B (33:25)
I don't sleep poorly at night ever, but people read my stuff, tend to sleep early at night. No, I mean, you know, I wrote Attack, I wrote about an attack on gwar, which is the biggest oil field in the world. The kind of granddaddy of all 5 million barrels a day out of Saudi Arabia that pumps every day, the loss of which could have put oil in 2008 up to $300, $400 a barrel. By the way. I was pulled in and I was talking to a bunch of hedge funds back in 2005 or so about the Iraq war and their disruption of the oil infrastructure. I mean, one of the reasons, I think the biggest reason the US invaded Iraq was to free up the oil production in Iraq that was capped by sanctions. And if they could get rid of Saddam quickly, they could remove the sanctions because of his departure or death, gin it up to 5 million barrels a day and put 3 million extra on the market. Just as China was starting, Chinese demand was starting to pinch everything. So what happened is that the open source insurgency began attacking the oil infrastructure so successfully that the production actually fell from well below down to about a million barrels a day, million below its sanctioned level. And they weren't able to Revive it. Also at about the same time, a group called mend, the Movement for the Emancipation of the Niger Delta, was using similar tactics in the swamps of the oil production in Nigeria. They wiped out a million barrels a day. So those two ended up, as predicted by my theory, put pressure on the oil market such that the price of oil went up to $147 a barrel at its peak. And the entire global economy just screeched to a halt. The gears were grinding. It was getting terrible. MEND almost got Shell to leave Nigeria when they attacked one of their oil platforms unexpectedly. I talked to the guy running security for Shell at the time, and he was like, we were this close to leaving. There was. If they had done one more, it would have been over. They would have been gone. And then the disruption in oil production caused by that would have been catastrophic for the markets. But because of the oil, because the entire oil market was so tight, because of Chinese demand and low US Production, declining US Production, the global economy started to shrink. And the first signs of that inside the United States was that there were increasing levels to defaults on mortgages. People in the southwest of the U.S. in the southwest, that people fill their cars first. They have to drive everywhere. And so they're prioritizing their cars and filling their cars with gas and not paying their mortgages. And given all the leverage on that market, all the derivatives that were built to kind of leverage one of the biggest instruments out there, the U.S. mortgage market, that unexpected and rapid shift in default rates that spread increasingly across the United States changed the whole character. It made the derivatives blow up. It wasn't what they predicted. Given that they didn't have enough history of this market. They only had decades. They made projections as if it was thousands of years of data. But anyway, that led to the collapse and the financial collapse we saw after the market tightened in oil. So that's how much disruption that can actually have an impact. Social disruption is interesting, too. I mean, you can disrupt a social network and you can do it through something I call an empathy turner. In our kind of offline world, we've developed all these ways of protecting us against empathy. Too much empathy, overwhelming empathy. Because empathy isn't sympathy. Empathy at a mental model or at a mental level, psychological level, is kind of a mental modeling of a victim of somebody you see suffering. It's a, you know, a big upload of information from them to you. And you model their pain and their suffering inside yourself. Kind of an involuntary thing. You know, we developed as babies with our parents, and when they're smiling. We, as babies, we respond to that, and it's mirrored and on and on and on. Like, they also prove it in rats. When a rat sees another rat being electrocuted, the rat seeing that electrocution, they grimace and their muscles lock up just as if they were being electrocuted themselves. So it's an involuntary process. And in the offline world, we've developed barriers. When we see somebody on the side of the street, like a homeless, we don't, you know, break down, or doctors and nurses develop ways of disconnecting themselves from their patients. I mean, if they were empathetic to every pain and suffering bit of suffering that their patients were undergoing, they wouldn't be able to operate. So they dissociate themselves. But in the online world, the empathy hits us like a truck. We see a video, we see a picture, we see here a story, and it has. Scrolling across our screen and we, we snatch at it, and it has. It accesses into kind of a deep level very, very quickly, and it does it on a mass scale. So you could develop or occasionally or emergently, apathy triggers pop up. Like, the classic example was the George Floyd video. And it got play and it spread everywhere. And then when people saw it, they connected apathetically and they felt the cop's knee on, on. On their neck. They felt rage at the cop, they felt the pain and the anguish of the victim. There's no context, there's no nuance, there's no anything other than that empathy and that empathetic connection can create a movement, as we saw with blm. It also creates. What I, What I found is, as these networks matured, is that they moved past kind of open source. The open source model, which tended to kind of dissolve after it met its victory conditions, or the victory conditions were on. You know, the plausible promise was broken into more of a tribal model. And the tribal model creates kind of a internal narrative that keeps. Provides the cohesion for this network to persist over time. And it does that using it using a process that all tribes use, but kind of inverse tribes usually form because you tell stories and have rituals that tell people why they're together and why they came together and all the difficulties they've gone through together and where they're going in the future. In the network version, it just focuses on describing the enemy and why that enemy is an existential enemy. And, you know, we can see that in our politics, the opposition is no longer the opposition, is now the enemy. And this tribal mentality persists over Time it provides a, you know, enduring cohesion and coherence to the internal narrative of the network.