DEVILS ADVOCATE - Shake my silver foundation please

[soupdragon]

The Russians also have their own large supply of oil, reputed to also be larger than Saudi Arabia, taken from a depth circa 12,000 mtr giving credence to oil of abiogenic origin and not plant/organic matter sourced.

The abiogenic hypothesis, very much out of favour with geoscience professionals.
Do you have a reference to these 12 Km producing oil wells, because at these depth its too hot and the oil will break down to tars.
A deep gas producer less of a problem.

12Km oil well could be a "along hole depth" vs. "vertical depth" confusion.

 

[boston]

The Russians also have their own large supply of oil, reputed to also be larger than Saudi Arabia, taken from a depth circa 12,000 mtr giving credence to oil of abiogenic origin and not plant/organic matter sourced.

The abiogenic hypothesis, very much out of favour with geoscience professionals.
Do you have a reference to these 12 Km producing oil wells, because at these depth its too hot and the oil will break down to tars.
A deep gas producer less of a problem.

12Km oil well could be a "along hole depth" vs. "vertical depth" confusion.

Isn't it always the way when looking for something, that you can't find exactly what your after!

http://rt.com/business/exxon-sakhalin-well-record-727/
http://www.deepwater.com/fw/main/ID...-Worlds-Deepest-Oil-and-Gas-Well-419C151.html
http://en.wikipedia.org/wiki/Deepwater_Horizon
http://www.azcentral.com/arizonarep...3/20090903biz-gulfoil0903.html?nclick_check=1
http://www.energyandcapital.com/articles/another-record-broken-by-the-oil-industry/2748

 

[Pirocco]

Yesterday I bought 125 gram silver as 90% junk, because it's better to buy when most are selling than when most are buying.
I must have missed this topic when silvers price was $35 some months ago.
Oh wait, the devils advocate hided in the bushes then.

 

[SilverBaron]

If money is borrowed into existence wouldn't that mean that there is no inflation if the borrowed money was paid back.

If we go by the definition that an increase in the money supply is inflation, and a decrease in the money supply is deflation, then lets think about this.

Government orders the RBA to print $1000 and then borrows it. The government would have $1000 in hand, but own $1100 (assuming 10% simple interest). The net gain is -$100. Isn't that a decrease in the money supply and hence deflation?

 

[AngloSaxon]

If money is borrowed into existence wouldn't that mean that there is no inflation if the borrowed money was paid back.

If we go by the definition that an increase in the money supply is inflation, and a decrease in the money supply is deflation, then lets think about this.

Government orders the RBA to print $1000 and then borrows it. The government would have $1000 in hand, but own $1100 (assuming 10% simple interest). The net gain is -$100. Isn't that a decrease in the money supply and hence deflation?

Then add in the currency leant from central banks to commercial banks who create more through fractional reserve banking and hey presto, more currency.