Commodity sanctions doesn't work

in #energy2 years ago

Sanctions against Russia.

Blocking (Russian) energy travel to Europe has as a result sky-high prices, less production, no fertilizer production, and so on.

Russia sells less energy for more.

Yes, that's really stupid and shows politics don't understand supply and demand. It's ivory tower politics.

What would be the smarter way?

Dump the prices. Allow Russia to sell unlimited amounts of natural gas and oil.

Open all gates for the import.

In the meanwhile subventionize production around the world, From USA, Europe, Saudis.

Bring the production to levels nobody ever saw before.

Let petro companies Produce Oil and gas at a loss and governments pay the difference to swap the world market.

What would happen?

20$ a barrel oil and the cheapest natural gas we ever saw. Additional supply would nuke the markets.

Is like cutting Russia 80% of its profits with one hit. But because they need the money for war, they cant stop selling. Like an addict. Because they need it.

Would change the power profile massively. Would strength in the meanwhile western markets and economy to become more powerful in the meanwhile.

This would be the most powerful weapon to stop the war. It would also let all diplomatic channels open for talks.

I skip the part reviewing the current way. Because it's the most retard way to go, destroy Europe and send it to zero.

Free markets = human behavior = planable.

Devalue gas and oil would be the smartest play and absolute gigabrain.

And yes it would work 100%. There are a lot of examples why.

But the environment?

Yes Timmy in the last row, the environment?

Look Timmy,

Third world countries and Germany use coal now to power their energy demand. This is way dirtier than Oil or Gas.

Expensive oil and gas mean India and other second-world countries will use more coal. Because demand stays the same.

It shows the strategy chosen are very disconnected from the real world.

And no Timmy, that's not about the military and how weak Russia is, it's only about the commodity market and how it easily could be used as a stronger weapon as every tank.

Last words,

Be woke and go broke.

Sort:  

When you consider the "ideas" of policymakers, it's surprising that we even have what we have, in terms of structured society and economies.

Posted Using LeoFinance Beta

Don't use sense to suggest political solutions. You have to use greed and the slave owner mentality. They made us sign a big contract with Canada. Of all states in the world, CANADA. To import massive amounts of LNG AFTER 2025 .... 2 0 2 5 MAYBE, they have to build the infrastructure first now... makes 0 sense.

The last SPD Party Chieftain signed us to the russians

image.png

And the current now to ESG/Canada. Greet your new owner, good - now go back to work.

untitled.gif

image.png

untitled.gif

Haha Tenos has left this GIF in their portfolio! Funny! #nsfw

untitled.gif

The problem is most of them never worked and have no idea how stuff is made :D


The rewards earned on this comment will go directly to the people( @urun ) sharing the post on Twitter as long as they are registered with @poshtoken. Sign up at https://hiveposh.com.