Peak oil comes from high production costs and high prices. Already world oil prices are high enough to have caused US oil usage to peak back in Q1 2007 (over 6 years ago) and we are well below peak. Check out the charts and text at Mish Shedlock's blog.
Total distillates usage is at a level seen in 1998, and not much higher than 1996.
Gasoline usage is at a 2002 level. The drop from the peak year of 2007 is now 8.3%, quite dramatic.
Per capita declines are even greater since the US population is growing at almost 1% per year. So throw on another 6% per capita decline.
US median houshold income is 8% lower than 2007 peak. We can't have rising living standards when we are being priced out of oil usage by rising Asian demand and rising costs of oil extraction.
Stocks surpassed the nominal record set in 2007, while the last recorded real median US household income was 8% lower than its 2007 peak.
At most income percentiles incomes are down. Many Americans are partying like its 1995.
|Share |||By Randall Parker at 2013 April 20 07:24 PM|