The Wealth Effect

[Terrel L. Shields]

A few parts of the country are booming. The places new drilling is taking place is seeing a construction boom. In the panoramic view below is a well behind a house, repairs to a barn and the house was going major surgery - windows, doors, interior appears gutted and the remains piled nearby. Meanwhile across the road a new well is being drilled. Look on the bright side that your $4 a gallon is helping some people who were pretty poor a few years ago.

 

[Michigan CG]

Terrel has Snag-it?

 

[Mike Boyd]

Terrel.....did you watch the movie....THERE WILL BE BLOOD? All about oil drilling from 1911 through the late 1920s.

 

[Restrain]

We've got a lot of instant millionares around here. Farms were marginal, now the oil rights from the Barnett Shale have made these farmers wealthy.

 

[murray stroupe]

Black gold & green gold

We've got a lot of instant millionares around here. Farms were marginal, now the oil rights from the Barnett Shale have made these farmers wealthy.

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Milo. according to one source is more than several times efficient than corn for ethanol.

I will continue to monitor the price of sorghum syrup.

 

[Joyce Potts]

Is this one of those 1% of the population owns 99% of the wealth threads?

 

[Terrel L. Shields]

In the Fayetteville Shale there are a few people, who over the years, accumulated a lot of mineral rights. But for the most part, I would say 75% of the landowners own all or part of their mineral rights in these counties.

One instance I know as the assets of a long deceased banker, whose small bank did not go under in the depression, however, they were told to take care of the delinquent loans and foreclosed properties. When they were unable to sell them, the president of the bank bought the farms personally to get them off the books, and disposed of them over time, retaining the mineral rights on each farm he bought. In total he accumulated about 10 farms of 40 - 200 acres and his grandchildren now have the mineral rights to those properties.

Interestingly, there are several small country churches and pioneer cemeteries who are now getting royalty checks.

 

[Greg Bell]

The new wealth effect is new homes sales rose in a report today and the Schiller index shows the fastest price decline since the the depression.So Americans are so stupid that they thy can't wait to buy a DEPRECIATING asset , now I know this country is in trouble.Quick , buy some Beans and Ammo..