When I made the short study about finance and petroleum industries, my main point was to insist on the fact that regulation is much needed for this world. But it appeared that this study was bringing much evidence that money is energy. So I am going to make a shorter post on this particular subject out of the previous post.
Behind the answer ”money is energy”, the question is naturally ”what is money?”
A common answer is “time is money”. But, are you able to buy a travel in time with money? Are you able to buy more lifetime when you have a deadly disease? Not really. When speaking about “time is money”, one thinks that he can buy someone’s work to do his work, so that he has more free time. Or one can buy someone’s work to do more work and earn more money. Good, but what is bought here, is work and work is energy. Besides that, notice that the dimension of energy is proportional to the inverse of the square of time ([E=ML²/T²]). So even if I do not think that time is the best definition of money it is clear that energy, time and money are linked.
In fact, nowadays, people think about money as a mean to exchange goods. This mean is controlled by the government who decides of the value of money. This is called fiat money. But this does not sound to be the best definition of money. The best one - at least from my point of view - is the definition that was used during most of the short man kind history, that-is-to-say “money is price of gold”. In this case, money is called Commodity money.
We know that energy is mass (thanks Albert, E=mc²). So saying money is energy, or gold (mass) or oil (mass) is about the same. Moreover, money, like energy, can be exchanged, converted and transformed. Therefore, defining money as energy includes both definitions: money is something that can be exchanged for products, and the intrinsic value of money is gold.
If you look at the chart in the post about about profits in finance or petroleum industries, fiat money is represented by finance, whereas commodity money is represented by oil industry. The chart shows that oil industry is the biggest money generating industry. Seen the way the economy is working, the closer you are from money the more money you make. In this sense, the chart proves that the best definition of money is its definition as a commodity, and further in the analogy, as energy.
There was commodity money, there was fiat money, now is the time of “energy money”. And today, the best representation for (energy) money is petroleum. So, when a company is pumping free petroleum, it is exactly as if they were pumping free cash. Because petroleum exists in a limited quantity on Earth, because Earth belongs to all people, this cash belongs to all people, else why not make pay for oxygen while we are at it. So there are a bunch of people that are being stolen. I would not say the same about solar energy because it is not limited (at least the limit has not the same order of magnitude as for oil). So if one makes huge profits from selling solar energy, I would not call that stealing.
That being said, this asks the question of how to integrate the internal value of resources in the law of supply and demand? Well, I have no easy answer but if you have a decent proposal I would love to hear from you. And in this case you are probably a good candidate for a next Nobel Prize.
Remember, money is energy and equivalently, energy is money. With this in mind it is clear that in order to bring back order in this world governments need to regulate finance and energy. But essentially finance and energy are one and the same. Governments would not be able to regulate one without regulating the other. For instance the speculation on oil is made by the finance industry (and also by the petroleum companies themselves). So, to forbid speculation on petroleum, governments must act both on the finance industry and the petroleum industry.
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