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Diaxde Volunteers

$100,000 per Barrel Oil

Please note that this is only an interesting thought experiment to illustrate the huge potential for oil’s price escalation.

Assumptions:

  1. Every percentage change of supply (while holding demand constant) or demand (while holding supply constant) results in roughly a 10 to 30 percent change in price. I heard that this tends to be the experience of long time commodities traders. Citation welcomed. But given that both the price elasticity of demand and supply for oil is very inelastic, this assumption sounds reasonable.

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When USSR Disintegration Meets Japan's Lost Decade

In one word – China.

The recent international media's reporting on suicides and labor unrest at the 400,000 employee Foxconn factory near Shenzhen got me thinking. Here are some gathered notes and musings:

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Newsflash

Russia is selling military equipment and technology to China that could help Beijing prepare an airborne invasion of Taiwan, according to an analysis of leaked Russian documents by a UK-based defense and security forum.

The Royal United Services Institute’s (RUSI) analysis is based on about 800 pages of documents, including contracts and lists of equipment to be supplied by Moscow to Beijing, from the Black Moon hacktivist group, which previously published some of the documents online. It does not identify its members, but describes itself in a manifesto as opposed to governments that carry out aggressive foreign policy.

The authors of the RUSI report shared some of the documents with The Associated Press and say they appear to be genuine, although parts of the documents might have been omitted or altered. AP is unable to independently verify their authenticity.