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Courtesy of Gordon B. Moody

From: NEN, Vol. 6, No. 9, May 1999, pp. 14-15.
New Energy News (NEN) copyright 1999 by Fusion Information Center, Inc.
COPYING NOT ALLOWED without written permission.

Courtesy of Gordon B. Moody

The following is a quote from Gordon Moody's editorial in the February 1999 issue of Global Energy Outlook:

"While the administration likes to take credit for the booming U.S. economy, increased productivity resulting from technology and low energy costs are the factors keeping inflation and interest rates at their lowest level in more than a decade. Unfortunately, neither the politicians nor the American Public recognize that the oil and gas industry cannot continue to provide low cost energy if they are losing billions of dollars." [It must take some real 'spin-doctoring' for certain groups to claim that the big oil industry is or has-been destroying the emergence of new-energy products. Ed.]

In this same issue of Global Energy Outlook are the following extracted tidbits:

The U.S. daily oil production is down (1998 compared with 1997) by 165,030 bbls per day.

U.S. tax rates are higher than anytime in this century except 1944 (during WW II).

The major oil companies had profit declines during 1998 4th Qtr. by 91 percent. The energy sector experienced losses of billions of dollars.

Federal taxes are 20.7 of entire economy now, compared to 19% during Korean War and 20.9% when the U.S. was fighting both Germany and Japan.

Between 1970 and 1980 the U.S. economy increased 122.4% while energy consumption has increased only 35.9%. Currently, the U.S. consumes 92.9 quadrillion BTUs (est. for 1999, an increase of 1.7% from 1998).

Oil and natural gas provide 2.3rds of U.S. energy and coal provides almost 1/4th.

U.S. major oil companies denied entry into Saudi Oil business. [That's good, the oil companies need to invest in new-energy projects. Ed.]

The seepage of oil from ocean-under-seabed sources is 100 times as much oil as comes from offshore oil exploration. The biggest threat to oil prices stems from the political unrest in the Middle East.

By 2020, the world will consume three times as much energy as it did in 1970.

U.S. gross domestic product grew 5.6% in 4th Qtr. of 1998. The smallest category is Basic Materials at $2.4 billion; Energy at $3.7 billion, and the top Financial Services at $22.36 billion.


Gordon B. Moody (Publisher / Editor) Global Energy Outlook, March 1999, vol 4, no 3.

The U.S. economy continues to surge upward. American consumers are spending nearly 100% of their after-tax incomes as if there were no tomorrow. With nothing left to spend, they are borrowing on the inflated values of their stocks. The U.S. trade deficit is at the highest level in history. All of the movement appears to be in one direction. Asia depends upon U.S. imports to consume 25% of its exports. With Latin America, the U.S. must import two-thirds of its export to keep them solvent. All of the forecasts call for the U.S. economy to continue its upward spiral, but that calls for American consumers to spend more when there's little left to spend. In 1992, Americans saved 5.7% of their income. Today, all savings are rolled-up into inflated stock prices. Robert J. Samuelson, noted economist, says the U.S. economy may be surfing in its own euphoria. Overpriced stocks cause consumers to overspend and businesses to overinvest. Sooner or later, the process will choke on itself. The after shocks worldwide will be disastrous.

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June 2, 1999.