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Showing posts with label ecofin. Show all posts
Showing posts with label ecofin. Show all posts

Tuesday, November 19, 2013

#BBC Acidic Oceans = Is Life on Venus Possible?




BBC News 
Acidic Oceans

Worst in 300 Million Years? 

 Read More Here



What is the greatest fear of all the threats that could shorten our existence on this planet - Acidic Oceans

Life began there and it is pervasive to the existence of all life support systems on the planet. Without it - our planet would become the same as Venus or Mars, having toxic atmospheres that cannot sustain any form of living creature on its surface.

The Oceans and Atmosphere are in a delicate marriage that depends on a balanced relationship amoung all their complex elements, loops and feedback systems. Should positive feedbacks of acidification begin to escalate in an exponential manner, then both the atmosphere and all forms of life are in a heap of trouble. All you have to imagine are the Oceans becoming massive acidic chemical pools covering seventy-five percent of the planet's surface. It is then easy to picture the devastating implications.

As the BBC article points out, there is growing evidence that changes are now occurring more rapidly than ever. Our concerns are many: Who is monitoring the changes? How accurate are the measures? What are the trends, and how do they forecast out? When do we reach the point of no return? Can the acidification be reversed? And many more.

Too many questions to answer - Right? But, without clear substantive answers we are all operating in the dark as to the possibility of a highly accelerated Ocean acidification occurring at virtually overnight exponential rates.


And you think the economy is a problem? Hmm. 


Dr Peter G Kinesa
November 19, 2013



Life on Venus? 


Great barrier reef







Saturday, October 26, 2013

HE GETS IT! #BernieSanders US Senator - Declared Nation's Hero

HE GETS IT!





"Global Warming is a Greater Threat than Al Qaeda"





US SENATOR
Bernie Sanders
Calls for War on Global Warming

Declared
National HER0 2013

Visit 
The Senator's Official Website 


Applause!, Applause! Why have we declared US Senator , Bernie Sanders, the American 2013 National Hero?

Because Senator Bernie Sanders, well  -  HE GETS IT! And if we also had an International 2013 Super Hero Award (Bigger than a Nobel Prize), we would award him that one too. And when he shows up to speak at our International Award Ceremonies next year, we want every one of you there to praise, celebrate and applaud the wisest, smartest and most forward-looking member of the US Senate in decades, if not centuries. When is 2016 anyway?

This prize comes because of Senator Sander's courage and leadership, by stating that Global Warming is an even greater threat to the United States of America, than Al Qaeda terrorists, or for that matter we add, any terrorist group. How right you are Mr Senator, Sir. Now let's see if the rest of your colleagues can follow your heroic historic call to arms. We are not holding our breath.

Let's not forget that the good Senator Sanders also represents the great and wise state of Vermont. A place where people are still plain folks, caring neighbors and warm friendly communities. A State and a people, who share a greater connection with nature's life and are not the disconnected zombies of hub-bub urban sprawl. And its stunning intoxicating scenery, challenges the best real estate in paradise,(Guess we kinda like Vermont, eh!). All this is reflected in the quality of leadership that these wise folks have chosen to represent their democratic interests. He Gets It!  

They say too, that the State of Vermont, is the home and founding state of good ole fashion common sense. Is there something in that Maple Syrup?  We could go on for hours singing high praises of these wonderful people, its scenery and down to earth values..Google's servers still aren't large enough yet.  But rather, we ask that you visit Senator Sander's official congressional website, that we have linked to above - hear the words straight from the horse's mouth. You will be amazed by how insightful, balanced and wise this guy actually is - he's the "lke" for our times!  

Then you will also see why he won the highly coveted American 2013 National HERO Award - HE GETS IT!  And so does the home of common sense, the beautiful state of Vermont - THEY GET IT!  

Remember keep thinking 2016, "I Like Bernie - HE GETS IT! 



Dr. Peter G. Kinesa
October 26, 2013


Vermont

Beautiful Common Sense

Where It All Began...



Vermont
   


Saturday, October 5, 2013

#BBC - Oceans Doomed?








Oceans Doomed?

IPSO Review Reports Decline
(BBC Article)
Read More Here

Here's another report that ties back the declining state of the Oceans to climate change, pollution, over-fishing and CO2 absorption, thus making the Oceans less alkaline and more acidic. Risking the extinction of the largest number of ocean species ever witnessed in human history. It is important to keep in mind that the health of the Oceans also impacts the speed of climate changes. They effectively feed on one another - serving to build into a rapid exponential decline in both systems that are critical to sustaining human enterprise. Fears are growing that the acidity of the Oceans is more rapid than expected, some even expect most will be acidic by the turn of this century.

Not good news!

So again, there are more and more signs that the environment is caving into the pressures of supporting ever-increasing economic activity. There may be a chance that the eco-systems are also set to continue declining, despite all efforts to immediately stop emissions and pollution. And as we know, that stoppage is not going to happen as long as we pursue endless economic and population growth. There is no sense of urgency, despite the traumatic consequences.

As a result, we can expect that natural forces will ultimately take matters into their own hands. There should be a fear that whatever occurs - could happen without much warning. Then all the urgency in the world cannot abate and remedy the deadly outcomes.

Dr Peter G Kinesa 
October 4, 2013        

Tuesday, October 1, 2013

Stephen Hawking Committee- Frightening Numbers!


Frightening!
A Possible Numerical Outlook

Doomsday: 1936


Gathering Storm: Events or Process? 

Recently, I was asked by a close colleague, if I was now much more concerned because Stephen Hawking and others have formed a group that would look into building plans for possible end of world events? "Wot me worry?" as I smirkingly replied  with my Alfred E. Neuman grin. Of course, my outlook is grave; but my deep concern was  the actual mandate and agenda that the Committee had undertaken. Quite simply, their focus is on the events that may cause civilization's collapse, or even extinction.rather than the multitude of human and related environment processes that are slowly leading us to Doomsday's stormy gates.

So, in the next few weeks I will be writing to Professor Hawking's at Cambridge, setting forth my serious concerns for tabling with the committee..As a part of my writing, I will include the following illustrative example relating to the "process" of physical management, consumption and exhaustion of world oil reserves. Spelling out the possible frightening outlooks that could result from this process.Outlooks, affecting not only the expected longevity of human civilization's form, but also its very existence. 

For indeed, there is a gathering storm - and it may be closer than we think?    

Dr Peter G Kinesa
October 1, 2013      



Frightening! – A Possible Numerical Outlook

Wot me worry? Here some are some quick hold-in-your-head, back-of- the-envelope numbers. And 750 million at risk - that's a little on the light side.

Assume all other threats are put on the back burner and we only have the two issues of oil (energy) and population (energy addicts) to deal with, and no other "black swans". 

The stakes are actually billions of lost lives by the end of the century (85+ years from now) when the "best" estimates have annual oil extraction running near 5 billion barrels annually (some estimates are as low as 1 billion annually) . That's 15% of today’s volumes which is enough to support about 1 billion folks at today's consumption standards.

Worse case is that the 1.2 trillion barrels in reserves today is set to run out in about 40 years, which "at best," results in the collapse of our current form of oil-dependent civilization. There are no known alternatives that are sufficient in energy supply to replace the cheap and convenient energy abundance provided by oil. 

Even if we stopped giving birth to any more children, at this very moment , lasting for the next forty years, then under this assumptive case we could only extend the life of the oil supplies by about 10 years. They still would be exhausted in 50 years. So the form of civilization we know would still come to an abrupt halt only ten years later. Oil exhaustion is certainly analogous to running the human body without blood. Ain't going to happen.   

Add to this, that the 330 million Americans on this planet who consume about 32 barrels per capita, while China and India's 3 billion people consume, at best, 2 barrels per capita. They have  3 billion combined people moving towards Western standards of oil consumption. So instead of the reported 32 billion we now consume globally, in 15 to 20 years the number could double to 64 billion. Oil exhaustion could, thus occur in just 25 to 30 years. Again, bringing the civilization form that we have grown accustomed to an end. Meaning to avoid a collapse before 2100 - a drastic reduction in oil (energy use) or consumption (population) is required in the next few years. Those numbers for both oil and population look to run somewhere in the order of billions because you cannot wait until a few years before the very end to change the key variables. 

Now if we put those back-burner threats and/or a few black swan events back into the mix, it is a virtual certainty that the current civilization form will not last past fifty years. And whatever civilization form does survive - the numbers are highly likely to be billions lower than today's population figures- making the possibility of complete extinction by 2100; a 50/50 bet in some minds. Moreover some form of de facto extinction could also occur much sooner, if in the worst case, oil exhaustion and its implications take effect in 25 years or less.

So wot me worry? Sure do ...  but these figures could also be overly optimistic for a number of reasons. (#1: OPEC overstates reserves?) And so what is about to unfold is the most horrific series of global events and circumstances ever experienced during our short planetary visit. The stakes are in the billions. Knowing this shoulders a responsibility, but it is one that we can do very little to change it seems, as the global inertia mentioned is too great.

For instance, what right would we have to tell China and India, or even Russia, to stop growing so that we can continue on our merry addictive energy consuming ways? What are the chances they'd agree? None and none. So when push comes to shove, major global conflicts are in the cards and remember they will not be using sticks and stones. Einstein said that would not be not the weapon of choice until the Fourth World War - ah, what does he know anyway?

If anyone thinks that oil exhaustion does not bring on major conflicts, note that both Syria and Egypt had just recently passed peak oil production, and also had rapidly growing populations too. They used their oil export revenues to pay for imported food stocks. The rest is headlines - hungry people get mad, and topple governments

Worries? Try this little "understatement' that was used once by a cherubic cigar-smoking character   - "There is a Gathering Storm.'  Things may be closer than we think! 

Of Kind Regards

Dr Peter G Kinesa
October 1, 2013  



Supporting Charts:  Peak Oil Syria and Egypt 

Syria

Egpyt


Thursday, September 26, 2013

Marc Faber's Highly-Unprofessional Know-It-All Interview

Marc Faber's Highly- Unprofessional Know-It-All Interview 
  Thai TV, September 20, 2013



Their Business Greats Tiger Team

There is little doubt the Marc has a fairly good grasp of the technical issues related to the global financial situatIon. Whether he is right or wrong is another matter. He conveys a strong sense of certitude with regard to his thoughts and opinions. Such an attitude should be expected from an investment promoter. 




The Fed is in a bind and there are signs that the QE program is faltering. As he points out, the ten year treasuries have risen from a low of about 1.5% a year ago, to almost to 3% today. As he says, "that's a 100% increase." Marc believes that the Fed will continue with its QE program with little; if any, tapering for some time, in an meager effort to hold down  low long-bond rates. By now, everyone is aware that a surge in these rates would be devastating to the global financial system and the overbought stock markets. We go along with his view.

He also makes reference to the absurdity of Keynesian and Neo-Keynesian (Turbocharged) economists - the latter apparently proposes fiscal deficits of $5 Trillion to resolve the US's economic problems. While we agree that such a move is unconscionable, Dr. Doom provides us with little insight into what remedies he would alternatively propose.


This lack of a deep understanding of the physical existential forces driving the world's economy is apparent in most of this interview. The very fact that Marc entirely discounts, any and all, participation or insights from academia, and concurrently holds business opinions and views, as the ultimate source of a monopolistic truth, speaks volumes as to the depth and objective quality of Marc's thinking, information, sources and analysis. This negativity further suggests a"know-it-all" attitude bias that tears apart the speaker's credibility, leading us to distrust the balance, integrity and substance of all else that was asserted. To be short, we were taken aback by the utter short-sightedness and arrogance of this remark and related thoughts.


This, of course, deepens our concern and skepticism about such pundits who operate with multiple narrow-minded agendas.  We would prefer a more open, professional approach to information, sources and thinking. Similar to the philosophical thoughts of Socrates: "the only true wisdom is in knowing that you know nothing." And maybe Abraham Lincoln's approach would also be useful to opening a wider discourse of opposing or alternative views for better decisions. Lincoln recognized that all of us have our limitations; so he sought the insights, company and advice of seven or eight folks smarter than himself. Hmm. Maybe even an academic or two?


Marc, we fully recognize and believe that you are entitled to your opinions regarding all these useless academics  - but then again, what do we know?


Dr Peter G Kinesa

September 26, 2013  


Our Humble Academic Bonehead Team   

              






  

Saturday, September 21, 2013

FIRST FINANCIAL INSIGHTS: CREDIT BUBBLE BIGGER THAN 2008

FIRST FINANCIAL INSIGHTS: CREDIT BUBBLE BIGGER THAN 2008
(Read More)

CREDIT BUBBLE BIGGER THAN 2008 (Also Read Recent "The Telegraph" Article )  How could credit circumstances be worse than 2008? Did we not le...

"Why would you ever trade government guaranteed bonds for highly-levered, riskier, de facto bank equity that poses as a debt instrument? Is there a smell of personal interest here?" 
International Bank Regulator - 2013

Did you ever wonder who was selling all those long treasury bonds to the Fed? Where was all that money going? Bonds? Investments? Bonuses?  Well, gleaning from the content, in both the FFI and The Telegraph articles, the money trail looks pretty clear. Here is what we make of it, in a nutshell.

Big Banks sell their bonds to the Fed, then take the proceeds and buy other Banks' debt, that may be converted to equity should the other Bank's ratio fall, say, below 10%. An event that is almost certain to occur once rates spike upwards and all the Banks have to mark to market monetary assets. Marked to market accounting of these assets is sure to result in write-offs that correspondingly affects each Bank's capital structures. These debt instruments are simply a clever way to inject capital into the banks, so that they remain solid even as the rest of us suffer when interest rates rise.


This is also what you call a "Country Club Bail-Out' that quietly escapes the attention and scrutiny of  the media, pundits, public and, of course, our brilliant politicians. So under the radar, Uncle Ben is shelling-out up to $85 Billion monthly, to shore up Banks prior to the much anticipated interest-rate driven write-offs - "without congressional authorization." Nice trick. What's worse? Even if you explained this simple shell game to those political wizards, sadly there is no guarantee they would show even a slight flicker of understanding. 

For the stability of the financial system this is, however, a good move and should avoid the recording of losses by Banks provided that the conversion price provides for an equal dollar for dollar exchange of securities. Afterwards though, the capital positions of these Banks could be exposed to market fluctuations - so it is still fraught with risk issues down the road.


Banksters should also be personally happy with this short-term bail-out insurance, provided to protect their loans, businesses and  huge bonus entitlements  Who loses? Well, in the end it's the taxpayers who are quietly bailing out the Banks, without anyone being the wiser simply because they are doing it ahead of time with an invisible financial wand. Real estate will also get clobbered, unless owners have hedged their positions; say, by shorting long bonds. And long-term the economy and future generations will get to pay the biggest price!    

Just clever, sneaky or magical finance? Or fraudulent tricks? Hmm.


Dr Peter G Kinesa

September 21, 2013  


The Real QE Magic... 
Is it DEBT or EQUITY? 


   

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