By Stephen Leeb,
PhD with Glen Strathy

        Dr. Stephen Leeb has made some very bold - and very accurate - economic predictions. In 1986, he prophesied the bull market of the 1990s. In 1999 he warned of the coming collapse in technology shares. And, in 2004, when oil cost a mere $33 a barrel, he predicted soaring energy prices were just around the corner in his prophetic book, The Oil Factor.
        Now, in his latest book, The Coming Economic Collapse: How You Can Thrive When Oil Costs $200 a Barrel (Warner Business Books; $24.95; Hardcover, ISBN: 0-446-57978-5), Leeb maintains that the U.S. economy is on the brink of its biggest crisis ever as oil prices surge and supplies dwindle worldwide. Leeb presents a clear and ominously persuasive case that government, consumers, the oil industry, and environmentalists alike are in deep denial about the coming energy shortage. As fast-growing economies such as China and India push demand for oil beyond production capacity, Americans will experience an energy shortfall far worse than the 1970s. But, as Leeb explains, while some may face financial hardships, savvy investors can seize the opportunity to become incredibly wealthy.
        As Leeb attests, the coming oil crisis will hit the U.S. hard, far more so than the economic and social impacts of the 9/11 attacks and Hurricane Katrina. Not only will gasoline prices continue to rise, but also home heating oil, consumer products, and food will soar in cost at the same time that economic growth stagnates and unemployment rises. Policymakers will find themselves squeezed between fighting inflation and stimulating growth at the same time, while the retiring Baby boomers soak up ever-more government spending. In fact, Leeb says, our entire way of life will suffer a dramatic and permanent decline unless we take action now.
        In The Coming Economic Collapse, Leeb describes in detail the changes in public policy that, if made now, will set our nation on the path to greater energy independence and well-grounded economic growth. Most importantly, he tells readers how to prosper if his forecasts prove true, just as a small number of investors did during the energy crunch of the 1970s. Leeb identifies the most likely "Investment Jackpots" and "Investment Pitfalls" and he describes how to put good sense ahead of emotions in making investment choices. Offering a model investment portfolio and other tools, he explains how to protect yourself and your family in the coming years if the energy shortage unfolds into a full-blown economic crisis.
        In The Coming Economic Collapse, Leeb explains several key issues that illustrate why the U.S. economy is in such grave danger:

• What's happening in energy mirrors what happened in the run-up to the technology bubble's pop: Leeb shows how people in power, as well as the media, are making the same errors in judgment as those that led to the dot-com collapse.
• For its oil, the U.S. continues to rely on Saudi Arabia, Venezuela, Nigeria, and other countries where political relations are severely strained: At the same time, developing countries, led by China and India, are increasingly drinking up oil supplies to support their own burgeoning growth.
• Most people prefer to avoid bad news and follow the crowd into the abyss: Government energy experts, Wall Street analysts, oil company executives, finance journalists - no one wants to face the prospect of an economic downturn or collapse based on our oil addiction.

        Leeb supports his case by tying together a wealth of information from the fields of energy, oil geology, economics, history, and psychology. With relevant statistics and clear exposition, he helps readers understand the facts, recognize and avoid false hopes, and take action on their own behalf. The Coming Economic Collapse is an urgent call-to-arms to avert an all-but-certain catastrophe... and a survival kit for an era that offers us only two financial choices: poverty or wealth.
        About the Author: Dr. Stephen Leeb edits the prestigious newsletter The Complete Investor (www.completeinvestor.com). Renowned for consistently finishing among the leaders in the annual stock-picking contests of The Wall Street Journal and Forbes, he is the author of five previous books - including The Oil Factor - and holds a BA in economics, an MS in mathematics, and PhD in psychology.
        Glen Strathy is a freelance financial writer who writes from a secluded lake in Ontario, Canada. He holds an MA in English, a BA in English and drama.