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Economies certainly will collapse when governments don't anticipate on PeakOil, when they don't changed their energy supply, installbase, conservation, processes and economic models, economies will be destroyed. Rising prices and smaller governments that has no adequate solutions (enhanced location policy is the only on the way cure) will lead to more intense societal unrest and even to societal turbulence. This could be the sparks. As Albert Einstein wisely has said: 'an empty stomach isn't a good political advisor'. Governments can be forced to react offence wise. Leadership that can manage that within an open democratic society will be scarce. Social turbulence will lead to anarchical, totalitarian or fascistic governmental models. Inflation is often called the hidden tax. Civilians and companies accept inflation in times of economic growth (when incomes rise in the same rate), but certainly don't accept it in times of economic crimp/decline. The economic (and therefore the societal) impact of negative growth is enormously. This will be the huge headwind ambiance for the Western World. Losing wealth gives severely more stressful societal ambiance than gaining wealth (which is the ambiance of the Emerging World). The use of Martial Law will become a real danger in these days. Taking the whole Constitution (temporarily) completely out of order, by replacing it by absolute/mono power of a non democratic military government and thereby ending all civil rights.

Author: Gijs Graafland

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