2010 Brings Great Hope for America as one of our Generals has just opened up a Third Front in the War on Terrorism in the Name of Capitalism and Independence.
The epic battle of good vs. evil rages on as it always has. Good always prevails in the long run but evil wins many battles and causes significant grief and suffering along the way. As the end of 2009 approaches it has clearly been a tough year on our country and our people. The financial crisis has inflicted significant damage that will take considerable time to heal. 2010 brings great hope for those that do not immerse themselves in panic and surrender to defeat. For you to understand this hope you must listen to the markets and pay close attention to macro forces at work. The Generals with significant power and influence are not always dressed in a uniform in charge of a great army as we are accustomed.
The media headlines just reported a failed terrorist attempt to blow up another plane. Hugo Chavez in the South once again is making waves with threats against companies. We are fighting two wars and as we enter the ninth year in Afghanistan all of thoughts are along the lines of another Vietnam and when the hell we are going to get out of this Hell Hole. Our military is doing great job but it is hard and we are losing young lives. I have clients that have lost children in this war. With all this crap and the media hyping the body count and what appears to be a standstill it is hard to find hope but hope is clearly present.
There is no question America is a killing machine when you line the enemy up in uniform and declare game on. We all understand that the two current wars are very different and the cost in conjunction with our financial crisis has cost us dearly. Where is the third front that I offer to you as Great Hope for 2010? Who has recently taken the reins of General?
We all know that America is dependent on foreign oil for its security and survival but do you know that the technology in Natural Gas in just the past three years alone has made America the Saudi Arabia of Natural Gas with a current 100 year supply domestically. Many people don’t really understand the consequences and opportunity of this recent development.
Rex Tillerson the CEO of Exxon Mobil has just given the command for America to open the third front and mobilize for war with the purchase of XTO Energy. This may not be evident today but the forces of capitalism with its unweilding power of creative destruction have been hereby commanded to mobilize and prepare for battle. This battle will not have the elements of lethal force like that of the mechanized infantry division Sadam’s troops fired on at night at the end of the Iraqi war in 2003. When the sun rose the battle field looked like Armageddon and Congress tried to court martial the commander in charge for overkill. America is soft because we are stuck with a bunch of pansies and fat losers in Congress. Theses are the same losers that allowed the lack of regulation and excessive leverage to wipe out the common equity of Fannie Mae & Freddie Mac and almost destroy our financial system. They would rather legislate the war and send our troops into battle with inferior rules of engagement like the ones currently in Afghanistan… “Don’t shoot until you’re shot at”. To me this is worrisome but friends of mine tell me that this is the way we wage war and this has always been the way.
The Generals of Capitalism do not have to play by the same rules of engagement. The new front in the war that will soon be opening against terrorism and in full support of our independence will also not be run by Congress. It will be run by the Generals of the free market emboldened by the power of technology, innovation, and investment. Some may think it’s early but they are wrong because the technology is in place. What is going to happen and how is this a third front?
In my view this is a third front and potentially the one that will be the most effective against oil rich terrorist sponsoring nations. If you follow Boone Pickens he will help you do the math. Recently he stated that if we just focused on converting our 6.5 million heavy diesel truck and heavy vehicles to natural gas over the short to intermediate term (5-10 years) we could reduce our dependence on foreign oil up to 15%. Now that doesn’t seem that significant, and ten years is a very long time ,but if you put this in conjunction with new nuclear, wind, and solar power initiatives you can visualize a pretty big dent in foreign oil demand.
The significance of such potential reduction in foreign oil demand has the potential to literally cut the legs out from beneath the terrorist funding sources. Take a country like Saudi Arabia. They don’t have an economy that innovates. They don’t have the human capital that a truly free democracy like our country spawns. When the oil revenues wane due to a 10%-15% hit to the top line demand it will quickly become an Econ 101 supply demand equation. The major funding sources of hatred and terrorism will become top heavy and wither. Look what happened last year when oil briefly dipped into the 30’s. There was a lot of nut holding going on I can assure you.
This will truly be a third front in the epic battle of good vs. evil. No blood has to be spilled here to achieve the ultimate goal of quashing terrorism and a significant move closer to energy independence and stability. Just think what the positive effects of this mobilization will have on our economy. The Generals will be all the major heads of the oil and gas companies and the capital for investment will rest upon the same foundation that caused our financial crisis… Wall Street. Capitalism’s creative destruction can also be good and we must respect Wall Street as part of our arsenal. Let’s hope congress doesn’t screw it up by preventing the proliferation of the newest technology that got us to this point. Its time for the military to continue it plight but now it’s also time for the raw capitalist engine of freedom, democracy to enter the fight in their support.
Rex Tillerson of Exxon Mobil has officially has set the mandate that Natural Gas will be a key component of our plight. Watch the rank and file of the energy business get on board. This is going to be an undertow that will not go unnoticed. Regardless of our troubles today we will rise to the challenge. The third front may very well prove to be remarkable and the most devastating to our collective enemies world wide. Don’t bet against capitalism. In spite of our troubles and the housing crisis I offer all those that take a moment to read and ponder Great Hope for 2010. All Hail Rex!
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GHunter
July 14th, 2010 at 5:43 pm
You gave great points here. I did some research on the subject and have found nearly all people agree with your blog.
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