{"id":366,"date":"2012-05-09T20:02:32","date_gmt":"2012-05-10T01:02:32","guid":{"rendered":"https:\/\/allenergyconsulting.com\/blog\/?p=366"},"modified":"2012-05-09T20:37:30","modified_gmt":"2012-05-10T01:37:30","slug":"to-be-right-now-and-be-praised-or-to-be-right-in-the-long-run-and-be-hated","status":"publish","type":"post","link":"https:\/\/allenergyconsulting.com\/blog\/2012\/05\/09\/to-be-right-now-and-be-praised-or-to-be-right-in-the-long-run-and-be-hated\/","title":{"rendered":"To be right now and be praised or to be right in the long run and be hated"},"content":{"rendered":"

I did want to write about the energy space since there is much to discuss, but this issue has been nagging me.\u00a0\u00a0 Recently I came across an <\/span>article on Zerohedge on a presentation focused on the \u201cDeficits don\u2019t matter\u201d.<\/span><\/a>\u00a0\u00a0 Then I keep on recalling <\/span><\/span>Henry Blodgets article on Business Insider saying Keynes was right<\/span><\/a>.<\/span><\/span><\/p>\n

Both articles highlight my title: \u201cTo be right now and be praised or to be right in the long run and be hated.\u201d\u00a0\u00a0 This reminds me of the <\/span>Greek tale of Cassandra<\/span><\/a>.\u00a0 I think most will likely go with the first.\u00a0 There is no doubt a stimulus now will always feel better now.\u00a0 Deficits don\u2019t matter can be rephrased \u2013 \u201cIf you can live on credit why not?\u201d\u00a0\u00a0 I don\u2019t think the deficit hawks would say the economy would blow up in the next few years if we did significant monetary printing now.\u00a0\u00a0 The next few years will no doubt feel and be better with the printing press on.\u00a0 It\u2019s a question of the extent and when and who should pay the bill.\u00a0 I can agree with Paul Krugman that an avoidance of a depression may be worthy of printing in order to have a slower economy later.\u00a0 However, I am agreeing as a selfish individual.\u00a0\u00a0 Clearly the statement is concluding – there is growth to be taken from the future to get by now.\u00a0\u00a0 By following this recipe does the culprit of the wasteful spending ever get taught a lesson or are we creating another moral hazard.\u00a0 Poor capital allocation is okay because it will be supported by more spending and will be supported by future potential growth.<\/span><\/span><\/p>\n

Time for an analogy:\u00a0\u00a0 Since your child will be a doctor in the future, one can just rack up loans and live the good life because in the future your child will help you with your loans.\u00a0\u00a0 At some level the child does owe some of it to you, but you are clearly requiring him\/her to live less of lifestyle as they could have.\u00a0 Is this the path we are on?<\/span><\/span><\/p>\n

So I throw caution to those praising our stimulus promoters and marching the victory parade.\u00a0 The victory parade can be made for a few, but it won\u2019t likely be a parade 20 years from now.\u00a0\u00a0 Optimistically, I believe the future generation will and can carry the weight, I just hope we don\u2019t pile it on too high to the point Atlas will shrug.<\/span><\/span><\/p>\n

We positively and evocatively challenge the current thinking involving any aspect of energy use. We look for projects that offer meaningful, transformative, with impactful outcome to the marketplace or society.<\/span><\/p>\n

Independent analysis and opinions without a bias right is what we offer to our clients. Please consider and contact All Energy Consulting for your consulting needs.<\/span><\/p>\n

Your Energy Consultant,<\/span><\/p>\n

\u00a0<\/span><\/p>\n

David K. Bellman<\/span><\/a><\/p>\n

614-356-0484<\/p>\n","protected":false},"excerpt":{"rendered":"

I did want to write about the energy space since there is much to discuss, but this issue has been nagging me.\u00a0\u00a0 Recently I came across an article on Zerohedge on a presentation focused on the \u201cDeficits don\u2019t matter\u201d.\u00a0\u00a0 Then I keep on recalling Henry Blodgets article on Business Insider saying Keynes was right. Both […]<\/p>\n","protected":false},"author":1,"featured_media":35,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[141,138,34,139,140],"class_list":["post-366","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-market-insights","tag-austerity","tag-deficit","tag-economy","tag-keynes","tag-krugman"],"_links":{"self":[{"href":"https:\/\/allenergyconsulting.com\/blog\/wp-json\/wp\/v2\/posts\/366","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/allenergyconsulting.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/allenergyconsulting.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/allenergyconsulting.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/allenergyconsulting.com\/blog\/wp-json\/wp\/v2\/comments?post=366"}],"version-history":[{"count":5,"href":"https:\/\/allenergyconsulting.com\/blog\/wp-json\/wp\/v2\/posts\/366\/revisions"}],"predecessor-version":[{"id":369,"href":"https:\/\/allenergyconsulting.com\/blog\/wp-json\/wp\/v2\/posts\/366\/revisions\/369"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/allenergyconsulting.com\/blog\/wp-json\/wp\/v2\/media\/35"}],"wp:attachment":[{"href":"https:\/\/allenergyconsulting.com\/blog\/wp-json\/wp\/v2\/media?parent=366"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/allenergyconsulting.com\/blog\/wp-json\/wp\/v2\/categories?post=366"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/allenergyconsulting.com\/blog\/wp-json\/wp\/v2\/tags?post=366"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}