Supply and demand determine the price
However, there are two fundamentally different market types: Emerging markets where more demand lowers the price, limited markets where more demand increases the price.How much did a cell phone cost 20 years ago? The entire electronics industry, computers, mobile phones, photovoltaics are all emerging markets. The typical characteristic of an emerging market is 20% price reduction per doubling of the world market. 3 doublings halve the price.
From 1860 to 1893, the price of oil showed the characteristics of an emerging market. More demand led to falling prices. From 1893 to 1973 the oil market tended sideways. Mixed characteristics between up-and-coming and limited. From 1973 it is a limited market. More demand increases the price.
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Because this price dynamics on demand pressure in different market types is considered in economics and consequently also not in politics. In 1972 the book "The Limits to Growth" was published by the Club of Rome.
The reaction of economics to this should have been the 3 big questions:
What others ignore is a central theme of our policy. The Change of energy supply of products more demand more expensive on products more demand cheaper.
King Richard 3rd on the battlefield. His horse is killed. He urgently needs a horse. The supply of horses is catastrophically limited. Even when the price is increased to a kingdom, the offer remains at zero horses.