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The Fallacy of "Growth"

Discussions about the economic and financial ramifications of PEAK OIL

Re: The Fallacy of "Growth"

Unread postby copious.abundance » Mon 09 Jun 2014, 02:26:07

You didn't even begin to comprehend the article. Not even close. It went right over your head. You saw some mention of "technology" and immediately thought it was another "technology will save us" perspective. But actually it had nothing to do with "technology saving us." You don't even know what economic growth is, obviously. And you don't appear to even care to understand what it is, either. :|
Stuff for doomers to contemplate:
http://peakoil.com/forums/post1190117.html#p1190117
http://peakoil.com/forums/post1193930.html#p1193930
http://peakoil.com/forums/post1206767.html#p1206767
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Re: The Fallacy of "Growth"

Unread postby vtsnowedin » Mon 09 Jun 2014, 06:10:38

The article is simplistic and wrong. Sure you can recycle copper etc. but there are some losses each time it is reprocessed and some of it is worn away into dust and oxides that can't be recovered. And you can't recycle a gallon of gas after you have burned it or a ton of coal or tank of heating oil.
Certainly market forces will help reduce waste of these non renewable resources but high prices will not produce any new volume of them once all deposits are developed.
We will be fine though once five or six billion are killed by market forces.
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Re: The Fallacy of "Growth"

Unread postby Pops » Mon 09 Jun 2014, 09:57:01

The article ignores the basic premise here, that FF and human carrying capacity are limited, but other than that it's great... lol.

Of course it is the technology argument. The premise is that the underlying BAU (energy/pop. growth) will continue forever so all we need do is keep inventing new, evermore frivolous (and increasingly expensive) stuff with which to amuse ourselves and GDP will automatically grow.

At worst it goes, "Sure raw materials (except FF energy, "surprisingly" no mention of that) are limited, and sure human population growth is limited; but it doesn't matter because we'll invent new iPhones and automatically be able to afford them."

Either way it discounts 2 of the 3 underlying enablers of growth that got us to this point: growing energy use and growing population. Innovation is a good thing, but to say it is the only thing and that by itself it can more than make up for falling energy and population is naive at best and shilling* at worst.

We won't "Angry Birds" ourselves into a future of less energy and declining population.


*Obligatory Ad Hom: what would you expect from a guy who was paid to write for Tech Central Daily)
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Re: The Fallacy of "Growth"

Unread postby copious.abundance » Mon 09 Jun 2014, 09:58:26

@vtsnowedin :

It wouldn't even matter if small amounts of copper were lost during the recycling process, because it just means the remaining copper would be that much more valuable. Then you can always find substitutes for copper, for many uses.

I hope I don't need to mention that there are energy forms that are renewable (solar, wind, etc.) and others that can provide energy for millennia, at least (nuclear). Civilization is not going to run out of energy.
Stuff for doomers to contemplate:
http://peakoil.com/forums/post1190117.html#p1190117
http://peakoil.com/forums/post1193930.html#p1193930
http://peakoil.com/forums/post1206767.html#p1206767
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Re: The Fallacy of "Growth"

Unread postby AirlinePilot » Mon 09 Jun 2014, 10:24:51

I agree with that last statement oily, but not the way you think. The question becomes what does that civilization look like? Anyone who is being intellectually honest with themselves acknowledges the gaps between what we do with oil now and where we NEED TO BE with regards to "renewables" in order to meet and exceed our energy needs for that future civilization. Its not going to happen with Solar panels and Tesla's.

Yours is a religious belief in technology. Thats not a bad thing, it's just flawed right now when one considers the gaps that need to be bridged in order to get there. I stand by my premise that something miraculous needs to happen. Im not completely negative about that, but as we wrestle with BAU the time is growing very short for that. Im just not as faithful we are going to have another breakthrough which changes the paradigm. Its simply a flawed belief that we will offset significant amounts of FF to renewables with present and near future technology.
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Re: The Fallacy of "Growth"

Unread postby Outcast_Searcher » Mon 09 Jun 2014, 14:01:53

$this->bbcode_second_pass_quote('Shaved Monkey', 'H')ave spoken about the limits of growth with a honours student in economics and a mid ranging public servant in the finance department,basic reply was past history proves we will be alright,innovation will save us,economies can grow without resources, capitalism was the best system to improve our standard of living.
.....we are stuffed.
These guys control the ideas and the levers.

Do they have any intelligent ideas about how we deal with increases in the population, which are clearly making it harder to keep the planet functioning well, due to all the stuff we have to burn and consume to keep society "functioning" as normal?

That's the part I don't get. If you could actually get people to work together and gradually reduce the population to say 3 billion AND use technology like clean energy and conservation -- then I could at least see a meaningful conversation about what life might be like, which issues should be prioritized, etc.

But just acting like our current trajectory is fine because history "proves it" seems like epic madness, given what science tells us about the planet.

Does economics just use theory and ignore "side issues" like hard scientific knowledge? (I only had basic micro and macro economics, and have read a bit about behavioral economics on my own).
Given the track record of the perma-doomer blogs, I wouldn't bet a fast crash doomer's money on their predictions.
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Re: The Fallacy of "Growth"

Unread postby Pops » Mon 09 Jun 2014, 14:34:08

Place all the economists end to end and they wouldn't reach a conclusion. LOL
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Re: The Fallacy of "Growth"

Unread postby vtsnowedin » Mon 09 Jun 2014, 14:58:44

$this->bbcode_second_pass_quote('copious.abundance', '@')vtsnowedin :

It wouldn't even matter ...
....
Civilization is not going to run out of energy.

Yes but we are going to run out of the cheap abundant high density liquid energy which has allowed all this growth in GDP and population to begin with. Billions will die before we get enough renewable energy production on line.
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Re: The Fallacy of "Growth"

Unread postby Strummer » Mon 09 Jun 2014, 15:28:46

$this->bbcode_second_pass_quote('copious.abundance', 'I') hope I don't need to mention that there are energy forms that are renewable (solar, wind, etc.) and others that can provide energy for millennia, at least (nuclear). Civilization is not going to run out of energy.


You should really try to understand EROEI. The problem is not running out of energy, but running out of cheap energy. Yes, we can always switch to more expensive energy (in terms of lower EROEI), but the energy needed to be invested into producing this more expensive energy needs to be taken from some other sectors of the economy. And that's exactly what we are living through today.

What we call "civilization" is simply an aggregate of products and services built upon the surplus energy that we have available. When we switch to more expensive energy resources, that surplus becomes smaller, and many of those products and services will no longer be feasible.
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Re: The Fallacy of "Growth"

Unread postby copious.abundance » Mon 09 Jun 2014, 21:26:07

$this->bbcode_second_pass_quote('Strummer', '')$this->bbcode_second_pass_quote('copious.abundance', 'I') hope I don't need to mention that there are energy forms that are renewable (solar, wind, etc.) and others that can provide energy for millennia, at least (nuclear). Civilization is not going to run out of energy.


You should really try to understand EROEI. The problem is not running out of energy, but running out of cheap energy...

Read the first link in my sig. I have proven that the economy can grow while total energy consumption has remained flat. In fact that is exactly what has happened in the US for the past nearly 20 years, as I demonstrate in that post. The US economy has grown by either 92% as measured in nominal terms, or 43% as measured in real terms, since the year 1996.

Next, take that fact and apply it to your EROEI observation. Let's say you are correct and the oil we are extracting requires more energy to produce than it did in the past - thus making it more expensive. Does this even matter to an economy which is growing substantially bigger while using about the same amount of oil as it did in 1996?

No, it doesn't. Since we're getting more utility in terms of economic performance than we did 20 years per barrel of oil, the price of oil can rise without having much effect on that economic performance. The continued popularity of gas-guzzling SUV's and pickups should tell you exactly how much people are being effected by high oil/gas prices: None.
Stuff for doomers to contemplate:
http://peakoil.com/forums/post1190117.html#p1190117
http://peakoil.com/forums/post1193930.html#p1193930
http://peakoil.com/forums/post1206767.html#p1206767
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Re: The Fallacy of "Growth"

Unread postby copious.abundance » Mon 09 Jun 2014, 21:40:06

Let me put it this way:

Let's say it's 1996 and you're making $20,000/year. The price of gasoline is about $1.50/gallon, you drive about 25,000 miles per year, and your car gets 20 mpg. That comes to $1,875/year you spend on gasoline, or 9.4% of your income.

Fast-forward to 2014. You now make 92% more than you did in 1996 - that's $38,400/year. You still drive about 25,000 miles per year, and your car still gets 20 mpg, but gasoline is $3.50/gallon. That comes to $4,375/year you spend on gasoline - but that's 11.4% of your income, not much more than in 1996.

In reality, the car you're driving probably gets better gas mileage than the one you drove in 1996 (and it's a much nicer car, too!) - SUV's now get better gas mileage, on average, than SUV's in 1996, for example. So the percentages of your income you spend on gasoline are probably even closer than the 9.4% and 11.4%.
Stuff for doomers to contemplate:
http://peakoil.com/forums/post1190117.html#p1190117
http://peakoil.com/forums/post1193930.html#p1193930
http://peakoil.com/forums/post1206767.html#p1206767
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Re: The Fallacy of "Growth"

Unread postby Quinny » Tue 10 Jun 2014, 00:06:30

Pops ref Tech Central - please tell me it's not Paul Georgia ;)
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Re: The Fallacy of "Growth"

Unread postby americandream » Tue 10 Jun 2014, 04:49:47

$this->bbcode_second_pass_quote('copious.abundance', '')$this->bbcode_second_pass_quote('Strummer', '')$this->bbcode_second_pass_quote('copious.abundance', 'I') hope I don't need to mention that there are energy forms that are renewable (solar, wind, etc.) and others that can provide energy for millennia, at least (nuclear). Civilization is not going to run out of energy.


You should really try to understand EROEI. The problem is not running out of energy, but running out of cheap energy...

Read the first link in my sig. I have proven that the economy can grow while total energy consumption has remained flat. In fact that is exactly what has happened in the US for the past nearly 20 years, as I demonstrate in that post. The US economy has grown by either 92% as measured in nominal terms, or 43% as measured in real terms, since the year 1996.


Those who own the US economy have no need to grow it onshore. They can grow it offshore, for example in their Chinese factories. Growth however is always present in a capitalism yet to peak.
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Re: The Fallacy of "Growth"

Unread postby SteveO » Tue 10 Jun 2014, 13:47:08

$this->bbcode_second_pass_quote('Pops', 'T')he only radical thing you need to understand is that the ride is temporary, the fuel tank will eventually empty and you should be prepared for landing or at least decent.


Spot-on post, Pops.

It just sucks to be taking that back-end ride down.
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