Terrorist Gasoline

Every time I see the price of oil (and the price of Gas) go up, there is only one thought that comes to mind:

The increase in terrorism.

It wasn’t that long ago when the price of oil hovered at, or below, $17 a barrel. It is now more than a HUNDRED dollars a barrel.

Have you noticed how the threat of war and terrorism has increased as the price of oil increased?

I have.

It was oil money that gave bin Laden the ability to murder several thousand people and ruin the lives of millions of others. It was oil money that gave the PLO the ability to make terrorism truly international. It’s oil money that is building nuclear weapons in Iran. It’s oil money that is funding the expansion of the Russian empire.

When oil was below $20/barrel Islamic countries just didn’t have the money to fund terrorism. In fact, economists were saying that Arab countries were economically non-viable when oil was priced below $17/barrel. And, you may not have noticed, but when oil was below $17 a barrel, Arabs were prepared to make peace.

Then came economic prosperity and the SUV. Then came the war in Iraq. Then came the rise of China’s economy, and the legitimate rise of its very own demand for oil.

Before you start thinking that there’s some grand conspiracy to make the price of oil high… there isn’t. Oh, they’ll fiddle on the margins, but generally speaking it’s all about supply and demand. Too many people want oil, and there’s not enough of it to go around. Really.

And, when Muslims get rich they like to give to religious institutions like the Muslim Brotherhood, Hamas, Hizbullah, and yes… Al Qaeda.

And, when people like Al Qaeda get money, you know how they’ll use it.

It’s all about the money.

10 thoughts on “Terrorist Gasoline

  1. I remember when it was three dollars a barrel.
    Hopefully these hybrid SUVs and gasoline alternatives will become
    practical and available soon. So, all you mean Republicans, environmental people are pretty darned smart.
    I don’t think Americans are ready to transition into public transportation just yet
    Yep, it’s hard to pay the bills without money….
    guess what TEDDERS!!!
    I got a new job..get this…I work with **normal** people now-Engineers:):)
    I would have told you earlier, but didn’t want to take away from
    Mr. Littles Big announcement:):)
    I’m guessing his future wife doesn’t want us talking about her anyway:)
    Hey, where’s SP? Lots of prayers, Angel
    Okay, promise to stay on topic from now on..I just had to share:):):)

  2. Dear John,

    It’s the BUT-lady again ^^
    I liked your remarks on oil money / gas price and terrorism and I am sure there is some truth in that. BUT (*g*) what you also have to take into account is, that terrorism is a surprisingly cheap busyness. Not cheap in human “ressources” but those aren’t costy in the middle east, so who cares?

    Need some examples? I can even bring the sources along (aren’t I a fine drilled humantities scientist? ;) ):
    According to both the Jerusalem Post and a gentleman from Austria’s military academy on “peace and confilict sciences” the 9/11 attacks cost Al’quaida about 100’000 USD. All included. Flight lessons. Personell … and according to JPost a random terror attack on Isareli civilans costs about 100 – 200 USD. That’s absolute peanuts! You don’t need oil money to finance that. Really.

    so that’s my 5 Cents for today ^_^

    the BUT-Lady ;)

  3. “I got a new job..get this…I work with **normal** people now-Engineers:):)”

    Yipeeeee, Horaaaaaah and a big Wooooohoooooo!!!

    That’s good, gainful employment does wonders for your outlook on life! But I must respond to your **normal** comment, I have been and worked with many many engineers and have yet to meet a single NORMAL one yet!! But I mean that in a good way!!!

    Back to John’s post, there is no oil crisis as far as supply of oil goes, we can now harvest oil reserves we never thought we could. We have discovered more new oil reserves in the last ten years that are accessible now than ever imagined before. In the history of human oil use we have used about 1 trillion barrels of oil, the Venezuelan Orinoco heavy oil belt alone is estimated to contain from one to four trillion (with a “T”) barrels of oil. New fields will continue to be discovered and the technologies needed to harvest them. The world will eventually run out of oil but not in our life time, There are hundreds of years left of oil supply. Where there is a bottle neck is in the ability to refine oil, there hasn’t been a refinery built in the US in over 30 years! That’s insane if you ask me. When OPEC wants to keep oil prices high and there is no method for refining any more supply, the prices go up. They need to drill off shore in Florida, California and the middle of Alaska and build a reserve in refining capacity. There’s plenty of money in the industry to make sure the environment is kept clean. New massive reserves are being discovered every day in China, Brazil, Albania. The problem is that the vast majority of the world’s remaining oil reserves are not possessed by private enterprises. Seventy-seven percent of known reserves belong to government-owned companies. That means oil will be produced with all the efficiency associated with central planning. The panic is more a political act than anything else. If ChevronTexaco, ExxonMobil, or other private companies actually owned the reserves, the world would be in a much more secure position with regard to oil production. Instead, we are subject to the whims of figures like Chavez, Russia’s Vladimir Putin, and Iran’s Mahmoud Ahmadinejad, and must worry about the doubtful stability of their personalities and regimes. In the mid-1990s, the world had more than 10 million barrels per day of spare production capacity. That figure has fallen to between 1 and 2 million barrels, which means that any significant disruption in supplies can cause prices to soar. Just like OPEC planned it!




  4. Hey Magda!

    You raise a good point. However, the Al Qaida operation on 9/11 is unique for its low cost. But, even Al Qaida has a pretty hefty operational budget, and we also don’t see how many times they try something like 9/11 and fail.

    Remember, that newspapers love to ‘sensationalize’. The shock of how cheap it is to kill people sells advertising space. What the newspapers DON’T tell you is the infrastructure costs incured by Hamas – and the cost of supporting the terrorist’s family, which is often the chief reason why the terrorism is perpetrated in the first place.

    Those who specialize in counter-terrorist ops have consistantly said that if you cut off the money, you stop the terrorism. It’s the chief reason why the PLO came to ‘make peace’ with Israel in the first place.

    They’d run out of money.

    Thanks for your comment Magda!

    – John

  5. My earliest memories of low gas prices was when I was about ten years old. My dad gave me a shinny new fifty cent piece to go buy a gallon of gas for the lawn mower. I had enough left over to buy a candy bar.

    I agree with Anna in hoping that alternative fuels and vehicles will soon be available and within reasonable price. Also… congratulations on the new job Anna!!!

    As for Magda, I don’t know enough about you to comment on your but… okay so it was cheap guy humor but you just left it out there so I had to… Seriously, you make a good point. A lot of money is not needed to make terrorist what they are however, to John’s point, they ARE getting large sums of money from the old “supply and demand” oil machine which countries like China and India are now fueling.

    Congratulations again John! Thanks for the lift today as well as your loyal friendship.


  6. Hey Tedders!

    You are absolutely right. Our lack of refining capacity is nothing short of criminal. This bottleneck alone makes us insanely vulnerable.

    However, there is one point to remind ourselves with. Yes, there is a lot of oil out there, but most of it is pretty expensive to get out of the ground.

    Of course, at 100 dollars a barrel…

    Thanks for the comment Tedders!

    And Arch?

    I’m glad that I was there to drive.

    Here’s hoping that Greta can help you get back onto the golf course soon!

    – John

  7. “As for Magda, I don’t know enough about you to comment on your but…”

    That was my initial thought as well..must be a girl thing:)
    However, I didn’t feel the need to say anything:):):)

  8. LOL!
    “As for Magda, I don’t know enough about you to comment on your but…”

    That was my initial thought as well..must be a girl thing:)
    However, I didn’t feel the need to say anything:):):)

  9. Dear John,
    Thank you for creating such a safe, kind, respectful blog
    I’ve already met some good, brilliant people here.
    AND I have really learned so much.
    Thank you for censoring the mean nasty wierdos:):)

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