Because most system are run on a “just in time” model of logistics that means you dont store enough stock to cover emergencies, because storing extra stock costs money and may depriciate in value. So instead you get only the exact amount you need, when you need it.
Since every system is basicslly optomized to this cutthroat, zero reduancy way, we cant really just “take the hit” when 20% of oil/food/etc disapears overnight. It would be like telling people to “just eat 20% less” or " just drive 20% less." Both good advive, but we are creatures of habit that build routines around systems, so when someone fucks a system over, it causes rippling chaos. So what happens when 20% of a daily resource goes away in our global, market economy? All prices go up up! Then people have to break habits, and/or start breaking politicians. Well, we are in stage 1 and barely in the bad polling/protest stage of 2.
There are minimal buffers, regardless of the part of the cycle. Crude may need to be refined, but its just enough crude to refine just enough into gasoline just in time.
Even the “strategic reserves” that they released cant meet the demands beause those systems cant process the cached oil fast enough either. The US can only process something like 1 million barrels reserve/day, so its not comperable to a 15 million barrell/day disruption either.
Even the “safety system” cant keep up because Its just cut corners all the way down.
Because most system are run on a “just in time” model of logistics that means you dont store enough stock to cover emergencies, because storing extra stock costs money and may depriciate in value. So instead you get only the exact amount you need, when you need it.
Since every system is basicslly optomized to this cutthroat, zero reduancy way, we cant really just “take the hit” when 20% of oil/food/etc disapears overnight. It would be like telling people to “just eat 20% less” or " just drive 20% less." Both good advive, but we are creatures of habit that build routines around systems, so when someone fucks a system over, it causes rippling chaos. So what happens when 20% of a daily resource goes away in our global, market economy? All prices go up up! Then people have to break habits, and/or start breaking politicians. Well, we are in stage 1 and barely in the bad polling/protest stage of 2.
I don’t think oil is just in time, especially since most oil sailing the seas is crude and needs refining.
Car parts sure, oil, don’t think so.
There are minimal buffers, regardless of the part of the cycle. Crude may need to be refined, but its just enough crude to refine just enough into gasoline just in time.
Even the “strategic reserves” that they released cant meet the demands beause those systems cant process the cached oil fast enough either. The US can only process something like 1 million barrels reserve/day, so its not comperable to a 15 million barrell/day disruption either.
Even the “safety system” cant keep up because Its just cut corners all the way down.