Implied Dissent

Monday, May 24, 2004

Yeah me! Master Maestro!
Ever wondered about the fact that computers become more powerful all the time, but the power source is pretty shitty? Here you go.
I recently linked to a censorship story. It might not be entirely true. I guess we'll find out more in time.
Tyler Cowen from Marginal Revolution recently wrote about how the behavior of confuses him. He's wicked smaht, so I sent him my preliminary hypothesis with a bit of trepidation:
Wouldn't the Hotelling rule only apply when the end is in sight for oil supplies? Currently, there is far more oil in the metaphorical pipeline than we can use, even if provable reserves aren't immense. As such, oil prices pretty much just follow from cost of drilling, processing, etc. When we do reach the point where we can reasonably foresee an end to oil supplies, then we will see price behave more or less according to the model.
Does this have any merit?

Without really commenting on my hypothesis, he recommended the following link at Cafe Hayek. I think he's basically agreeing with me, but I'm not really sure. I also found this post there that's germane, and also seems to support my hypothesis.


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