Hi Giovanni, just a counterpoint to your comprehensive post above. My comments are in red.
Commence quote: There's several elements to this. It's such a big discussion that encompasses all our lives. Yes, indeed!
0. Cheap energy Cheap and easy energy is getting harder and harder to come by. Particularly when coal, gas and oil are demonised to the extent they are. As energy underpins everything in the economy, it leads into point 1.
1. Financial Against everything the backdrop of a failing fiat currency quietly bubbles away, eroding purchasing power and deepening inequality. Substantially increasing the cost of energy through enforced renewables in a fiat currency inflationary environment is a major issue, potentially leading to economic disaster. The younger generations are poorer in real terms than the older, even though they are more occupied with technology. But this does not make them happy and it leads into point 2.
2. Social issues Because things get harder, the division ramps up. The Government ensures that People take on identity politics and this just accelerates into extreme viewpoints with very few people being able to take a step back from their own viewpoints and think critically. This then impacts and hampers decision making processes along the entire chain. Leading into point 3.
3. Geopolitics and those attempting to fix it The previous points put those with the power to attempt to do something in a difficult dilemma because there are no easy solutions to these problems. Nor are they separated from their own biases, since they're still humans. So the choices being made are not always the most optimal and this circles back into point 2, because people often assume malicious intent when sometimes it's just the person(s) grappling with an issue well above their ability to solve. Absolutely no idea of what you are attempting to put forward here.
4. Outside actors seizing their chance If you were separate from the western system and saw a chance to increase your prosperity amidst a weakening system, you would take it. Many countries are doing just this. This further accelerates the previous points. Possible, I suppose, but you should identify the "many countries".
5. Negative mindset And the final point which all of the previous ones feed into is cultural negativity. I'm not talking about political views here, but rather a distinct trend to view the world in a very pessimistic light. Hopefully, all of the renewable nonsense will fade away, and we can get back to advancement and sustainability of the world's population, by way of cheap and accessible energy for all. When things are slowly declining it's easy to think this way, but it is a spiritual trap that ends up creating a self fulfilling prophecy. Feeding all the previous points in a nasty loop.
So I'll end this post with some positivity. Things are not as bad as they seem and the clean energy being proposed as a solution can lead to a number of fantastic outcomes for both the west and the world by fixing one of the core problems. What core problem? Certainly, clean, cheap and abundant energy is conceptually wonderful. Why are we hell-bent on shutting down cheap and abundant energy on a mistaken belief that carbon dioxide might cause average temperatures to increase by a degree or two per century? The initial investment is high and it's not "green" but once it's done and the infrastructure in place it will hopefully revert us to the start of the cycle like it was when we transitioned to oil en masse.
ARL is uniquely positioned to provide many of these materials and as individual investors we can benefit greatly from recognizing trends and having discussions with like minded individuals. The volatility from all these trends playing out (and there are more I have not mentioned here) leads to tremendous opportunity to make wealth on a scale not seen for 100 years.
ARL Price at posting:
59.5¢ Sentiment: Hold Disclosure: Held
(20min delay)
