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THE Free Market Thread (merged)

Discussions about the economic and financial ramifications of PEAK OIL

Re: losing faith in free markets?

Unread postby CarlosFerreira » Mon 28 Jul 2008, 09:55:47

$this->bbcode_second_pass_quote('Canuk', '
')Adjustment to the progressive income tax scale and rates could be implemented to reduce the impact on the low and fixed incomes. If the personal deduction was increased and a rate reduction at the bottom bracket was implemented it could be relatively revenue neutral while introducing necessary consumption based economic feedback.


Wouldn't you agree that doing that would bring about a big incentive for people not to state all their income, therefore staying in a lower bracket of the tax scale and paying less for the same service?

We started recycling a few weeks ago. I was reading Collapse and got fed up with the nonsense of, besides reducing and reusing, we weren't recycling. But the family's not too into it, and they'll probably stop when I leave home. People, consumers, all of us - we have been raised in a system that makes you pay for a product (at the shop) but not its removal. The company that produced that product probably doesn't care too much about how you discard it. We're not paying for the entire throughput, just for the input. A free market would work when you paid the value of buying and disposing that product. VAT is just a source of revenue for the government, that may or may not be used to take care of wastes.

A free market, a real one, would probably raise prices and reduce consumption. Intervention stops that from happening. Wonder why isn't intervention the other way around? That's the biggest proof of plutocracy in today's markets: intervention exists, but it's only one-sided.
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Re: losing faith in free markets?

Unread postby MrBill » Mon 28 Jul 2008, 10:26:08

Carlos, in a social-democracy with a market economy it is the government that passes laws on behalf of its citizens that states how much a company can pollute or indeed how much waste they need to recylce. Rules and regulations properly enforced by democratically elected governments an behalf of their citizens are therefore supposed to address economic externalities. This is not a flaw in the current system. It is the way it is designed. If individual consumers that are also voters do not want to pay for the full cost of a good upfront then they have to pay for its disposal through the collective of taxes. It is up for them to decide at the ballot box. Companies can only go along with what the laws that the government decides to pass or face the penalties and other consequences of non-compliance.
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Re: losing faith in free markets?

Unread postby dorlomin » Mon 28 Jul 2008, 10:44:57

$this->bbcode_second_pass_quote('Eli', 'W')e in the US are suffering now under the worst kleptocracy on the planet.
Silly hyperbole.
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Re: losing faith in free markets?

Unread postby CarlosFerreira » Mon 28 Jul 2008, 11:02:53

$this->bbcode_second_pass_quote('MrBill', 'C')arlos, in a social-democracy with a market economy it is the government that passes laws on behalf of its citizens that states how much a company can pollute or indeed how much waste they need to recylce. Rules and regulations properly enforced by democratically elected governments an behalf of their citizens are therefore supposed to address economic externalities. This is not a flaw in the current system. It is the way it is designed. If individual consumers that are also voters do not want to pay for the full cost of a good upfront then they have to pay for its disposal through the collective of taxes. It is up for them to decide at the ballot box. Companies can only go along with what the laws that the government decides to pass or face the penalties and other consequences of non-compliance.


You're right, it's not the system that's wrong. You can also set-up locally (or regional) companies that take care of waste collection, disposal and valuation of recyclable goods. It's good business, I hear. As the extraction costs of raw material grow higher, the price paid for recycled looks better.

Hey, one of these days, people will gladly separate and sell they trash to transforming companies. That's not efficient, I know; As things get rougher, maybe one day that makes sense, economically.
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Re: losing faith in free markets?

Unread postby Tyler_JC » Mon 28 Jul 2008, 11:04:45

$this->bbcode_second_pass_quote('dorlomin', '')$this->bbcode_second_pass_quote('Eli', 'W')e in the US are suffering now under the worst kleptocracy on the planet.
Silly hyperbole.


Agreed!

The magnitude of theft is overwhelming in places like China, Russia, Mexico, and virtually the entire southern hemisphere.

The US is actually remarkably open and honest. The rule of law might not be 100% respected here but compared to most of the rest of the world, it's paradise.
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Re: losing faith in free markets?

Unread postby CarlosFerreira » Mon 28 Jul 2008, 11:17:02

$this->bbcode_second_pass_quote('Tyler_JC', 'T')he magnitude of theft is overwhelming in places like China, Russia, Mexico, and virtually the entire southern hemisphere.


Don't over-generalize, please. The southern hemisphere has been widely explored by the free, fair and remarkably honest northern hemisphere. Add China, Russia and Mexico and you're about to say that everyone but US and its allies are dishonest crap. That's the kind of statement that gave Europe the justification to take "development" there in the 19th century, and the US the justification to spread "democracy" since the end of WWII.
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Re: losing faith in free markets?

Unread postby Canuk » Mon 28 Jul 2008, 12:40:48

$this->bbcode_second_pass_quote('CarlosFerreira', '')$this->bbcode_second_pass_quote('Canuk', '
')Adjustment to the progressive income tax scale and rates could be implemented to reduce the impact on the low and fixed incomes. If the personal deduction was increased and a rate reduction at the bottom bracket was implemented it could be relatively revenue neutral while introducing necessary consumption based economic feedback.


Wouldn't you agree that doing that would bring about a big incentive for people not to state all their income, therefore staying in a lower bracket of the tax scale and paying less for the same service?


I am uncertain of how income is taxed in Portugal, in Canada and to a lesser degree in the US we have progressive tax brackets where income below a point is taxed at a certain rate and income above that point is taxed at a higher rate, and yes what you describe occurs especially among the self employed or in high cash businesses. I was trying to counter the socially regressive label that user fees get - lowering the bottom bracket tax rate would give all taxpayers a break to offset the user fees therefore it would be neutral and not as regressive.

$this->bbcode_second_pass_quote('CarlosFerreira', '
')We started recycling a few weeks ago. I was reading Collapse and got fed up with the nonsense of, besides reducing and reusing, we weren't recycling. But the family's not too into it, and they'll probably stop when I leave home. People, consumers, all of us - we have been raised in a system that makes you pay for a product (at the shop) but not its removal. The company that produced that product probably doesn't care too much about how you discard it. We're not paying for the entire throughput, just for the input. A free market would work when you paid the value of buying and disposing that product. VAT is just a source of revenue for the government, that may or may not be used to take care of wastes.


The cost of disposal should be more visible to the public or we will all end up like Naples Italy with nowhere for the trash to go or Toronto Canada which ships its garbage to Michigan in the US.
$this->bbcode_second_pass_quote('', '
')It is estimated about 350 trucks carry garbage from Ontario to Michigan every day.

http://www.cbc.ca/canada/toronto/story/ ... higan.html
These are 48' long trailers full of compacted trash.

By hiding the cost people are content to continue on with life as normal. If the cost was apparent to all the now "educated" consumer will have the opportunity to modify there behaviours.

Perhaps we need a more radical solution such as having the retailer or manufacturer take back a product including all packaging at the end of its life cycle. This would obviously not be practical but would be certain to solve the recycling and disposal issues rather quickly.
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Re: losing faith in free markets?

Unread postby Tyler_JC » Mon 28 Jul 2008, 12:42:10

$this->bbcode_second_pass_quote('CarlosFerreira', '')$this->bbcode_second_pass_quote('Tyler_JC', 'T')he magnitude of theft is overwhelming in places like China, Russia, Mexico, and virtually the entire southern hemisphere.


Don't over-generalize, please. The southern hemisphere has been widely explored by the free, fair and remarkably honest northern hemisphere. Add China, Russia and Mexico and you're about to say that everyone but US and its allies are dishonest crap. That's the kind of statement that gave Europe the justification to take "development" there in the 19th century, and the US the justification to spread "democracy" since the end of WWII.


Image

Would anyone like to argue that the dark red countries are not overwhelmed by corruption and government-directed theft?
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Re: losing faith in free markets?

Unread postby CarlosFerreira » Mon 28 Jul 2008, 13:00:26

$this->bbcode_second_pass_quote('Canuk', 'I') am uncertain of how income is taxed in Portugal, in Canada and to a lesser degree in the US we have progressive tax brackets where income below a point is taxed at a certain rate and income above that point is taxed at a higher rate, and yes what you describe occurs especially among the self employed or in high cash businesses. I was trying to counter the socially regressive label that user fees get - lowering the bottom bracket tax rate would give all taxpayers a break to offset the user fees therefore it would be neutral and not as regressive.


I agree with that. Question is, we've seen employers offer positions where only a part of the paycheck is declared, with the employed (who, therefore, is less taxed for Social Security) agreeing happily. I suppose if all services were taxed as such, it would bring a large dent in the money income from taxation.


$this->bbcode_second_pass_quote('Canuk', '
')The cost of disposal should be more visible to the public or we will all end up like Naples Italy with nowhere for the trash to go or Toronto Canada which ships its garbage to Michigan in the US.
...
By hiding the cost people are content to continue on with life as normal. If the cost was apparent to all the now "educated" consumer will have the opportunity to modify there behaviours.


Here's a true story. I went to the meat grocer's with mom and we were discussing the fact that our family started recycling. So the meat grocer tells me he used to do it until this year, but when the municipality taxed him with a (fixed for everyone) 10€ fee for garbage collection, he got so furious he decided to just dump everything in the trash and have them recycle! People just don't really havv the incentive, I guess.

Here in Portugal, we have 2 companies in the recycling business. One's an inter-cities, run by the municipalities (essentially a state-owned enterprise) that's a massive success. The other's a private company that keeps having problems, doesn't provide a good support for the community and presents massive debts. I don't know what are the reasons for this state of affairs, but I can only hope things get better.

$this->bbcode_second_pass_quote('Canuk', 'P')erhaps we need a more radical solution such as having the retailer or manufacturer take back a product including all packaging at the end of its life cycle. This would obviously not be practical but would be certain to solve the recycling and disposal issues rather quickly.


That's my point, I wish that would happen, as it would require redesign to spend less material (for example, through better packaging) and less consumption. However, that would bring about price increases, inflation and would spell the end for many companies. The government doesn't want that, so they'll just settle for doing "the dirty work" in a so-so way and keep on living. So, a free market is made impossible.
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Re: losing faith in free markets?

Unread postby Canuk » Tue 29 Jul 2008, 00:40:27

$this->bbcode_second_pass_quote('CarlosFerreira', '
')Here's a true story. I went to the meat grocer's with mom and we were discussing the fact that our family started recycling. So the meat grocer tells me he used to do it until this year, but when the municipality taxed him with a (fixed for everyone) 10€ fee for garbage collection, he got so furious he decided to just dump everything in the trash and have them recycle! People just don't really havv the incentive, I guess.

Here in Portugal, we have 2 companies in the recycling business. One's an inter-cities, run by the municipalities (essentially a state-owned enterprise) that's a massive success. The other's a private company that keeps having problems, doesn't provide a good support for the community and presents massive debts. I don't know what are the reasons for this state of affairs, but I can only hope things get better.


Here in Ontario we used to have refillable glass soda bottles and about 15 years ago the law requiring refillable containers was changed (at the request of the major soda companies) and these glass bottles were replaced by disposable plastic bottles. The old glass empties used to be returned to the retailer and then picked up by the distributor when he off loaded full bottles therefore relatively energy neutral from a distribution standpoint and the bottles could be reused 30-50 times. The plastic bottles are not returnable and end up being recycled or landfilled (or landfilled after recycling when plastic scrap prices are low). The plastic can be recycled but it is expensive to sort (hand sorting is required) and the plastic cannot be reused for food packaging due to possibility of contamination so is only suitable for items such as plastic skids, flower pots, etc. All of the costs for the recycling from curb pickup, trucking to the sorting plant, landfill (if necessary) sorting, grinding, etc. are paid for by municipal, provincial and federal taxes and thus in effect the product cost is subsidized. Therefore removal of the refilling requirement for soda containers moved a large portion of the life cycle costs of the product from the consumer to the public at large.

An opposite example domestic beer has remained in glass refillable bottles these have a 99%+ return rate and are refilled up to 30 times. Cans since they are not refillable have a very large deposit mandated by law so most consumers buy beer in glass. Additionally beer is sold through brewers retail or liquor stores the return of empties is to these depots and the truck that comes in with full beer can leave with the empties so there is little additional cost in energy (cheaper to wash bottles than make new) and also no subsidy from public funds that I am aware of. As a result 95% of the brewers have standardized there bottles to reduce sorting by color, etc. and by consequence the cost of the system - market forces at work to keep costs down.

$this->bbcode_second_pass_quote('CarlosFerreira', '
')$this->bbcode_second_pass_quote('Canuk', 'P')erhaps we need a more radical solution such as having the retailer or manufacturer take back a product including all packaging at the end of its life cycle. This would obviously not be practical but would be certain to solve the recycling and disposal issues rather quickly.


That's my point, I wish that would happen, as it would require redesign to spend less material (for example, through better packaging) and less consumption. However, that would bring about price increases, inflation and would spell the end for many companies. The government doesn't want that, so they'll just settle for doing "the dirty work" in a so-so way and keep on living. So, a free market is made impossible.


As MrBill stated above it is ultimately the citizenry at large that must demand the change. So maybe a few more Naples like problems are required for people to appreciate the situation and make the necessary changes so the market can respond to the problem.
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Re: losing faith in free markets?

Unread postby threadbear » Tue 29 Jul 2008, 00:55:31

$this->bbcode_second_pass_quote('neocone', '
')
The population is a Gauss curve.. the top 1% will always be persecuted by the laggards.


They should NOT be persecuted. They should be euthanized. Put them out of our misery.
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Re: losing faith in free markets?

Unread postby MrBill » Tue 29 Jul 2008, 03:12:23

$this->bbcode_second_pass_quote('threadbear', '')$this->bbcode_second_pass_quote('neocone', '
')
The population is a Gauss curve.. the top 1% will always be persecuted by the laggards.


They should NOT be persecuted. They should be euthanized. Put them out of our misery.


So I assume this classist solution is designed to get rid of the Warren Buffets and Bill Gates of this world? What about the bottom one percent? You know convicted convicts and drug addicts. Of course, the problem becomes that once you get rid of the top one percent then you have to get rid of the top two percent as they move up by default. Once we really get rolling we can get rid of the bottom quartile that are a drag on society. And get rid of the top quartile that are living off the backs of the middle classes. Then we can neatly squeeze society into only the middle 50-percent. But of course that's only an arbitrary starting point. Heaven help anyone that under or over-performed through personal effort, initiative or just plain luck.


canuk wrote:
$this->bbcode_second_pass_quote('', 'A')n opposite example domestic beer has remained in glass refillable bottles these have a 99%+ return rate and are refilled up to 30 times. Cans since they are not refillable have a very large deposit mandated by law so most consumers buy beer in glass. Additionally beer is sold through brewers retail or liquor stores the return of empties is to these depots and the truck that comes in with full beer can leave with the empties so there is little additional cost in energy (cheaper to wash bottles than make new) and also no subsidy from public funds that I am aware of. As a result 95% of the brewers have standardized there bottles to reduce sorting by color, etc. and by consequence the cost of the system - market forces at work to keep costs down.


Great example, canuk. Years ago the debate was to switch to aluminum cans to reduce transport costs as glass is heavier. This was not looking at all the costs in the product's life cycle.

Also, domestic producers wanted a level playing field with imports. If one has to recycle and the other not then the only way to protect domestic industry is through tariffs. Under WTO rules that is not possible. For every good intention there is often an unforeseen undesirable consequence, which is why these issues are rarely black and white.

Not unsurprisingly if I look at Tyler's graph of corruption I would find many countries in the red that require little or no recycling and for example do not have bottle and can deposits. Russia, Ukraine, Cyprus and other countries where I have lived do not have bottle deposits at point of sale or at point of return, so it not only reduces the incentive to recycle, but it increases the amount of litter.

Ironically, beaches, lakes, rivers, parks and historical points of interest that attract tourists, and where locals have picnics, are those places that suffer the most from litter making those places less desirable to visit. The solution is so simple and it has been tried and tested. Canadian Provinces have had bottle depots for so long that I cannot remember them ever not having them. It is so normal that it is a part of life.
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Re: losing faith in free markets?

Unread postby CarlosFerreira » Tue 29 Jul 2008, 06:17:55

In Portugal, glass bottles used to be about the only available packaging for drinks, either soda, glass or wine. All the bottles were returnable, and you had to the distributor (shop) a small fee when you bought the stuff. That fee was returned when you brought the bottle back, it was supposed to assure you did bring the bottle back.

Some 15 years ago, when large supermarkets boomed, there was heavy pressure to stop this. I suppose (I can't really remember, I was 12 or something back then) their argument was recycling would take care of waste, and that less energy-intensive and materials-intensive packaging would be developed. Technology... I suppose there was wide agreement among buyers who didn't want the inconvenience of carrying bottles back.

Nobody (that I remember) shouted that reusing is more efficient than recycling. Most people around here won't recycle, anyway!

Soda is nowadays mostly packaged in plastic bottles or metal cans. As for beer, wine and liquors, they're mostly packaged in glass bottles. There were a few experiments with plastic (beer) or Tetra-Pak (wine), but consumers didn't approve.

So, the result of deregulation was the maintenance of an energy-intensive and materials-intensive form of packaging, with raised costs (having to produce new bottles instead of washing old ones). I think producers got the sharp end here, by rising costs, and large distribution was the greatest winner, since they could turn their operations leaner.

I suppose you could argue that, as energy and materials extraction gets more expensive, there will be incentives to go back to reusing. In the meantime, there were years of waste and a generation has been brought up to just dump everything and expect it to be disposed of somewhere, as an externality.

Everything nowadays seems to be an externality, every player in the economic system (and that includes the State and the citizens) wants to take something out of its cost structure.
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Re: losing faith in free markets?

Unread postby MrBill » Tue 29 Jul 2008, 08:04:58

In Hamburg and Munich they have gone 100% automatic in their garbage recycling separating out glass, plastic, metal and paper for further recycling. This reduces the mass of garbage to about 5% of its original size of then mostly organic waste that is dried and then burned in an incinerator to produce electricity.

At the other end of the spectrum in Garbage City in Cairo the residents are getting quite prosperous by sorting garbage collected in Cairo by hand. The high price of recycled materials makes it quite lucrative for the operators to bid for garbage collection monopolies in various Cario neighborhoods. They pay to pick-up the garbage. This has reduced considerably the air pollution in Cairo from open fires to burn garbage in local neighborhoods.

Everyone else is somewhere between the Germans and the Egyptians. The high cost of natural resources as energy becomes more expensive mean that we will likely be looking at recycling in the future as being economical in its own right versus simply from an environmental point of view. However, if we can kill two stones with one bird all the better. Interestingly enough though both are a market approach to what was considered the tragedy of the commons. One that could only be solved by government.

But just so you do not think I am too optimistic and out of touch with reality, across the sea from here in one Lebanese municipality they do not have any more room in their landfill so they just push it into the sea. The wind and waves then bring that garbage, plastic and pollutants to Cyprus and Lebanon's other neighbors. The problem in Lebanon is that they do not have a functioning government, so the provision of basic services and enforcement of laws is on a very ad hoc basis.

As citizens live amoungst the garbage they stop to notice it and then their own discipline not to pollute or litter is decreased. And as these habits both good and bad have a network effect if you see others doing it you feel it is okay to do it yourself. Here in Cyprus I routinely see Cypriots throw garbage directly into the sea even though there are garbage bins everywhere along the beach. They do not even think about it. Plastic bags are the worst, but also drink containers in the sea, etc.

As a member of Rotary International we hosted the first (annual) Environmental Fair this spring. We gave cash prizes, trophies and certificates for the best ideas. We had over 200 participants this year and distributed more than 2000 euros in prizes. Needless to say of the schools that participated 90% of them were international schools and not locals. Okay, it is a place to start. Our goal next year is to include more local schools, raise more sponsorship money, give out more cash prizes and raise awareness in the community about the importance of the environment. Am I optimistic? I am realistic, but you have to start somewhere! ; - ))

UPDATE: 21st Century to Houston. Come in Houston.
$this->bbcode_second_pass_quote('', 'T')he recycled matter will be sold at a profit to companies like Wal-Mart and Lowe’s. But even that initiative has its critics.

“Picking up yard clippings isn’t radical,” Mr. Corley said. “It’s not even innovative. They just aren’t going far enough. Recycling ought to be mandatory. Send the waste police.”

And to make better use of the recycling containers it does have, the city next year will take them away from households that are not filling them and give them to ones on the waiting list. “Driving up and down the street to pick up nothing isn’t good,” said Sarah Mason, an environmental analyst for the mayor.

But city officials say the biggest barrier to recycling in Houston is cheap landfill fees. It only costs $32 to dispose of a ton of waste here, compared with $70 in the Northeast, according to the National Solid Wastes Management Association’s latest survey, in 2005.

Some reject that argument, however, citing other cities with even lower landfill fees.

“Blaming landfills is a completely flawed argument, old-fashioned thinking that is really just laziness,” said Eric Lombardi, the director of Ecocycle, the nation’s largest nonprofit recycler, in Boulder, Colo.

Mr. Lombardi’s operation claims a 60 percent recycling rate, despite landfill fees of $15 a ton — less than half of Houston’s costs. With commodity prices at a record high, he said, if recycling can be profitable “in my landlocked state without easy access to buyers like China, then it can be profitable anywhere.”

Mr. Lombardi said he envied places like Houston that had garbage to sell and ports nearby.

“Every house has to have a bin and a small trash can,” he said. “Come on, guys, it’s the 21st century. Political leadership is needed to say we’re going to change.”

source: Houston Resists Recycling
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Re: losing faith in free markets?

Unread postby Canuk » Tue 29 Jul 2008, 11:27:45

There is a large market for recycling the waste from the west in China and India - ship scrap yards have moved to India and electronics waste flows regularly into both. Some interesting scenes of these type of manual recycling methods are shown in this movie (there is a short trailer on the site): http://www.mongrelmedia.com/films/Manuf ... capes.html

Recycling has become the most common of the three R`s despite it actually having higher energy costs likely due to the lack of lifestyle change required and the external nature of these costs.

The problem with automatic or manual sorting is the inability to prevent mixed materials. Metals can be sorted based on density and magnetic permeability but resins are difficult to sort even when marked since there may be additives to the plastic during the process that restricts the reuse. Also, the quality of the post consumer product is affected by residues and biological contamination since most plastics are hygroscopic. Generally molding does not remove bacteria so the material reuse must usually be in non-food applications.

As to the organics - locally we recently introduced a "green bin" program separating organic (food, paper bits, garden waste, even meat & bones) matter from the waste stream to be composted in an industrial style composting facility using some of the compost material as fuel for accelerating the process. Unfortunately this is being funded locally on the property tax base due to the lack of future landfill space instead of funded by the consumer as a consumptive tax.
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Re: losing faith in free markets?

Unread postby threadbear » Tue 29 Jul 2008, 11:35:25

Mr.Bill--I wasn't serious.
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Re: losing faith in free markets?

Unread postby CarlosFerreira » Tue 29 Jul 2008, 11:50:25

$this->bbcode_second_pass_quote('Canuk', '
')As to the organics - locally we recently introduced a "green bin" program separating organic (food, paper bits, garden waste, even meat & bones) matter from the waste stream to be composted in an industrial style composting facility using some of the compost material as fuel for accelerating the process. Unfortunately this is being funded locally on the property tax base due to the lack of future landfill space instead of funded by the consumer as a consumptive tax.


Thank you, Canuk and MrBill for the great examples of how it can work. Every time I hear examples like the ones both of you have given , I feel my country is a loser. I'm going to research some numbers of recycled waste per citizen in Portugal, Canada and Germany. That might compare well with the corruption map. Might even come to the whole concept of environment destruction=corruption. :cry:

Can't discuss free markets without a look on the Doha round of WTO talks, can we?

$this->bbcode_second_pass_quote('', 'E')merging from late-night battling, Indian Commerce Minister Kamal Nath told reporters that the good news was the talks would continue, failing to note any progress.

Nath said he had been hoping for progress on issues such as a further reduction of farm subsidies by developed countries and the special safeguard mechanism, a measure for developing countries to protect their domestic farming from import surges.

"I am still hoping we will see some movement. I am still optimistic," Nath said.

EU Trade Commissioner Peter Mandelson told reporters that the ministers had held "very intensive discussions."

"We work and will continue on what is a very, very complex and sensitive," he said.

Ahead of the meeting Monday evening, WTO spokesman Keith Rockwell painted a pessimistic picture of the ongoing negotiations, which had passed the planned schedule of one week.


My interpretation is the most aware countries among the developing nations (and the ones with the greatest bargaining power) don't want to get caught in the whole drop-tariffs-and-be-flooded-with-subsidized-imports thing I quote somewhere in this thread. Tariffs as the best way to protect the low-value (but needed) products inside your borders? Or is it just a momentary fad because of food price increases?

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Environmental News and Clippings:
http://www.google.co.uk/reader/shared/1 ... 4898696533
Environmental Economics and Systems
http://enviroecon.wordpress.com/
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Re: losing faith in free markets?

Unread postby Canuk » Tue 29 Jul 2008, 15:39:08

$this->bbcode_second_pass_quote('CarlosFerreira', '
')I'm going to research some numbers of recycled waste per citizen in Portugal, Canada and Germany. That might compare well with the corruption map. Might even come to the whole concept of environment destruction=corruption. :cry:


The organic waste and many other recycling initiatives are mostly in Central Canada and generally only in some of the larger urban areas so the overall figures may be misleading.

However we use far more energy per capita than Portugal so we are more responsible for the CO2 problems even if we recycle...

$this->bbcode_second_pass_quote('CarlosFerreira', '
')My interpretation is the most aware countries among the developing nations (and the ones with the greatest bargaining power) don't want to get caught in the whole drop-tariffs-and-be-flooded-with-subsidized-imports thing I quote somewhere in this thread. Tariffs as the best way to protect the low-value (but needed) products inside your borders? Or is it just a momentary fad because of food price increases?

News link

I suspect that the corruption index will have a correlation to pollution since they are based on the same psychology - corruption occurs when the individual places his personal financial needs above the communities needs - similar to those who pollute putting their convenience or material gain above the needs of the community.
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Re: losing faith in free markets?

Unread postby phaster » Tue 29 Jul 2008, 15:58:03

$this->bbcode_second_pass_quote('emersonbiggins', 'I')f someone knows of a free market, tell me about it. I'd like to go see one in action sometime.


Since I started this thread, thought it was time to check back and see what became of it... been doing some thinking about the poll "do you believe in the free market?" And after reading some of the responses I now realize that even a simple question like that makes several assumptions and does not take into account all the nuances since there will never be a 100% free market that prices in product recycling or disposal costs, nor will there be a 100% command economy because any producer or politician does not have vertical integration, in other words has the ability to mine or grow the raw material, transform or manufacture a product that a consumer wants!

As it stands, the little problems we are seeing in the financial system with volatility in prices I think is a healthy thing and an example of darwins idea of "natural selection" and "price equilibrium" doing its thing.

Personally I have recognized that a problem of imbalance did exist on earth and no matter if you are a bible thumper or a computer geek, there have been many trusims that should have made this point quite clear. For example:

As you sow so shall you reap
GALATIANS 6: 7-9 (King James Version)

GIGO
computer science abbreviat for "Garbage In, Garbage Out"

Since this part of the peakoil board is concerned with economics, might I suggest that just as a company with an unsustainable business model dies off such as the many dot bombs

http://www.cnet.com/4520-11136_1-6278387-1.html

and a company that evolves and produces products that a consumer wants, lives to see another day (for example: apple.com and google.com) I'm taking the long view that the little problems we are seeing in the financial markets, the real world economy (i.e. gas station prices, food prices at the super market) will condition consumers as to a more sustainable life style. As for those individuals who recognized that a problem existed and/or had the means to do something about it and profit from providing a solution. For example even thought I think of T. Boone as being in the past a meddling republican partizan, I applaud natural gas and wind energy marketing blitz, and view his actions as just another way the economy and the environment are trying to reach a new equlibrium point....

Also noticed there has been an undercurrent of the idea of "fairness" rich vs poor, and thought I'd point out that in nature life isn't fair, never was and never will be. For example before there was civilization, lions in africa (the top of the food chain), culled the herd of vast herds of wildebeests of the old and weak, so over time the surviving wildebeests evolved to become stronger as a whole.

The symptoms we are now encountering with the environment and economy did not just appear out of nowhere, they are a result of the general public and elected officials who do not understand a basic idea of physics which is for every action there is an equal and opposite reaction.

Economics, science or religion alone are not going to solve or relieve the symptoms the human race is now encountering. If the objective is to solve the problem of high energy prices, then people in general have to look at the broader picture. For instance in stead of looking at higher than usual prices of energy and food as being jus an economics problem, people will have to think in big picture terms and see that economics has an impact on the environment (and vice versa).

http://globalpublicmedia.com/ecological ... ity_report
truth is,...

www.ThereIsNoPlanet-B.org
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Re: losing faith in free markets?

Unread postby MrBill » Wed 30 Jul 2008, 02:52:39

$this->bbcode_second_pass_quote('threadbear', 'M')r.Bill--I wasn't serious.


Thank goodness! I was going to offer to buy you lunch next time I am in Vancouver, but not if I am on the menu! ; - ))


Carlos, since you asked about the WTO trade talks this is my initial reaction to their failure. But this is only my opinion. I still need to read a lot more on exactly how and why the talks broke down.

$this->bbcode_second_pass_quote('', 'O')n an unrelated note. Economic historians will look back at the credit crisis that started with subprime mortgages in 2007 and draw parallels with the events of the Great Depression. One was the rise of protectionism and the Smoot-Hawely tariffs that exacerbated the stock market crash, recession and spread it beyond America's shores.

One of the events they will probably note is the collapse of the Doha Round of WTO trade talks. The anti-globalizers are getting their wish. Protectionism is on the rise. And the benefits of free trade based on comparative advantage will be lost. Those losses will fall disproportionately on the world's poor that have primarily only their labor to trade. But also the WTO loses some leverage over nations that use unfair trade practices such as quasi currency manipulation and non-tariff trade barriers. You cannot have all the benefits of free trade without fair trade.

Maybe those historians will blame the USA, but I think that nations like Brazil and India deserve their fair share of blame over agriculture issues that were a major stumbling block for the talks. Again the world's poorest lose out on related food security issues. Coming at or near the peak of conventional oil production and it is turning out to be quite a decade. We're living through History!


Source: from Trader's Corner this morning.
The organized state is a wonderful invention whereby everyone can live at someone else's expense.
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