Quote Originally Posted by Rick M View Post
This graph was provided this evening by Dave Hughes, Canadian geoscientist and peak oil analyst:
Food & oil price.jpg

The implications should be obvious (for both farmers and consumers) if oil price volatility should continue.
Three questions...

1. How is the "food" figure generated? What commodities, in what markets?

2. Did he explain why the 2011 projection disassociates the two lines so dramatically?

3. What's the basis for projecting $140 oil in 2011? That doesn't seem to be any kind of consensus figure. We're having a spike at the moment, yes, but that looks to involve a risk premium, not supply/demand issues...