> With commodities, the way the academics talk about it, it's the
> clearing price—it's the price at which supply and demand come into
> balance. You're going to have enough coming to market to meet whatever
> demand there is, and that will be the price. Unfortunately, that price
> never existed because with open markets, prices fluctuate a lot. I
> know it's much higher than now because right now oil reserves around
> the world are declining at a fairly steady rate. At present rate of
> consumption and production, we won't have any oil in 20 years at any
> price. So I know it's got to be higher in order to bring out more
> supplies of energy and to reduce consumption of energy. What is that
> price? I don't know, but it's a lot higher than where it is now.

> Now that doesn't mean that oil can't go down by 50 percent next year.
> If suddenly the U.K. goes bankrupt, I promise you oil will go down by
> 50 percent next year, but if America bombs Iran, oil will go up by 100
> percent next year. So it depends, but over the next decade, the
> surprise is going to be how high the price of oil stays and how high
> it goes.

> Cheers,
> Josh Fullerwww.billionairebythirty.com