The same person who accurately projected a peak in US oil production is the same person who projected a world peak in oil production. He predicted it back in 1956, that it would occur in 1970. Sure enough, we switched gears, and took on foreign oil.
He initially projected a peak oil in world production in the Mid 90’s, but there was a surge in price which dropped the amount of sales, and was determined to offset that peak by about 10–15 years.
http://en.wikipedia.org/wiki/Peak_oil
If you look at the chart, you may say, well we have quite some time until oil completely runs out. But that isn’t the real problem. The problem is, when supply is low, price gets jacked up. Every aspect of our life relies on oil in some regard. All the plastics we buy, anything manufactured. An average meal travels nearly 1500 miles before you eat it. It will literally change every aspect of our lives. We will have hyperinflation of every type of product out there.
You might say…. oh well, Hydrogen can fuel our cars. And that is true, but Hydrogen does not replace oil, because Hydrogen isn’t a source of fuel, it’s a source of energy storage, which requires another exchange to be created.
You might say…. Nuclear has to be the way to go… if only it wasn’t so expensive, took about 10 years to build, and weren’t so many things (politically, environmentalists, etc) preventing any from being built.
You might say…. well, we can use Ethanol. Wrong, the ROI is way off, you expend way too much fuel to even create it, and it becomes a negative return, not to mention we don’t even have the land large enough
You might say… Well, combining all forms of renewable sources of energy can offset this whole oil thing. Also wrong. Even if it were possible to offset the power consumption problem. We still have an entire infrastructure based on using oil as an essential component. Which, sure maybe oil can be replaced in that process, but that switch will not happen over night.
We are going to turn into a self sustaining community, just like Cuba did after USSR failed, and stopped supplying Cuba the oil they needed.
I see a collapse of Capitalism sadly, and I honestly think life is going to change back to a much simpler life style. Growing our own food, living off the land, purchasing some solar panels to power the few necessities that require it, etc.