Friday, October 23, 2009

read this!

Does Economics Violate the Laws of Physics?: Scientific American
These thinkers say that the neoclassical mantra of constant economic growth is ignoring the world's diminishing supply of energy at humanity's peril, failing to take account of the principle of net energy return on investment. They hope that a set of theories they call "biophysical economics" will improve upon neoclassical theory, or even replace it altogether.

1 comment:

  1. It's a load of garbage. It assumes that 1) Oil is the only viable energy source, 2) Oil is near peak- which it isn't, by more than a decimal point, 3)That energy needs per capita will continue to expand. All of those points are wrong, though each deserves a long essay to discuss. The authors fell into the fallacy of just extrapolating charts and trends without examining what goes into them.