In the 1970s, the developed states were shaken by oil shortages. Although largely artificial – the result of OPEC flexing its muscles, and later the Iran-Iraq war – the oil shocks briefly caused people to take seriously the prospect of running out of oil.
The shock was all the more profound because, with the earlier exception of the USA, all of the developed states had completed the transition of their economies from coal to oil during the unprecedented boom years 1953-1973. In Britain, for example, the national coal-powered rail network which might have mitigated the impact of the oil shocks had it followed Europe and been electrified was savagely cut in 1963. Instead, Britain followed America’s lead; building a new network of three-lane motorways and building a massive fleet of freight lorries to replace much of the rail freight. Read more…..
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Tom Donohue, U.S. chamber of commerce CEO, joins ‘Closing Bell’ to discuss the importance of economic stimulus, if a deal could come before the end of the year and what a Biden win could mean for the U.S. economy.