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Energy is the key behind inflation. The West moved towards no more oil and gas and it's coming back to haunt it. That's an inflation component the Fed can't con
by alecco 4y ago
Energy is the key behind inflation. The West moved towards no more oil and gas and it's coming back to haunt it. That's an inflation component the Fed can't control.
It will take years to get some new nuclear plants and oil/gas rigs. And between the ESG nonsense and $0 prices in a lockdown, those are risky enterprises. Also there are price controls (in UK several energy companies collapsed last year [1]). Would you risk your money making a nuclear plant, an oil rig, a gas pipeline, that might get shut down or could become worthless? [2]
[0] Nov 16 2021 https://www.dw.com/en/german-agency-suspends-certification-for-nord-stream-2-pipeline/a-59833502 https://www.dw.com/en/german-agency-suspends-certification-f...
[1] Dec 21 2021
https://www.theguardian.com/business/2021/dec/01/zog-energy-becomes-25th-uk-supplier-to-go-bust-in-three-months https://www.theguardian.com/business/2021/dec/01/zog-energy-...
[2] May 13 2022 https://www.msn.com/en-xl/news/other/company-behind-nord-stream-2-granted-bankruptcy-extension/ar-AAXchwi https://www.msn.com/en-xl/news/other/company-behind-nord-str...