Peak Oil is one of the issues that will play a substantial role in the economic and social conditions that will unfold in the years ahead. The worst of the oil supply crash will take place in the first year of the Bachmann Administration Period, but there are a number of precursor events that will no doubt unfold before the crash occurs. The oil supply crash will also play a major role in economic and living conditions on "Main Street" being comparable to the 1930s during the Bachmann Administration Period.
Some nations will feel the effects of Peak Oil sooner than others. A case of point here is the Keystone XL pipeline. Last week. the Obama Administration opted to kick the can down the road by delaying approval of the pipeline until 2013 or later after a massive outcry of protests from environmental groups. A few days later, Canadian oil companies shifted their focus to Asian markets after the project was delayed in the United States.
The United States consumes 19 million barrels of oil a day, far more than any other nation on the planet, with well over half the oil imported from oil producers. Canada is currently the largest supplier of oil to the United States, but the delay of the Keystone XL project will substantially change the picture.
With Canadian oil companies shifting their focus to Asian markets, an oil supply shortage will begin to develop in the United States with supply projected to decline by 3% a year for the remaining part of the Obama Administration Period, with oil supply (for the United States) projected to fall to around 17 million barrels a day in 2016. In 2017, the deflationary collapse of crude oil prices in the commodities market will result in Big Oil shutting down production of oil from tar sands, shale, and deep sea drilling, in order to protect their balance sheets -- which will cause a massive oil supply crash. It is well within the realm of possibility for the supply of oil to decline by 75% in 2017 as a result of the crash.
Peak Oil is just one of many issues that the western world will be dealing with during the worst part of "The Great Deflation". This is another contributing element of the larger "Crisis of the Western World" period associated with Grand Supercycle wave [IV].
In the aftermath of the oil supply crash, the economy is expected to become increasingly local as most motor vehicles are effectively taken off the road. Being able to buy and grow food local is going to be key to successfully surviving through the worst part of "The Great Deflation". Bartering is also expected to become widespread as well not only during the Bachmann Administration Period, but also through the "Green Technology Age" as well as people in "Main Street" struggle to adapt to the plutocratic environment during Supercycle wave (b) (2021 - 2042).