His doomsaying has been going on for a long time, though the reasons have changed. Peak oil was supposed to have destroyed us already.
Actually it already is
destroying us, in countless unsung ways.
For starters: do you really think the actual
inflation rate for the man on the street has been the 0 to 2.5% or so the CPI numbers indicate? Around 2000, you could get a loaf of bread for around $1.29, so you can still get one for $1.69 or so, right? And how's that $4 a gallon gasoline working out for you? They conveniently omit food and energy prices--so what the statistic actually means is "there is no inflation in the price of everything that's not getting more expensive." But around the world, food and energy prices have been in a relentless upward spiral. This was a major contributor to the forces that led up to the Arab Spring revolts.
And where's the growth? America isn't growing. Europe isn't growing. China's growth (which is almost certainly exaggerated as it is--the government there has millions of people building empty cities in the desert to keep unemployment down) is throttling back. You've got a few countries that entered into this way below trendline that are growing. And this is in spite of the loosest monetary policies in several decades, if not ever. In spite of America basically pulling over a trillion dollars a year out of its ass. Now the Federal Reserve has enacted a "the beatings will continue until morale improve" monetary policy of injecting $85 billion in fiat money into the economy each month until unemployment drops.
This is Peak Oil. This is central banks and governments attempting, on a massive scale, to substitute money and credit for the cheap energy that's no longer there. And it's failing. All we're getting is inflation, which for the average man is about 10% a year now. And this isn't the only such desperate gambit. Consider the shale gas boom, where for another decade of cheap natural gas, and to make tar sands and shale oil viable for a few years, we're destroying aquifers and water supplies across America. It's like a crack addict desperately taking apart his own furniture to try and scrounge up some change for one last hit.
This requires that people hoarding paper and other intangible concepts such as owning things half a continent away still have those things recognized for their currently intended function in OSG's doomsday scenario. If we end up in truly dire need of a new currency for example, someone can always build a better bitcoin (And become fantastically rich in the process. It's anonymous founder is no doubt a multimillionaire now).
Uh...there's gold. Bitcoins are an interesting experiment, but useful only to über-geeks. In order to be useful as a currency, something has to be, well, usable