What is the goal of the economy? Growth? Full employment? Equity? Price stability? Security? Or, perhaps, to make the top 1% super rich at the cost of everyone else? Well, if it’s that latter, than the economy is doing a stellar job. If you think that’s too cynical to say, then you can chose two on the list above. Or one. Maybe none. With a relentless fall in people’s
I've come to view our economies as fundamentally a gargantuan Ponzi scheme that is increasingly being stretched beyond its breaking point (and coming more into view for everyone). The basic motivation of our ruling class (those at the top of our power/wealth structures) is to maintain the wealth-generation/-extraction systems that keep their revenue streams flowing.
With the loss of the surplus energy provided by cheap and easy-to-access hydrocarbons, it's only a matter of time before the entire edifice and all the complexities it has supported begin to transition to something much simpler and local. I guess the question that is left unanswered is how this transition will unfold as our 'elite' struggle to sustain their positions of influence...it probably won't be pretty for those outside of this 'privileged' group.
I would answer, the economy has the same goal as the universe, to dissipate energy gradients as quickly as possible. To be the champions at degrading energy, our species needed to evolve a uniquely powerful intelligence capable of exploiting fossil and nuclear energy, combined with a tendency to deny unpleasant realities, so that our intelligence remains blind to the implications, and does not override, what we're doing.
Well thought out thesis, especially the (implied) references to the hubris of the Roman emperors and the fall of the Maya to environmental degradation and resource depletion. It could be summarized (hopefully without trademark and copyright infringement) as The Lorax syndrome.
“California’s new solar policy could prove problematic for future installations:
“Dubbed Net Energy Metering 3.0, the California solar energy policy revision decreases the value of solar energy credits by a whopping 75% in a bid to encourage customers to purchase solar battery storage with their solar system. In essence, the California Public Utilities Commission (CPUC) wants the state’s residents to store more of their excess solar energy instead of sending it to the grid.”
As a Californian I can tell you the public reaction to the CPUC’s ruling is highly unfavorable. It flies in the face of state government’s stated goal of reducing fossil fuel use for generation of electricity and the argument of the very investor owned utilities that backed NEM 3.0 that only the rich can afford rooftop solar. If only rich elites could afford rooftop solar under NEM 2.0, it’s now completely uneconomical for all under NEM 3.0 with the added expense of batteries and reduced credits.
I read much of your work through the lens that you are an observer who believes that there aren't really solutions to the conundrums we face (collapse is a natural end state of the process, I believe is how you've put it before). But I am curious - if you had a "magic button" that would impose your will, what would you want to see done?
To be clear, I am not looking to spark a debate or anything of that sort. I am genuinely curious to hear what The Honest Sorcerer would do if they really could cast a magic spell.
For what it's worth, I think some portion of The Powers That Be sees the issues clearly, but realizes that the necessary changes to the world will take time. Trying to simply rip the bandaid off might be too much for the world system to handle (nor could it actually be implemented practically.) If anything, it feels like the current skirmishes in Ukraine and Israel are driven by a desire to control access to resources, not for any of the surface level arguments put forth.
Well said!
I've come to view our economies as fundamentally a gargantuan Ponzi scheme that is increasingly being stretched beyond its breaking point (and coming more into view for everyone). The basic motivation of our ruling class (those at the top of our power/wealth structures) is to maintain the wealth-generation/-extraction systems that keep their revenue streams flowing.
With the loss of the surplus energy provided by cheap and easy-to-access hydrocarbons, it's only a matter of time before the entire edifice and all the complexities it has supported begin to transition to something much simpler and local. I guess the question that is left unanswered is how this transition will unfold as our 'elite' struggle to sustain their positions of influence...it probably won't be pretty for those outside of this 'privileged' group.
"Consumption has been pulled-forward through unpayable debt", as is said.
But "next week" is almost "next year"!
:-o
Merry Christmas!
"Become the change that you would see in the world."
Thank you B🙏
Very good. You are almost on the bulls-eye.
You ask, what is the goal of the economy?
I would answer, the economy has the same goal as the universe, to dissipate energy gradients as quickly as possible. To be the champions at degrading energy, our species needed to evolve a uniquely powerful intelligence capable of exploiting fossil and nuclear energy, combined with a tendency to deny unpleasant realities, so that our intelligence remains blind to the implications, and does not override, what we're doing.
https://link.springer.com/chapter/10.1007/978-3-030-25466-7_6
https://un-denial.com/denial-2/theory-short/
Well thought out thesis, especially the (implied) references to the hubris of the Roman emperors and the fall of the Maya to environmental degradation and resource depletion. It could be summarized (hopefully without trademark and copyright infringement) as The Lorax syndrome.
B, Thank you for the reference -
“California’s new solar policy could prove problematic for future installations:
“Dubbed Net Energy Metering 3.0, the California solar energy policy revision decreases the value of solar energy credits by a whopping 75% in a bid to encourage customers to purchase solar battery storage with their solar system. In essence, the California Public Utilities Commission (CPUC) wants the state’s residents to store more of their excess solar energy instead of sending it to the grid.”
As a Californian I can tell you the public reaction to the CPUC’s ruling is highly unfavorable. It flies in the face of state government’s stated goal of reducing fossil fuel use for generation of electricity and the argument of the very investor owned utilities that backed NEM 3.0 that only the rich can afford rooftop solar. If only rich elites could afford rooftop solar under NEM 2.0, it’s now completely uneconomical for all under NEM 3.0 with the added expense of batteries and reduced credits.
I read much of your work through the lens that you are an observer who believes that there aren't really solutions to the conundrums we face (collapse is a natural end state of the process, I believe is how you've put it before). But I am curious - if you had a "magic button" that would impose your will, what would you want to see done?
To be clear, I am not looking to spark a debate or anything of that sort. I am genuinely curious to hear what The Honest Sorcerer would do if they really could cast a magic spell.
For what it's worth, I think some portion of The Powers That Be sees the issues clearly, but realizes that the necessary changes to the world will take time. Trying to simply rip the bandaid off might be too much for the world system to handle (nor could it actually be implemented practically.) If anything, it feels like the current skirmishes in Ukraine and Israel are driven by a desire to control access to resources, not for any of the surface level arguments put forth.