Has Peak Oil Theory Peaked?

With over 150 books written on the subject of Peak Oil theory, you'd think it must be valid.

But what if all these books are part of a concerted effort to make you believe in the theory?

Having been a paid purveyor of the make-believe arts for many years, I'm starting to sense that the Peak Oil theory might have more in common with Al Gore than reality.

Yesterday the WSJ reported that Saudi Oil Reserves May Be 40% Overstated.

There's just one problem: this is old news, and crude oil told you so. It ended the day sideways.

Peak Oil is yet another example of otherwise brilliant people merely extrapolating the present, not realizing that life moves in cycles instead of straight lines.

Get a window seat the next time you fly. Look down. There are no straight lines in nature.

Likewise, demand does not move in a straight line. At present demand levels, yes, we could see oil supplies constrained.

But what if demand goes down? Way down?

There are no straight lines in the market, either.