31 Comments

higher taxes means higher inflation. higher interest rates mean higher federal debt payments means higher inflation. the death spiral has begun in earnest now. and higher inflation means higher gas prices, higher oil prices, and higher electricity prices. no need to own gold. just own oil......

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I had this idea part of the money could come from new sovereign debt but who in their right mind would buy German debt right now? I may be overestimating buyers' risk aversion levels, though.

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How is listening to an audio version faster than reading?

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Not necessarily faster but you can multi-task while listening.

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Lol, I don't buy the multi-tasking thing. But if it works for you....

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Yeah, it's not about speed. I know people who listen to audiobooks while they drive, for example. I watch TV shows while I do my fitness routine -- I don't give them my full attention but I like the noise and moving pictures as I lift my tiny weights. :D I guess that's the sort of multitasking Alastair is talking about.

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It may not be faster but, It’s difficult if not illegal to read when driving, if your WFH it’s not acceptable to ignore answering the phone or to interrupt the call because you want to read, it’s dangerous to weld by blacksmithing at the forge whilst reading, even gardening can be dangerous if you’re reading, running, jogging or carrying out physical exercise it’s difficult if you’re reading, and all of them doubly difficult if you want to make a comment like this one🤔

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Regarding recorded commentary in general, I have to say that I, and probably most people, can read a LOT faster than almost anyone can talk. Don't you find it so?

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Absolutely and this is precisely why it never occurred to me that not all people are readers above anything else, like me. Which, in turn, is why I am so grateful to that reader who suggested the idea. The advantage of a recording, as pointed out above, is you can listen to something and do something else at the same time, which can't work with reading. I have horrible auditory memory, which is why I don't often listen to podcasts, but judging by their massive popularity, a lot of people are, shockingly, not like me. :)

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I think it bears repeating that "Energiewende" translates to English as "The Morgenthau Plan."

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Irina - I think you’ve stumbled on the perfect verb that captures the quality of the European Commission’s and other European politicians’ thought processes - “thunk” - to produce a flat, dull, hollow sound.

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And combine it with the corruption of "thought" it's supposed to designate in that set phrase to demonstrate the level of intelligence we are dealing with.

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Modern monetary theory says all problems can be solved if there is enough money and it's up to the government to just make more. When money was still printed the tree huggers could protest the killing of trees for paper but with digital currency, only the carbon foot-print of computer electricity matter. The green activist class see nothing wrong with net zero value of currency if net zero electricity was used to create it.

The marvels of modern times. and modern thinking.

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Isn't that the way to ever-worse inflation and eventual collapse? And good luck to the activists thinking net-zero electricity could feed all the data centres in the world.

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I often get called into consult on substation designs for data centers. A medium size DC uses about 900,000 MWH per year. Enough electricity for 750,000 homes. There are hundreds of them in the US. For those who think we should use less power maybe shut them down?

Humans flourished for thousands of years without data centers.

Good question for the de-growthers, your phone, or the planet?

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I had heard they are a major "consumer" but what you say is more than major. That last bit I would like to use as a title for a future post, if you don't mind?

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Sure. Don’t mind at all. The average DC uses twice as much power as a large oil refinery. It is truly astounding. I worked on a huge one in Phoenix thatis 200 MW. The building is 1/2 mile long and 1/4 mile wide, three stories. I got inside for a quick peek before it went on line. Unbelievable.

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It will use 1.8 million MWH per year. Interesting story.

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WOW, this is a lot. Very interesting story.

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My grandson is an apprentice electrician, working on a data center for FB in central Oregon. I asked him how long he'd be on that job. He said, 'Oh, it will last for years. They keep adding more buildings, and even after completion, there's maintenance.'

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Doing audio is fine, but please don't ever omit the written version. I'm very hearing challenged and the only way I can stay up on things is by reading. With audio, missing a word here and there can mean missing the point of a whole sentence or even the whole story. Also, when reading, I can easily back up and re-read a sentence or two until the meaning has time to sink in. LOL Also, if I borrow a quote, I'll be sure to get it right if it's copied and pasted from written text. I don't want to misquote you!

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Oh, this is not going to happen, Al, don't worry. Writing is the only way I can lay out my thoughts with reasonable coherence, the audio is just a supplement for those who'd prefer it. I myself also much prefer reading. :)

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Irina, at what point will economies hit a wall? I have been expecting proper recessions to hit and exert reality on the political space, but it hasn't happened yet. I want to check my own dissonance- how can the UK for example post 0.2% growth, and Germany not be in absolute free fall?

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I have been wondering the same thing. I suspect that one, they manipulate the data or two, you and I underestimated them. It could also be a combination of the two. Things are definitely not going well in either the UK or Germany but let's no forget they are still among the top 10 economies globally. Perhaps it takes longer for such a big economy to go into a free fall than it would take some minor one like Bulgaria. and Germany IS in a recession, so everyone who predicted it was right, there's at least that. I have no idea what they'll be doing next year with that monstrous green budget, though.

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The Ford Lightening thing is hilarious. As well as being a truck it is supposed to be your backup generator for your house, feed the grid, tow your boat... etc. in truth it isn’t even a reliable car. Towing range is puny, and if you want to travel more than 150 miles the thing you should be towing is a trailer with a diesel generator on it.

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I really like the audio version. It is VERY helpful. Thank you.

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Great to hear it! It's my pleasure.

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If the goal is to reduce carbon emissions, why did Germany close their nuclear power plants and instead went the “green” route of burning wood as a renewable??

https://www.nytimes.com/interactive/2022/09/07/world/europe/eu-logging-wood-pellets.html

Big companies like BASF are winding down operations in Germany and permanently moving to China, citing “sluggish growth, high energy costs and over-regulation”.

https://www.euronews.com/next/2022/10/26/basf-results

You can’t have energy security and growth by dismantling your power system and manufacturing.

Good luck Germany, winter is coming...

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A lot of us have been asking that very same question. There hasn't been a rational answer so far.

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It has literally become a daily occurrence to read about another bond-headed decision by governments around the world regarding their efforts to achieve net-zero. Ontario showed the way politically when they completely removed the liberals from the government, so much so that the Liberal party doesn't even qualify, technically, as a party there. then they got going and created a nuclear plan. I suspect we are going to see a lot more green parties find themselves out of office and all of their hopes and dreams dismantled as people vote for life rather than the green view of degrowth and death.

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This is pleasantly surprising. Well done, Ontario! Hopefully, coming soon to a country near us all.

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