But the price of a thing does not reveal its quantity or its quality. Prices simply measure states of mind. This means that economists issue opinions on opinions. In other words, economists are nothing more than pollsters with an attitude. But there are quite a few substitutes for oil.
Fuels come in varying qualities.
For example, coal contains more energy per pound than wood, which makes coal more efficient to store and transport than wood. Oil's many advantages provide 1.3 to 2.45 times more economic value per kilocalorie than coal. Oil is the highest quality energy we use, making up about 38 percent of the world energy supply. No other energy source equals oil's intrinsic qualities of relative ease of extraction, transportability, versatility and cost. The qualities that enabled oil to take over from coal as the front-line energy source in the industrialized world in the middle of this century are as relevant today as they were then.