Worth Reading: The End of Growth: Adapting to Our New Economic Reality

This book is well worth a careful reading. The author asserts that economists are caught up in the assumption that economic growth will continue into the foreseeable future and further asserts that their theory of continuous growth is wrong now and in the future.

 His theory is based on the three Ds:

1. Depletion of natural resources that feed our energy demand. This is worsening as China, India, Eastern Europe and African countries are starting enormous demands for energy.

2. Disasters that stress nations, destroy the environment, some evidenced by the search and harvesting of oil from deep-water sites. Reflecting on the impact of recent accidents, he describes a recurring theme in the future

3 Debt as reflected in housing, national debt, aggravated by the demands of #1 & 2, then bloated by government stimulus programs.

As you read this fascinating argument it becomes obvious that the underlying factor is the lack of sufficient, affordable, environmentally clean energy. It is energy that has had abundance, was cheap, was free from environmental controls that literally fueled the tremendous growth in the “developed’ countries.

The future energy potential is shown considering “clean” coal; wind, solar and hardly any nuclear. This is interesting in that of all the potential renewable, clean, efficient, affordable energy sources only nuclear power can be made to create an on going growth scenario. But the author does not take that path; perhaps demonstrating the lethargic steps being taken by our leaders and governments to develop plans to understand and to address the no growth change and to exploit the nuclear potential. Herein lies an enormous opportunity.

Dr. L. Robert (Bob) Libutti, posted by John R. Grizz Deal

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