Tag Archives: oil spill

Swan Lake and Nutcrackers

2010 was a year where much of our attention and anxiety were held captive by the oil spill in the Gulf of Mexico. It was a sobering reminder of our dependence on fuels that support our lifestyle, commerce, defense, and essentials to life today. Moratoriums on deep water drilling ensued followed by hearings and probes into why it happened and who we need to blame and subsequently seek a means of exacting some comforting justice. It’s been months since the topic has had front page coverage, almost forgotten much like the devastation and impacts of Katrina, the earthquakes in Haiti, China, and Chile.

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Truth or Consequences?

I heard someone on the news use the term “oil tsunami” to describe the river of oil currently sweeping across the gulf and the devastation it is delivering to those in the water and on shores. It is an interesting analogy in imagery, but it misses the big point, this growing glob of pestilence was triggered by man, by many people making a whole bunch of choices and decisions. The complexities of how it began and the complexities on how it may one day end are still unraveling. The forces of nature that have been unleashed still defy our technology, techniques, and even our collective confidence. Sadly, it does illuminate a darker side, not new, about the economics of the process. Responsible economists articulate the importance of incorporating the impacts of externalities into decision making. What that means is that what we do can have an adverse impact that transfers the burden, costs, and consequences of dealing with the mess to someone else. In the broadest sense, the total costs of what we do are bigger than our accounted costs and subsequent prices we charge.

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A Gulf of Inconvenience

The oil well disaster events of the last weeks have been nothing short of ugly. In the background, the echoes of simplistic politicians ranting “Drill, baby, drill!” strike discordance with the fears and unavoidable harm playing out in the Gulf and spotlighted on the nightly news. Congressional hearings into the events are fraught with finger pointing at those called to testify and between those testifying with blame becoming the volleyball, destined to be set up, passed, and slammed until it hits a score.
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What If?

There may be a really big storm brewing. It may be a signal from a political barometer, or positioning, real outrage… not sure, but the thunder is increasing. The last few months have stoked the fires of outrage, anger, frustration, and deteriorating confidence from a public that may feel that they may have been too trusting.
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