. He is full of it just like the rest of those patch people. He recommends some of the patches that have already been tried or are being used. He calls it a new renewable energy network. Some of his ideas are good, but none of them is a real solution. It’s just a couple of warmed over patches for a worn out inner tube. Oil, the thing that was once a solution, has become a problem. That’s how life is. Yesterday’s solution is today’s problem. We need a new total solution, not a bunch of piecemeal patches for an old system. It is not just oil. Our entire energy delivery system is obsolete.

 

Tell me about windmills. I don’t know. Pickens says we can build a wind farm over several states that could produce 20% of America’s energy. It would cost, he guesses, about 1 trillion to build. That’s trillion with a T. It would cost another 200 billion to build the grid to carry it. I’m not sure I believe his numbers. Every huge project like that I have seen undertaken ends up costing 4 to 20 times the original estimate. Still, windmills are a good partial solution. They are not a complete solution.

 

He also advocates switching autos over to natural gas. He says it burns cleaner. That is true, but it still has a carbon footprint. It’s a partial solution that is still a dirty solution. It has the advantage that most of the gas we need would be produced in America rather than outer countries. I read his entire plan. Nowhere in that plan does he advocate or even suggest anything new. Both things in his plan, natural gas and windmills are already being implemented. That’s fine, but where is the complete solution? Where is the idea or device that will come into our century and do what oil did 100 years ago? We do not have one.

 

The idea is Pickens wants us to join in his plan. However, when you do that you should know that he has huge investments in the production of windmills and natural gas. He did not get to be a Texas millionaire by sharing his wealth with others. He intends to make money on these enterprises. I’m not convinced that anyone who partners with him will also make money. From reading about how he got so powerful, I get the feeling that getting in bed with him would be like putting a tarantula in your bed. He has a reputation for acquiring the assets of his partners.

 

With or without Pickens, many blowhards will say, we are too careless about our energy use. We could use a lot less. Sure, I answer and car owners are doing that now, not to save energy, but to save money. But, let us face it, that is just another way of hunkering down. Many people now are not doing many of the things they want and like to do, because they cannot afford it. I don’t think that is a solution. It is a capitulation. I use less energy than most people I know, but I don’t want to hunker down. Why should we? Why don’t we put our effort into solving the problems rather that finding ways to cut corners?

 

I do like the statistics Pickens reveals in his plan. We use ¼ of the world’s productions of Oil. We are spending 700 billion a year on foreign oil. He points out that is 4 times the cost of the misshapen fiasco in Iraq. Too much money is leaving this country and a large part of it is going to finance terrorism. That makes it eminently clear that we need to replace fossil fuel with some other low cost plentiful source. We can do that in two steps. The first step is a high performance emission free vehicle that does not rely on hydrocarbons to make it go. I am convinced we can do that now if we apply the effort. The second step is to discover an energy source that can deliver energy anywhere without the power grid and without using fossil fuel. Our government took funding away from fusion research long ago and we have never put it back.

 

While we are on Oil:

Exxon made almost 12 billion in the last three months. Are they embarrassed? Not at all! Here is the thing about oil. It costs a certain amount to get it out of the ground and that is the cost of the oil. When they sell it, anything over that extraction cost is pure profit and executive bonuses. When the price goes from 30 bucks to 150 bucks, the difference, 120 bucks is all profit. Whatever the traffic will bear is the reality. The law of supply and demand is the chant. Greed knows no limits.

 

Genetic Engineering:

On the news, they showed us the very first test-tube baby born in the US. She is a woman now and she looked very normal for an obese person. If almost all people her age were not obese, we might blame that on the test-tube. It could be a psychological effect I suppose. I can’t see any real objections to genetic engineering if It could eliminate some of our major diseases. It would be nice to look forward to a day when all babies born were born whole and health. For sure we can get silly about it. Some people seem to believe genetic engineering could make smarter people. That would only be true if we knew what caused smartness. We don’t, so trying it would not be genetic engineering, it would be Eugenics at its worst. Eugenics, don’t ask me look it up!

 

ABC News:

They pointed out what most people already know. The big tobacco firms are targeting children in emerging third world countries using tactics that have been criminalized in America. That is not news. What is news is that Bill Gates and someone else are trying to do something about it. I did not get the name of the second person. They went through it very fast, as though they were not sure of it. It was not clear from the report exactly what Gates and his partner are doing. Perhaps we will find out later. Going after big tobacco is the popular new sport in the year of our Gord 2008.

 

Payroll Tax:

It seems someone has discovered a huge breach in the IRS effort to collect taxes. According to this report, some employers have been deducting payroll tax from employees and pocketed the money rather than turning it in. How could this be? The IRS has the tax returns of those employees. The numbers did not add up. There is 58 billion bucks missing. Someone in IRS should go to prison. All of those employers should go to prison. Quit picking on little guys for honest mistakes in their returns IRS. Go after the real crooks.

 

Same Old, Same Old:

The political campaign, as they always do, has come down to Mr. Same old stuff Stodgy vs. Mr. Nothing new Hot Shot. Oh well, sigh! What did I expect?

 

Integrity:

Kellogg and the rest of the garbage food industry spent 1.6 billion last year marketing nonfoods to children. Was there ever any integrity in the marketing industry? Was there ever any integrity in American industry? When?

 

Comic Relief:

The boss of the Detroit Tigers was wearing his stupid hat this week. He traded the best catcher in the league for a relief pitcher. Is that a relief or what? His argument is that the catcher was getting old and his contract was about to end. It never occurred to him to offer a contract extension. Duh!

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