by phaster » Sun 10 Aug 2014, 07:06:50
$this->bbcode_second_pass_quote('Henriksson', '
')Yes, the problem is economics. The current economic system is called capitalism, and it is dependent on economic growth to function (and welfare is dependent on capitalism). Since that will become no longer viable in the face of resource scarcity, of which peak oil is one part, the economic system will inevitably crash - it's really nothing one can prevent.
Working within the system there are two broad options. One is austerity; not only are a lot of people screwed and the possibilities for transitioning is a lot more constrained, but it screws growth over too and brings down the system even faster. The other is something like keynesianism; it could just be another attempt to keep a terminal patient on life-support, but it could also be a Manhattan Project-like attempt to transition to a scarcer world.
Economics, isn't the problem because its just a tool to do analysis.
Of course just like any tool it can be used for either good or bad (all that matters in the end is what we do with it). Give ya an an extreme example that hopefully you'll understand, a "scalpel" in the hands of a surgeon could save a life, a "scalpel" in the hands of a terrorist could take down a building.
By "political-legal welfare system" I specifically was thinking about the tendency of politicians to pander to public employee unions for political support in a bid to get into or retain an office. The "Quid pro quo" in this instance is a literal "sweet heart deal" payoff when it comes time labor talks. FDR long ago recognized the problem when he said
"The very nature and purposes of Government make it impossible for administrative officials to represent fully or to bind the employer in mutual discussions with Government employee organizations."
http://www.politifact.com/wisconsin/sta ... governmen/Looking at the math, I am sure the system as stands is going implode much sooner than most people expect. In California for example, public pension obligations are estimated to be in the 170+ billion dollar range,
http://www.city-journal.org/2013/23_1_calpers.htmland that figure will basically double if health care costs are placed on the balance sheet. FYI the one political official mentioned at the start of the article linked to above, just plead guilty to a fraud and corruption charge.
http://www.latimes.com/business/la-fi-c ... story.htmlDon't know the history of your neck of the woods, but I am sure political insiders giving sweet heart deals, or looking the other way is sadly repeated at all levels of government and could be modeled using "fractals," because both are infinitely complex patterns that are self-similar across different scales.
http://fractalfoundation.org/resources/ ... -fractals/Capitalism, is also just another tool that can be used for either good or bad! Left unchecked, capitalism will always consume its participants because of human "greed!" In order to use capitalism for good, requires participants with a moral rudder so to speak, in order to steer the ship (said another way, it requires people to exercise "self control").