Steady State Revolution - Fighting for a Sustainable World with a Steady State Economy

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The Sigma Of Growth

By Joshua

We need a social revolution to sweep the country (and the world): changing the business-as-usual economy into a stable, sustainable, human-oriented economy. A transition to a just, dynamic steady state economy will require movement of the people. This has me thinking that one thing we need is to create a stigma around pro-growth supporters: those that support continued economic growth in the face of ecological and social degradation.

In the seventies it was “the man.” The Man was keeping us down. The Man was taking our money. The Man was pushing his agenda of consumption, 40-hour work weeks and corporate profit. Today that stigma has been replaced with acceptance and encouragement! We need to bring back the Man, but we also need to create a similar stigma on the pro-growthers, the liquidators.

I propose “growther.” It sums it up pretty well. It should be used in disgust and disapproval, like “that’s the agenda of a growther trying to destroy your work-life balance” or “those growthers are driving our planet towards collapse” or “you ignorant growther!” I’m open to other ideas, too, so please chime in!

with 6 comments | Posted August 23rd, 2010 at 7:00 am |

No-Growth Economics and You

By Joshua

Kevin Drum with Mother Jones has a great blog. However, I was surprised to read a recent response to a no-growth article – Kevin is apparently a growther, not willing to accept the fallacy that is continued economic expansion on a finite planet. What Kevin might not realize is that increasing the size of the macro-economy on a planet that doesn’t grow, with resources that remain constant (actually, since we’re in overshoot, our resource base is steadily decreasing), means increasing scarcity, not wealth.

There are, as with many of his posts, tons of comments. I have made a few and I invite you to comment there as well. Here are the first two of mine:

Kevin,

I’m seriously disappointed in you. I mean, truly disappointed on a massive scale. Of all people, I figured you would see the truth behind this argument and the ridiculousness of the idea you can continue economic expansion on a finite planet equitably.

You seemingly failed to do any other research around it and jumped to the conclusion (falsely) that a non-growth centered economy wouldn’t work or wouldn’t be pleasant. Actually, most of human history was a steady, non-growing economy and we did just fine. Why do we suddenly think the last hundred years is how the next thousand will go?

Read Tim Jackson’s Prosperity Without Growth. It’s a book, but also available as a shorter report or even as a summary if you really don’t have time. Or read Peter Victors book, mentioned in that article, where he actually shows how a future in a steady state economy is desirable over the continued expansion of the economy.

Basically we have two options:

(1) Focus on development (not expansion) of our society in a sustainable fashion, thus improving the lives of most of the population and actually confronting climate change, hunger, and poverty; or

(2) Keep betting on the horse that has been losing the game: growth. Meanwhile, as our economy expands and our biosphere REMAINS THE SAME SIZE, we will each of us have less and less – less water, less food, less fuel, less nature. Further growth = increased scarcity.

Growth has failed to increase our happiness (after a certain point of basic needs, further growth adds little or nothing to our happiness).

Growth has failed to end poverty: it has, in fact, increase it.

A non-growing economy would not be stagnant. A dynamic steady state economy is the result of focusing our energies on improving our society instead of making it bigger. We actually have a chance of accomplishing the things that the growth economy has failed at: eliminating poverty, improving equality, tackling climate change.

The last one is without a doubt, absolutely impossible in a growing economy – for the very same reason why we cannot improve our technology fast enough to make up for growth (also known as decoupling, which is a myth).

Lastly, we our ultimately bound by the physical laws of the universe – the laws of thermodynamics will eventually make any further improvement in efficiency, and therefore growth, impossible.

Please read up on this topic before you go spinning the dogma of growth. Economic growth is the largest threat to human society.

Cheers,
Joshua Nelson
steadystaterevolution.org

And, in response to a comment about decreasing work hours and increasing leisure time:

Actually, total work hours were decreasing steadily because of increasing productivity from the beginning of the industrial era until the 70s/80s. Then came the worse president in our nation’s history: Ronald Reagan. History will remember him as the president who eliminated publicly funded college, threw a bunch of mentally ill out on the street to fend for themselves and pioneered the vision of growth-at-all-costs, greed-focused economics.

What happened in that era was a reversal of that decreasing work hours trend. Prior to this shift increases in productivity would partially decrease work hours and partially increase production (grow the economy). Today, all productivity and efficiency increases go directly to expansion of the economy, because work hours remain the same (or increase), dumping it all into growth.

A good book on this topic is Juliet Schor’s Plenitude: The Economics of True Wealth, or you check out her lecture at a Seattle City Hall event.

We could eliminate our staggering unemployment by cutting back the average work week. We could do away with economic expansion by, in part, placing all productivity gains into producing the same amount in less time – working less, put still producing. This is where the more leisure time comes from: less work, similar pay.

They’ve partly been doing this in many European countries (where they continued on the path we gave up in the 70s/80s). The French work 35 hours a week and Germans have a flexible work week. Most Europeans also get around 8 weeks of vacation a year (not like our measly 2 weeks in the US) and in some countries (Sweden) there is 3 months of paid maternal and paternal leave after a birth.

Any wonder why these countries consistently rate higher on happiness and well-being metrics?

We should be focusing on prosperity and improving human well-being, not making more stuff and destroying our planet. The results are in on the economic expansion: it only works to a certain point, after which is actually undermines our happiness. Besides, why are people so opposed to working less and having more free time? I’d love to have more time with my son, focusing on my writing, reading, or actually getting to the gym. I find it so strange that there is an uproar against having more free time.

Perhaps the view of a better world is too must of a fright because it shows clearly the flaws of the current world?

Cheers,
Joshua Nelson
steadystaterevolution.org
postgrowth.org

Check out Kevin’s blog (outside of the growth post, generally a great blog) and comment here.

one comment | Posted July 29th, 2010 at 9:21 am |

The Earth Bleeds Out

By Joshua

If only the words “back from whence ye came” could really have magical powers and plug the mortal wound we have inflicted upon the Gulf of Mexico (and soon her bigger cousin, the Atlantic Ocean and Eastern Coastline). Whilst our human brains convince us over and over again that we are above nature, can outsmart her, or take over her services, she shows us again and again the error in our ways. From Katrina, to Taiwan, to Haiti and many more, Mother Nature is an unrelenting and all-powerful presence in our lives. This shouldn’t be seen as an unwelcomed presence – far too often we seem to run away from nature, when we are, in fact, of nature and in nature.

I have been avoiding writing about the Gulf Disaster because it seems pretty well covered: it’s everywhere, whether you read it, watch it, or listen to it. However, I couldn’t resist promoting this incredibly moving image tool: Ifitwasmyhome.com. What would the oil disaster look like if it was centered over your home? Check it out for me here in Seattle: (Thanks to nef’s Triple Crunch Blog for first showing me this site)

Gush Forth! Oh, Mighty Earth!

Imagine this were true: the largest populated area in the Pacific Northwest would be almost entirely covered in oil, even up over the Canadian border. They’re our allies, but I can’t imagine they’d be happy with that type of sharing. All of the Olympic Rainforest and National Park would be dripping wet with crude. Lake Chelan would be filled with black gold. As far south as Centralia and stretching over the many islands of the Puget Sound – all wiped out by BP’s greed for a fossil fuel. Good-bye Orcas! good-bye Salmon! Audios watersheds, fisheries, and my beautiful hometown.

They seem completely incapable of stopping the leak (some wonder if they won’t be able to do it or it might wait until Christmas). Personally, I think it is motivation to sell your car, ride your bike, and vote for a constitutional amendment outlawing corporate personhood (had this occurred prior to 1886, the government could have liquidated BP’s assets to cover everything and thrown everyone involved in jail).

All of this is the direct result of our lust for oil. We are destroying the largest fishery in the US (something like 70% of our shellfish and 30% of all our seafood comes from the Gulf), destroying priceless natural capital. For what? BP’s giant profits. This won’t finish them unless we take them to court, and even that is doubtful to have a large, positive result within a decade. At least the local economy will get a bump in GDP while everyone rushes down there to clean it up, right?

What do you think of the developments down there?

with 14 comments | Posted June 2nd, 2010 at 12:30 pm |

Life After Growth – Economics For Everyone

By Joshua

The economy’s gotten bigger, but the inequality has as well. Most of the growth in income is placed in the top 10-20% of the world. If you’re lucky enough to be that 1 in 10, or 1 in 5 people (by the way, cancer if more common now that being in that group), you might buy into the idea that economics growth is good, sustainable, and right. But think about the other four people in the room?

Growth has taken the place of our religions, our morals, and most of our society’s decisions – they are now framed by, simply, “is the price the right price.” Well, is it? We should be ensuring our economy is about “maintaining and renewing life on Earth, human life and all other life.” (Vandana Shiva)

This short film is a great synopsis of the arguments against growth. Life Without Growth – Economics For Everyone asks “what’s wrong with this picture?” and then goes further, asking “This degrowth idea might be an answer, but I don’t understand what it will look like in reality, what does it mean for me?”And it answers:

“It looks like a lot of things, that are happening right now: Voluntary Simplicity,” for one. Giving up your pursuit of more things, a bigger house, greater pay for a pursuit of less work, more fun, simple, non-complicated life.

“That sounds a bit extreme to me, are people doing this on a community level?” Yea, Transition Towns, for instance.

“Yea, but even if this is happening at a local level, the banks, the corporations and the governments – they’ll never buy it” Sure, in most cases, right now, but we can change that. And a lot of groovy things are going forward in some governments already: recognition of ecosystem services, adoption of well being metrics, et cetera.

“So, where do we go from here?” Work less, consume less, live more. Life after growth.
“Everywhere people are engaging in degrowth type activity – the beginning of a wave that is laying the groundwork for a post-capitalist future…

Because it’s not the size of the economy that counts, its how you use it!”

Life After Growth – Economics for Everyone from enmedia productions on Vimeo.

no comments | Posted April 29th, 2010 at 8:22 am |

The Limits of Efficiency

By Joshua

A few months ago I wrote about the myth of decoupling – how you cannot separate economic growth from environmental impact. I touched on a topic in that post that is critical to the argument against continued economic growth: the limits of efficiency and the physical constraints of thermodynamics on the economy. That post received a lot of good feedback, as well as a few requests to talk about efficiency limits in more detail.

Neoclassical Arguments Defy Natural Laws

Gravity is a basic law of our existence. To hear someone claim that gravity is a myth would be astounding. A large group of people believing such a claim would be even more ridiculous (sounds like climate change deniers, actually). Yet, anyone trumpeting infinite economic growth does just that: makes a claim that violates basic laws of nature.

You might be asking yourself how I can make such an accusation when we are obviously still growing as an economy. Well, sure we are, but this is actually uneconomic growth, false growth, and debt-driven growth. All that debt is expanding while our natural resources do not – which spells C-O-L-L-A-P-S-E, if you’re curious.

The most common argument for economic growth continuing indefinitely without undermining the environment is “technological progress.” This really means technological efficiency, or our ability to do more with less and less. Neoclassical economists, policy makers, politicians, and even the average citizen today all believe technology will save us in the end. The thought is that we’ll move to an “information economy” or to a “space economy” and produce growth by using less resources.

The basic claim is we will continue to make leaps in technological progress that will maintain economic growth at the same level of ecological impact (resource use, waste, etc). We can make more today with less material per unit and less energy per unit than we could two decades ago. However, as a pointed out in my earlier post, this relative decoupling is weak in comparison to the growth of the economy as a whole. That is besides the point. The matter at hand is efficiency.

We can get better and better at production only to a certain point. Efficiency cannot improve infinitely, therefore the economy cannot rely on it for infinite growth. Period.

Read More –>

with 3 comments | Posted April 21st, 2010 at 12:48 pm |

Obama Announces Degrowth, Wins Republican Support

By Joshua

President Obama Speaks On Health Care In Portland, Maine

"We Must Forge A Sustainable Nation For All"

In a surprising turn of events, President Barack Obama announced in a press conference today that economic growth could no longer continue as we know it. As a prominent New York magazine quoted, “the press room went silent and after a tension-filled moment, erupted in applause!”

As numerous environmental groups, ecological economists, and people with common sense have been trying for decades to gain political ground on the issue, a left-field bipartisan bill was drafted late last night and rushed through both the House and Senate. News of the conflict between growing the economy and maintaining an environment that can sustain human life was a shock to many in congress. However, conscience and prudence won the day, prompting late-night legislative sessions.

Tomorrow President Obama will sign into law the American Development and Reorientation Act, a comprehensive bill that will overhaul the financial sector, incorporate well-being into national accounts, end fossil fuel subsidies, tax pollution, cap greenhouse gas emissions, remove rights of person-hood from corporations, and provide minimum incomes and cap gaps in wealth – all to provide a more stable and just economic system that focuses on developing our society instead of expanding the size of our economy.

As the President said during the conference,

“By recommitting ourselves to the founding ideals of this great nation, focusing on our possibilities and liberating ourselves from failed ideas and institutions, together we can create a stronger, better nation that secures a fulfilling life for every person and honors the premise of the Declaration of Independence that every individual is endowed with an unalienable right to life, liberty and the pursuit of happiness.”

This amazing turn-about in public policy not only represents the needs of the America people, but ensures a long, prosperous future for our society on this planet. This will go down in history as the first major (gigantic) step towards a sustainable world for all! Well done, Mr President!

**Happy April 1st everyone!**

with 2 comments | Posted April 1st, 2010 at 4:46 pm |

Capitalism, Socialism and Communism

Let's Get a Few Things Straight Here

By Joshua

Okay, I am tired of these terms being used improperly. The last two are thrown around by politicos like they’re handing out free candy. Usually socialism is used by someone (we all know who) to label something they want to attack without using an actual argument or facts to support their opinion (also called bullshit).

Let’s quickly review the actual definitions of these three types of systems:

Capitalism: An economic system that allows private ownership of production. That’s it, that’s all capitalism actually entails – not low taxes, or private health care, or small government. Capitalism is simply a system that does not have government control of production (the government doesn’t own the factories, the companies – well, outside of car companies now – or the processes to produce products. Period). Capitalism refers to a type of economy, not a necessarily a type of government (“Social democracies” in Europe are still capitalistic countries, as the government does not control production).

Socialism: An economic system that advocates either public or direct worker ownership and administration of production and allocation of resources. Socialism removes production and wage labor as commodities, maximizing the “use value” instead of the “exchange value” – that is to say, real wealth versus phantom wealth. In a socialist economy the worker owns the production means and rights to resources.

Communism: An economic and social structure that advocates complete public ownership of production and allocation of resources. Communism is by far the most intertwined with political control of classes, wages, and policies to eliminate poverty or wealth gaps. Communism is considered more of a political expansion of the economic system of socialism and has been in the past portrayed as an attempt to create a Marxism utopia through government (ironic, as true Marxism would have no government).

Each of these systems has political ramifications in any society that institutes it. However, capitalism and socialism in-and-of themselves are economic systems. More importantly, none of these systems require economic growth. You can easily have privately owned production (flourishing production) without a continual expansion of the entire economy. Each of them are human creations. Economic growth is a human creation!

Any human system will be flawed, but hopefully we learn from our mistakes and get closer and closer to perfecting it. Perhaps this is humanity’s own Zeno paradox. While communism doesn’t work for us and socialism has its flaws, why should we assume that rampant capitalism is the answer? We should question the flaws in our system and work to correct them. A non-growth economy can be communist, socialist, capitalist, or anything else we want it to be – the economy is our creation.

no comments | Posted March 31st, 2010 at 8:31 pm |

Newsweek: The No-Growth Fantasy

By Joshua

Newsweek recently published an article titled, “The No-Growth Fantasy: Europe’s Attack on Capitalism.” Calling a no-growth economy a fantasy is a bit delusional, I think continued economic growth is the real fantasy here. I just commented on that article, my response is below – expanded past their comment section’s character limit.

“A large part of what was taken as growth was financed by unsustainable bubbles in credit and asset prices.” Most of our growth in the past 50 years has been nothing but bubbles: credit bubbles, housing bubbles, internet bubbles, property bubbles – even a Uranium bubble. We all hate when the bubble pops, why get back on the growth horse and expect different?

You discuss resource depletion as if it can be thinned down to last forever, while we continue to grow the economy (and therefore, the amount of resources needed). Efficiency is key, for sure. However, you can only get so efficient! If we could reach 100% efficiency we’d be able to use the same gallon of gasoline in our cars over and over again forever. Even if you don’t trust those pesky laws of thermodynamics, common sense should tell you this is pure nonsense.

And discussions of “barely tapped potential of genetic engineering and other plant-breeding technologies” envision a future of mutated plants, crowded cities, and soylent green. I don’t know about you, but I do not want to live in a world of genetically engineered food supplements, packed into a tight living space, simply because we didn’t want to think outside of economic growth. Besides, these technologies will have their limits as well, assuming we can make them viable in time, and then what? What’s the next thing we can latch onto in order to keep this hamster wheel spinning?

“Even if the critics are right and growth is going to be harder to attain post-crisis, that’s no reason to give up on it. Just the opposite: all the more reason to spend our energy coming up with the right policies—from education and innovation to entrepreneurship and competition—that will help foster it.” Right, pick something to keep the wheel going because you’re afraid to deal with the transition to a stable, just, sustainable economy? This is cowardice shrouded in a cloak of misplaced optimism.

Read More –>

with 3 comments | Posted March 24th, 2010 at 10:30 am |