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 You are in : Peak conventional oil and abundant renewable energy
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Specialists say expensive oil is here to stay and it will 'break economies'
( e.g. Former BP geologist: peak oil is here and it will 'break economies' )

What do they mean?

Our global economies and societies ( 7.2 billion persons ) developed this dar only because of cheap fossil fuels.

There will be no cheap fossil fuels any more ( 2008 prices stayed 2.5 to 4 or more times higher )

When we have no cheap other alternative these global economies and societies will collapse at some point.

Food prices are increasing
( 1 calorie of food needs 10 calories of fossil fuel )

Social unrest is increasing.

Global riot epidemic due to demise of cheap fossil fuels
http://www.theguardian.com/environment/earth-insight/2014/feb/28/global-riots-protests-end-cheap-fossil-fuels-ukraine-venezuela

The riots are symptomatic of a deeper, protracted process of global system failure as we transition from the old industrial era of cheap and dirty fossil fuels, towards something else.

Unfortunately we do not have enough sweet spots for renewables and fossil fuel free food.

But we have the sweet spot of the sweet spots of renewables and fossil fuel free food in Myhouseinparadise.

As such Myhouseinparadise is a Safe Haven.
and the ideal place to do research to improve the use of renewables here in Myhouseinparadise and elsewhere.
That is what we do and will.

We will show the world that we live a high quality lifestyle ( one off the highest ), drive electric and still do not pay electricity bills or fuel bills and on top of this earn good money through participation in renewables.



Industry expert warns of grim future of 'recession' driven 'resource wars'
( at University College London lecture )

Villa Lorenza


You will need renewables and a sweetspot for life or Myhouseinparadise.
The latter you already found !


The countries that are most affected by rising oil prices are the countries that use oil to the greatest extent in their mix of energy products.
In Figure 3, that would be the PIIGS.
The rest of the US, EU-27, and Japan would be next in line.


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http://ourfiniteworld.com/2013/04/11/peak-oil-demand-is-already-a-huge-problem/



Even before the Arab Spring erupted in Tunisia in 2010, analysts at the New England Complex Systems Institute warned of the danger of civil unrest due to escalating food prices.
(http://www.theguardian.com/environment/blog/2013/mar/06/food-riots-new-normal)
(http://www.theguardian.com/environment/food)


If the Food & Agricultural Organisation (FAO) food price index rises above 210, they warned, it could trigger riots across large areas of the world.

Unfortunately, simply taking to the streets isn't the answer to high food prices.
What is needed is a meaningful civilisational transition model like Myhouseinparadise.

Hunger games

The pattern is clear.
Food price spikes in 2008 coincided with the eruption of social unrest in Tunisia, Egypt, Yemen, Somalia, Cameroon, Mozambique, Sudan, Haiti, and India, among others.

In 2011, the price spikes preceded social unrest across the Middle East and North Africa - Egypt, Syria, Iraq, Oman, Saudi Arabia, Bahrain, Libya, Uganda, Mauritania, Algeria, and so on.

Last year saw food prices reach their third highest year on record
(http://www.fao.org/news/story/en/item/212018/icode/),
corresponding to the latest outbreaks of street violence and protests in Argentina, Brazil, Bangladesh, China, Kyrgyzstan, Turkey and elsewhere.

Since about a decade ago, the FAO food price index has more than doubled from 91.1 in 2000 to an average of 209.8 in 2013.
As Prof Yaneer Bar-Yam, founding president of the Complex Systems Institute, told Vice magazine
( http://motherboard.vice.com/blog/a-complex-systems-model-predicted-the-revolutions-sweeping-the-globe-right )
last week:

"Our analysis says that 210 on the FAO index is the boiling point and we have been hovering there for the past 18 months...
In some of the cases the link is more explicit, in others, given that we are at the boiling point, anything will trigger unrest."



The countries that are most affected by rising oil prices and have peak oil demand earlier are the countries that use oil to the greatest extent in their mix of energy products.

Peak demand is very much related to jobs.
Peak oil demand occurs when a country is not competitive in the world market-place, and because of this, loses industry and jobs.

http://ourfiniteworld.com/2013/04/11/peak-oil-demand-is-already-a-huge-problem/



The price of oil extraction is rising for a variety of reasons, an important one being that we extracted the easy to extract oil first, and what is left is more expensive to extract.
Another issue is that oil exporters now have large populations that need to be kept fed and clothed, so they don’t revolt.
This is a separate issue, that raises costs, even above the direct cost of extraction.
There is no reason to believe that these costs will level off or fall, no matter how much oil the US produces using high-priced methods, such as fracking.


http://ourfiniteworld.com/2013/04/11/peak-oil-demand-is-already-a-huge-problem/



According to the International Energy Agency, conventional production has already peaked and is set to decline steadily over the next few decades.

(http://topics.bloomberg.com/international-energy-agency/)

official data from the International Energy (http://www.theguardian.com/environment/energy) Agency (IEA), US Energy Information Administration (EIA), International Monetary Fund (IMF), among other sources, showed that conventional oil had most likely peaked around 2008.



MHIP : peak cheap oil = peak conventional oil = PEAK ALL !!!

Why the global economy still seems to hang on ?
Why does it seems there are not so much resource wars going on ?

Because the broken pieces are glued together with massive creation of money ( and subsequently artificially created price inflation ).

What is the difference between printing money, creating money and destroying the value of your money or destroying your money all together at some point ?

Printing money is an effort, needs and creates jobs and is therefore limited, other forms of creating money are not and can and are done at random and will destroy your assets.



C
ountries and communities guzzling the most oil and energy will take the biggest hits.
( How High Oil Prices Will Permanently Cap Economic Growth )

In MHIP of the years to come no oil and no energy will be used ( link ).

Still ( or should we say "Because off" ) MHIP will offer the best quality of life.

Each Owner will have the opportunity to be totally autonomous and make good money with renewables.



How High Oil Prices Will Permanently Cap Economic Growth
( Extracts from Bloomberg article Sep 2012
)

In the last decade, the price of oil has quadrupled ( now 2.5 x ), and that shift will permanently shackle the growth potential of the world’s economies.
...
the economic remedies being used are doing more harm than good
....
Worse, when oil prices go up, so does inflation.
...
Higher rates popped the speculative housing bubble, which brought down the global economy.
...
Unfortunately, this pattern of oil-driven inflation is with us again.
And world food prices are being affected.
...
since 2002, the FAO’s food-price index, which measures a basket of five commodity groups (meat, dairy, cereals, oils and fats, and sugar), is up about 150 percent.
...
Each new barrel we pull out of the ground is costing us more than the last.
...
The countries guzzling the most oil are taking the biggest hits to potential economic growth.

How High Oil Prices Will Permanently Cap Economic Growth
By Jeff Rubin - Sep 23, 2012



Will All the Money Printing Lead to Hyperinflation?
Moorad Choudhry

http://www.cnbc.com/id/47960752



Hyper Inflation in Germany during the 1920s

Villa Lorenza

Inflation was so bad in Germany that money became worthless.
Here a child is using money as a toy.
Money was used as wallpaper, to make kites.
Towards the end of 1923, so much money was needed, people had to carry it about in wheel barrows.
You hear stories of people stealing the wheel barrow, but leaving the money.

Printing more money is exactly what Weimar Germany did in 1922.
To meet Allied reparations, they printed more money; this caused the hyper inflation of the 1920s.
The hyper inflation led to the collapse of the economy ( MHIP : and to WWII ).

Villa Lorenza


( http://www.economicshelp.org/blog/634/economics/the-problem-with-printing-money/ )



Printing Money doesn’t always cause inflation

In a recession, with periods of deflation, it is possible to increase the money supply without causing inflation.

This is because the money supply depends not just on monetary base, but also velocity of circulation.
For example, if there is a sharp fall in transactions (velocity of circulation) then it may be necessary to print money to avoid deflation (see: example of US and increasing money supply)

In the liquidity trap of 2008-2012, the Bank of England pursued quantitative easing (increasing the monetary base) but this only had a minimal impact on underlying inflation.
This is because although banks saw an increase in their reserves, they were reluctant to increase bank lending.

However, if a Central Bank pursued quantitative easing (increasing money supply) during a normal period of economic activity then it would cause inflation.

( http://www.economicshelp.org/blog/634/economics/the-problem-with-printing-money/ )


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