Energy-Money Equilibrium II: Jenga Paradox

[Reverse Engineer]

I posted up Part II of Energy-Money Equilibrium: The Jenga Paradox on DD. More grist for the mill here.

In the first part of this series, I took a Big Picture view of how money comes
to be created from the resource base of a society, in the beginning Food. In
the Age of Oil, the money serves as a more direct Proxy for Energy in the form
of Fossil Fuels. This because food production is subsidiary to energy
production, since with copious avaialble energy copious food can be produced
through the Industrialized food apparatus. In this part, we will look at the
relationship as it evolved through to today between the Money and Energy, along
with its Military component.

The conversion of money into a proxy for the energy markets came about through
the mid-19th century with the monopolization of the Oil Industry by Standard
Oil. With the vast amount of Oil under its control, in order to then be able to
sell that Oil there needed to be a vast expansion of Credit issued to the
population to buy this Oil. This is why the Oil Biz and the Banking Biz are so
closely intertwined. Essentially, John D. Rockefeller of Standard Oil began
increasing Dollar Credit available so that then people would have Money
available to buy his Oil. The Oil at this time is priced very cheap relative to
the credit price of the money, and the expansion of the Ponzi begins….

Read More at the Doomstead Diner

https://www.doomsteaddiner.org/blog/2012/02/29/energy-money-equilibrium-ii-the-modern-era-and-the-jenga-paradox/

RE

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