The Energy Crisis of 2007

Wow. So the rising cost of energy inputs into the economy has reached such a level that the world is simply going to cease generating wealth at this level. Hmmn. It’s possible. There are the laws of physics to consider, which determine how much energy you can get from carbon, and how efficiently you can turn that energy into work. But thus far, human beings, when confronted with an apparently natural limit on growth do what the species does best: adapt and innovate.

Just because we’ve done it before doesn’t mean we’ll do it again this time with success. That is, just because technological innovation has improved crop yields, produced life-saving medicines, and lowered the cost of energy over the last 100 years doesn’t mean it will solve all future problems. But not all innovation is whiz-bang gadgetry.
Daily Reckoning