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Norwegian wealth fund v UK North Sea oil

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This was in one of the other posts and I thought it deserves its own thread.

if we had invested North Sea oil how much money would we have ?

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I suppose that you could compare the sizes of the Norwegian and UK oil fields, and then look at the Norwegian sovereign wealth fund to get a lower bound estimate (if you compare proportionally with the relative sizes of the oil fields)? Though of course you would also need to take into account the amount of ballast that the North Sea oil gave to the British economy throughout the 70s and 80s when the rest of the economy was tanking. I recon that this is a pretty hard sum to do...

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2 minutes ago, Horseradish said:

I suppose that you could compare the sizes of the Norwegian and UK oil fields, and then look at the Norwegian sovereign wealth fund to get a lower bound estimate (if you compare proportionally with the relative sizes of the oil fields)? Though of course you would also need to take into account the amount of ballast that the North Sea oil gave to the British economy throughout the 70s and 80s when the rest of the economy was tanking. I recon that this is a pretty hard sum to do...

We should have more a £1 trillion

 

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Depends where it was invested. The likely scenario it would have been used to distort well functioning markets to enrich the few. I just cannot even begin to believe the plebs would have gained in any way. 

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2 minutes ago, cashinmattress said:

How about drawing your own conclusions. Starter for 10 linky...

https://resourcegovernance.org/blog/did-uk-miss-out-£400-billion-worth-oil-revenue

That is a very negative article on free markets compared to Norwegian socialism, so we pumped out slightly more than Norway and have nothing to show for it

....,and the Norwegian have US $1.2 trillion in the bank

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8 minutes ago, vincent said:

That is a very negative article on free markets compared to Norwegian socialism, so we pumped out slightly more than Norway and have nothing to show for it

....,and the Norwegian have US $1.2 trillion in the bank

Of course, the bitter irony is that they have then ploughed a significant proportion of that sovereign wealth fund into UK property! We got to lose out twice.

Some figures in this article: https://www.ft.com/content/d662eb16-6455-11e6-a08a-c7ac04ef00aa [sorry, paywall]

And also this one: http://uk.businessinsider.com/norway-sovereign-wealth-fund-crown-estate-london-property-2018-3

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44 minutes ago, honkydonkey said:

Depends where it was invested. The likely scenario it would have been used to distort well functioning markets to enrich the few. I just cannot even begin to believe the plebs would have gained in any way. 

This.

We would have zero extra, and far more crimmigants.

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I not going to bother trying to find a link or anything but I have seen many times repeated that North Sea oil was used by Thatcher to fund corporate tax cuts.

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5 minutes ago, Slimline said:

probably would have been enough to clear the national debt. 

The Chinese communists are very good capitalists

maybe we can learn from them

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1 hour ago, vincent said:

The Chinese communists are very good capitalists

maybe we can learn from them

Probably find China will launch a hostile takeover of UK PLC 🤣

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1 hour ago, Slimline said:

Probably find China will launch a hostile takeover of UK PLC 🤣

Depends on how the footballers do on Saturday at 3PM

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1 hour ago, Slimline said:

Probably find China will launch a hostile takeover of UK PLC 🤣

They're already buying up the (housing) stock on the side! 🤣

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6 minutes ago, Horseradish said:

They're already buying up the (housing) stock on the side! 🤣

If only a website existed that pointed this out, after all we don’t want to go the way of aborigines or red indians 

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Just now, vincent said:

If only a website existed that pointed this out, after all we don’t want to go the way of aborigines or red indians 

If you find one, let me know.

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2 minutes ago, vincent said:

If only a website existed that pointed this out, after all we don’t want to go the way of aborigines or red indians 

It'll need a catchy name.

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1 hour ago, Slimline said:

my grandparents house just got Chinese neighbours buy either side. Clearly where the money is !

Are they landlords ?

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14 hours ago, Slimline said:

probably would have been enough to clear the national debt. 

As the revenues have been part of government expediture throughout the period, if the spend had been the same and we had put the revenues in a SWF then the sizeof the national debt would just be that much bigger - bigger by about the same amount as the size of the fund. Net difference approximately zero.

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2 minutes ago, Ah-so said:

As the revenues have been part of government expediture throughout the period, if the spend had been the same and we had put the revenues in a SWF then the sizeof the national debt would just be that much bigger - bigger by about the same amount as the size of the fund. Net difference approximately zero.

So how did the Norwegians manage to do it

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15 hours ago, smash said:

I not going to bother trying to find a link or anything but I have seen many times repeated that North Sea oil was used by Thatcher to fund corporate tax cuts.

Our politicians use money they find behind the sofa to buy votes and ensure their current and future power base. The party has become more important than the country. That applies to both colours.

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  • 336 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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