Paul Krugman: Stranded in Suburbia

BERLIN

I have seen the future, and it works.

O.K., I know that these days you’re supposed to see the future in China or India, not in the heart of “old Europe.”

But we’re living in a world in which oil prices keep setting records, in which the idea that global oil production will soon peak is rapidly moving from fringe belief to mainstream assumption. And Europeans who have achieved a high standard of living in spite of very high energy prices — gas in Germany costs more than $8 a gallon — have a lot to teach us about how to deal with that world.