Oil and Food – is the world headed for chaos?

Here is the reason:

Oil producing countries are keeping the prices high. Some of these countries don’t have much of cultivation land, so they are depended on other countries for food.

Food producing countries are producing more corn that can be converted to oil and leaving less for exports. If these countries produce less food, oil producing nations will have difficulties in importing food. Also, some of these food producers have put food export ban. This is pretty soon going to cause a deadlock.

As the price of food goes up, oil producing countries have to lot more of import (assuming there are no export bans), eating into their short lived joy and long term pain.

This is a vicious cycle and should be quenched at source by producing more oil. There is going to be chaos if its not fixed immediately. Oil is not going to be there for ever, so in the long term world should consume less oil.

I think we are headed in the wrong direction and should fix it now before it’s too late.