(The opinions expressed in guest op-eds are those of the writer and do not necessarily represent the views of RedState.com.)
Manic Contrarian – September 14, 2022
You live by the nitwittery of believing there’s such a thing as “Russian oil,” and you’ll starve by the same nitwittery. Believe instead in something called “global energy.”
A consistent, unambiguously stated policy of a strong dollar will result in lower global energy, specifically oil.
This is a morally sound tradeoff, even if it comes at the expense of America’s domestic oil and gas industry. You can’t delink the cost of fossil fuels, specifically oil and natural gas, and the cost of global food production. Think fertilizer.
Sure, a weak dollar results in some cheaper American goods, making trade-deficit bugs happy. Still, it also results in more expensive global commodity prices resulting in higher inputs, including and especially in the agricultural sector. Think natural gas. That means higher food costs and, inevitably, when supply chains are disrupted, food shortages and global starvation. Not in Martha’s Vineyard; think Bangladesh, countries in Africa, and Latin America.
What’s better? a weak dollar, expensive oil, a few more jobs in the oil and gas sector, but more war revenues for Putin and Iran? Or a strong dollar, cheaper oil, fewer domestic jobs in the oil and gas sector, and lower global food prices resulting in less worldwide poverty and starvation?
A sound U.S. dollar policy is a moral and ethical policy for America and the rest of the industrialized and developing world and will result in more peace and prosperity.
Re-Throne King Dollar, the super-majors will explore, drill, and produce new oil supplies in countries where it’s cheaper. America’s independent wildcats will figure out how to compete in the global energy market as they typically do. We should aim for a global oil price in the $20-$35 range.
A strong dollar with low oil prices means lower overall energy and food costs, less poverty, especially in the developing world, and perhaps more importantly, less financial resources for tyrants and terrorists, resulting in fewer wars and rumors of wars, and fewer people freezing to death in the winter and sweltering to death in the summer…
Sanctioning “Russian oil” has not hurt Putin, nor did it stop him from continuing to wage war with Ukraine. Russian oil and gas revenues are up by more than 100% in the first six months of this year as the global energy sourced in Russia rerouted to other markets. Why? Because markets are going to market!
What has hurt Putin is nothing America or Europe has done to him, most especially the counter-productive sanctions on “his” oil. His arrogance, incompetence, and that of his Generals hurt him and continue to.
The Manic Contrarian is the former head of several heady groups, associations and organizations. His views are his and by necessity should represent of the views of every freedom and peace-loving American. Manic can be reached at: 805.990-2494.