Energy Crisis Is ‘Revenge of Old Economy,’ Goldman Sachs Says

The video discusses a global supply crunch affecting the old economy, exacerbated by factors like Brexit and COVID-19. It highlights the redirection of capital from the old economy to the new economy, leading to underinvestment in traditional sectors. The video also examines the overinvestment in renewables and the challenges of energy transition, emphasizing the need for higher returns to attract capital back to the old economy. The discussion includes the role of gas in addressing energy intermittency and the impact of ESG investing on capital flow.

What is the primary reason for the global supply crunch according to the video?

• Brexit and lack of drivers

• COVID-19 pandemic

• Overinvestment in technology stocks

• Redirection of capital from old to new economy

How has the focus on ESG investing affected the energy sector?

• It has led to increased investment in coal

• It has caused overinvestment in renewables

• It has balanced investments across all sectors

• It has reduced the need for gas

What is the main challenge in transitioning to renewable energy?

• Overabundance of wind energy

• High cost of solar panels

• Intermittency of power supply

• Lack of technology

Why have old economy companies struggled to attract capital?

• They are not affected by global trends

• They have too much government support

• They are too focused on renewable energy

• They have shown poor returns over the years

What needs to happen for capital to flow back into the old economy sectors?

• Increase in commodity prices

• Reduction in technology investments

• Decrease in renewable energy prices

• More government regulations