International Journal of Inactivism — Mindless Link Propagation section

  • 06:10:53 pm on July 4, 2009 | 0

    Via Michael Tobis, a blog post by John Michael Greer.

    […] I’d recommend that anyone concerned with the future of our society ought to read at least one [economics textbook]. This is not because current economic textbooks offer useful guidance to the challenges of our time. Quite the contrary; the world they describe is as imaginary as Oz […] What makes them important is precisely that so many of the decision makers of our time treat this fantasy as reality.

    […] The Energy Information Administration (EIA) […] has become infamous in the peak oil scene over the last decade or so for publishing estimates of future petroleum production that have no relationship to geological reality. Their methodology […] was simply to estimate probable increases in demand, and then to assume that increased demand would automatically be met with a corresponding increase in supply. […] it takes only a few minutes’ worth of reading to identify the real culprit as the standard notion of the law of supply and demand taught in every first-year economics textbook today.

    […] E.F. Schumacher […] drew a hard distinction between what he called primary goods and secondary goods. Secondary goods are the goods and services provided by human labor, the ordinary subject of economic theory. Primary goods are the goods and services provided by nature, and they make the production of secondary goods possible. […]

    A failure to distinguish between primary and secondary goods is at the root of a great deal of current economic nonsense.

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