Ideology and Economics don't blend well.
Here's an epiphany: Iran will have no oil for export by 2014. How is this possible in a country with the world's third largest petroleum reserves?
The author of the following article makes a valid point - when your enemy is self-destructing, stand aside. It's a fascinating read on how the Iranian leadership's ideological policy fixations are ruining that country's economy. Combine this with an increasingly young and increasingly restive populaton and we could see the Mullah's ability to agitate the region severly hamstrung without the U.S. getting the least bit involved:
http://www.forbes.com/2007/07/05/iran-gasoline-rationing-pf-guru-ii-in_jm_0705soapbox_inl.html?partner=alerts
-Ico
posted by The Iconoclast @ 2:47 PM
2 Comments
2 Comments:
A couple of different thoughts on this post….
(1) On Iran and their Mullahs.
Seems like a little bit of a conundrum, without palatable solutions for our friends the Mullahs. They can’t possibly be attracting a lot of foreign investment, even if they were to amend their Constitution to allow foreign ownership. “Bomb Iran” returns 2.81MM hits in Google, and we even have Senators calling for it. And, of course, there is Israel, which in 1981 saved us from premature action in Iraq by bombing them. Who’d want to make capital investments in the path between Tel-Aviv and Tehran?
(2) On our own practices.
Is it possible that we cannot as a society take any lessons from this? The editors place a significant part of the blame on demand growth, to wit:
"Our survey suggests that Iran's petroleum sector is unlikely to attract investment sufficient to maintain oil exports. Maintaining exports would require foreign investment to increase when it appears to be declining. Other factors contributing to export decline are also intensifying. Demand growth for subsidized petroleum compounds from an ever-larger base. Growth rates for gasoline (11% to 12%), gas (9%) and electric power (7% to 8%) are especially problematic.”
Now, pass Universal Health Care legislation in the U.S. and re-read the paragraph as follows:
"Our survey suggests that the U.S.'s healthcare sector is unlikely to attract investment sufficient to keep up with demand. Maintaining supply would require foreign investment to increase when it appears to be declining. Other factors contributing to availability decline are also intensifying. Demand growth for subsidized healthcare compounds from an ever-larger base. Growth rates for unnecessary treatment (11% to 12%), tests (9%) and penile implants (7% to 8%) are especially problematic.”
Centerline, you should post more of your articles on the main board instead of as responses. They are very good...
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