Berkshire Hathaway Inc. (BRK.B), Devon Energy Corp (DVN): Charlie Munger on Our Crazy Obsession With Energy Independence

But here’s a rebuttal.

The most likely event that would cause a country to need its own oil resources right away — war — happens fast and usually unexpectedly. You can’t just flip a switch and pull domestic oil out of the ground overnight, especially shale oil. It takes technology, infrastructure, planning, exploration, and innovation. That costs a lot of money. Companies like Devon Energy Corp (NYSE:DVN), Chesapeake Energy Corporation (NYSE:CHK), and Continental Resources, Inc. (NYSE:CLR) have invested billions and committed years of effort to get where we are today. And they did it so they could profit as soon as possible, not 50 years from now. Keeping energy technology relevant enough to exploit our oil when we need it inevitably means having a profit incentive that lets companies pull it out of the ground sooner than some people prefer.

The article Charlie Munger on Our Crazy Obsession With Energy Independence originally appeared on Fool.com.

Fool contributor Morgan Housel owns shares of Berkshire. The Motley Fool recommends Berkshire Hathaway. The Motley Fool owns shares of Berkshire Hathaway and Devon Energy and has the following options: long January 2014 $30 calls on Chesapeake Energy (NYSE:CHK).

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