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Very interesting. Do you have a source for this?

simonh 10y ago
The idea is that carbon fuel dependent industries, which is a lot of industries and infrastructure, have issued vast amounts of debt to fund investment and medium to long term expansion and operations. If the transition to e.g. electric vehicles and solar power generation happens rapidly many of those investments will become massive liabilities and the debt will go bad. This would also lead to a crash in oil prices, so only the cheapest producers would be viable, leaving the rest sitting there on huge oil production infrastructure rusting away, with even more bad debt it will never be able to repay. I'm not sure how likely/unlikely this is, but that's the theory. https://www.theguardian.com/environment/2014/mar/06/could-fossil-fuels-melt-the-global-economy-carbon-bubble https://www.theguardian.com/environment/2014/mar/06/could-fo...
- flippyhead 10y ago
  This does frighten me. It seems that a great example of one of the many risks of this kind of problem is Donald Trump or the like.
  - tjic 10y ago
    You're arguing that the problem with Donald Trump is that he's too green and/or too into creative destruction, and will cause the oil industry to implode? Hm.
    - klipt 10y ago
      No, I think the implication is that if oil workers lose their jobs, while Trump promises to "make oil great again" (he's certainly threatened to cut funding for green energy), oil workers might vote for Trump.
      - ConroyBumpus 10y ago
        There is a very high likelihood that this has already happened, and the voting will follow in the next day or so.
    - flippyhead 10y ago
      I meant only that when the structure of the economy changes to quickly, reactions like Donald Trump occur. If the US had been better about integrating all the people employed by manufacturing into the "new" economy I don't think they'd be so desperate for the kind change they think Donald Trump represents.
ThomPete 10y ago
http://www.bloomberg.com/news/articles/2016-10-18/batteries-may-trip-death-spiral-in-3-4-trillion-credit-market http://www.bloomberg.com/news/articles/2016-10-18/batteries-...

The idea is that carbon fuel dependent industries, which is a lot of industries and infrastructure, have issued vast amounts of debt to fund investment and medium to long term expansion and operations. If the transition to e.g. electric vehicles and solar power generation happens rapidly many of those investments will become massive liabilities and the debt will go bad. This would also lead to a crash in oil prices, so only the cheapest producers would be viable, leaving the rest sitting there on huge oil production infrastructure rusting away, with even more bad debt it will never be able to repay. I'm not sure how likely/unlikely this is, but that's the theory. https://www.theguardian.com/environment/2014/mar/06/could-fossil-fuels-melt-the-global-economy-carbon-bubble https://www.theguardian.com/environment/2014/mar/06/could-fo...

flippyhead 10y ago
This does frighten me. It seems that a great example of one of the many risks of this kind of problem is Donald Trump or the like.
- tjic 10y ago
  You're arguing that the problem with Donald Trump is that he's too green and/or too into creative destruction, and will cause the oil industry to implode? Hm.
  - klipt 10y ago
    No, I think the implication is that if oil workers lose their jobs, while Trump promises to "make oil great again" (he's certainly threatened to cut funding for green energy), oil workers might vote for Trump.
    - ConroyBumpus 10y ago
      There is a very high likelihood that this has already happened, and the voting will follow in the next day or so.
  - flippyhead 10y ago
    I meant only that when the structure of the economy changes to quickly, reactions like Donald Trump occur. If the US had been better about integrating all the people employed by manufacturing into the "new" economy I don't think they'd be so desperate for the kind change they think Donald Trump represents.

ThomPete 10y ago

http://www.bloomberg.com/news/articles/2016-10-18/batteries-may-trip-death-spiral-in-3-4-trillion-credit-market http://www.bloomberg.com/news/articles/2016-10-18/batteries-...