If a strong-enough economic recovery were to take hold, Europe could grow its way out of its huge fiscal deficits and save the monetary union from collapse. That’s a good plan in theory, but the complication facing Europe, and indeed the rest of the world, is that it takes a lot of energy to fuel robust economic growth. What’s more, the most important source of energy for the global economy is oil.

Consider the European economies in the worst shape: Portugal, Italy, Ireland, Greece and Spain. The cumulative national debt of these countries may as well be denominated in barrels of oil instead of euros, because millions of barrels of oil are what will be needed to get those economies growing again. Can those countries afford the cost of economic growth when oil is trading in the triple-digit range?

— Jeff Rubin, Without growth, there’s only one ending to euro debt crisis in the Globe and Mail

Jeff has a new book out, The End of Growth in which he argues that the end of cheap oil means then end of growth