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#259: The way we live next

#259: The way we live next

“Simultaneous harvest failures across major crop-producing regions are a threat to global food security”, according to a new report published by Nature. The technical jargon here references a “meandering jet stream” but, for non-specialists, what this means is that we can no longer rely on worse-than-average crop conditions in some places being cancelled out by better-than-average conditions in others.

Commenting on this in The Guardian, George Monbiot says that only five stories about this have appeared in the global media, which he contrasts with “more than 10,000 stories this year about Phillip Schofield, the British television presenter who resigned over an affair with a younger colleague”.

“In mediaworld, a place that should never be confused with the real world, celebrity gossip is thousands of times more important than existential risk”, says Monbiot.

This is a conundrum that affects issues beyond climate change, critically important though this obviously is. We can imagine busy people, with lives to lead and issues to confront, switching off in droves when the media turns to economics.

Moreover, they’re right to do this, if all that’s being presented to them is an outdated, fallacious doctrine which promises infinite growth on a finite planet, and claims that there’s a financial fix for every economic ill.

If it’s difficult for people to find time to think about a real issue like climate change, how can we expect them to take an interest in nonsense about infinite growth and the cure-all characteristics of money?

I’m writing this as the Surplus Energy Economics project closes in on its tenth anniversary.

To be candid about it, I don’t know exactly what I’m going to do next, but I can tell you my immediate plan.

This is the first of two planned articles to appear here. The second will try to sum up what I think we now know about the economy, understood as an energy system.

Here, I’m going to reflect on some of the implications that we can draw from what we know about the economy.

Of reality and perception

There are, of course, two ways in which we might explain the disparity of coverage between hard and important scientific news and the doings of people in the “mediaworld”. One is that ‘the powers that be’ who control the world’s media don’t want us to hear about – or worry and get angry about – threats to global food security.

The other is that the general public is simply more interested in stories about ‘slebs’ than in the complicated science and gloomy prognostications of the experts, and the media have a commercial interest in covering those stories which attract the greatest attention.

#241. Behind the crisis

#241. Behind the crisis

As you would expect, both the mainstream and the specialist media have been giving us minute-by-minute, blow-by-blow coverage of the financial crisis which began with the British government’s 23rd September “fiscal event”.

Unfortunately, this coverage and analysis is founded on a conventional school of economic thought which insists – rather, simply assumes – that all economic events can be explained in terms of money alone.

This assumption is fallacious. The fact of the matter is that we can immerse ourselves entirely in monetary theories and financial analyses until the proverbial “cows come home” without understanding more than the surface manifestations of the underlying situation.

As a corrective, let’s remind ourselves of something that ought to be self-evident. This is that the economy is a system which delivers those material products and services which together constitute prosperity. Money is simply a proxy for these products and services, a means of exchange and distribution which does not, of itself, determine the availability of this material prosperity.

This ‘money-only’ fallacy delivers false comfort, in at least two ways.

First, it enables us to explain away the current crisis in terms of idiosyncrasies – there’s a surface narrative which assures us that, if we can avoid the kind of bungling in which the new British leadership has become enmeshed, we can similarly avoid the kind of crisis now unfolding in the United Kingdom.

We might, indeed, be persuaded that even Britain can find a way out of this crisis through ‘rationalization’, which, in this case, might mean ‘finding rational people to manage its economic affairs’.

Now that growth has reversed

The second source of false comfort is the mistaken assumption that finding the right blend of fiscal and monetary policies can deliver the nirvana of perpetual growth.

…click on the above link to read the rest of the article…

Olduvai IV: Courage
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Olduvai II: Exodus
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