What if the planet has sustained our maximum potential for industrial growth?

By Heather Clancy | Dec 2, 2009 |

The technology publishing empire where I spent most of my 20-plus years in high-tech journalism was, at the time, the foremost expert about channels of distribution for the high-tech industry. My primary readership was the army of VARs, systems integrators, computer resellers and IT solution providers that support the desktop and data center infrastructures at businesses large and small. At one time, we were THE biggest newsweekly in the publishing world. Literally.

The high-tech vendor community, of course, was always seeking to recruit business partners from this community that could help them grow and grow fast and big. It looked down on members of this distribution channel community who supported more modest economic growth goals. We even coined a term for it “lifestyle” businesses, meaning that the owners of those companies were interested in sustaining a certain level of growth and revenue and they didn’t have much ambition behind that. They worked to live. They did not live to work.

It would be blasphemy to utter this question at my former employer, but here goes: What is so wrong with that?

Where is it writ the every company in the world must grow at hyper speeds?

In fact, is it possible to grow at hyper speeds forever?

I ask these questions by way of prefacing my links to two reports about this very topic.

The first takes the form of a study published by two “environmental think tanks” based in California called “Searching for a Miracle: Net Energy Limits the Fate of Industrial Society.” The basic thesis of this report is the following: based on current rates of investment in energy/power production, we will not be able to sustain our current levels of industrial production and personal consumption beyond a couple of decades. The authors/editors of this study are Richard Heinberg with the Post Carbon Institute and Jerry Mander with the International Forum on Globalization.

The analysis is given over to exploring the best potential alternative energy prospects for shifting this trend, notably wind energy and certain types of solar energy. Close to 20 alternatives are considered, altogether.

The tone of this new study echoes one that was published by Earthscan out of London called “Prosperity Without Growth: Economics for a Finite Planet.”

Here are some thoughts from the author, Tim Jackson:

“Governments are locked into defending growth in a system where stability depends on growth. Chasing growth makes it incredibly difficult to chase climate goals, too. So what we urgently need is an economic system that doesn’t rely on growth. Right now, the one we have is undermining the ability of governments to function properly. It is undermining wellbeing in the richest nations and it is driving us rapidly toward catastrophic climate change.”

Jackson’s data for the book is based on two years of research in his role as economics commissioner for the United Kingdom’s Sustainable Development Commission. Here’s Chapter 1.

And if this wasn’t enough to convince you that there is a fundamental shift happening in the field of economics, George Soros has invested $50 million to establish a new organization called the Institute for New Economic Thought to escalate discussions of this sort to the next level.

Are you ready to talk?

 
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  •  
    1

    CarlGundel

    12/03/09 | Report as spam

    RE: What if the planet has sustained our maximum potential for industrial g

    One word. Climategate.

    I'm all for conservation and not polluting the environment with
    persistent toxins and heavy metals, but I'm distressed that even
    after the lid blows off of the climate change movement that
    people are putting their hands over their ears yelling "I'm not
    listening! I'm not listening!"

    We need to stop and take account of what's going on here
    before we take even one more step towards global climate
    taxes and world government based on the premise of CO2
    emissions.

  •  
    2

    JonA_z

    12/03/09 | Report as spam

    Think outside the box

    or in the case... the earth.

    It really surprises (well... not really), how lacking in vision most
    of the "climate visionaries" are. When examined closely, their
    "visions" are nothing more than a declining future of less and
    less for succeeding generations.

    They completely ignore the limitless (or nearly so when talking
    about current projected human needs) resources of the solar
    system that are literally just lying there for the taking.

    The future of man's survival is in space, not on earth. Because
    that's where the resources and opportunities are. Both are
    limited here.

    Life on earth is fragile not because the earth is fragile, but
    because the earth can be inhospitable to all life. So much so, it
    (the earth) has nearly extinguished it on several occasions.

    Even if mankind totally ceased every form of pollution, to stay
    on earth is to sit around and wait for the inevitable. Caused by
    forces we do not and can not control, true climate change will
    not be altered/stopped by human efforts. To think otherwise is
    simply arrogant beyond imagination.

  •  
    3

    simond@...

    12/03/09 | Report as spam

    RE: What if the planet has sustained our maximum potential for industrial growth?

    Can you completely agree and disagree with a story at the same time?

    I compare the rapid growth companies to the processor speed race a few years back. It finally got to the point that a faster processor made the computer slower because the bus and other components of the PC couldn't keep up. If the companies can switch their focus to the limiting factors they can continue to grow. If not, they fail.

    God made the planet to do a great job of regulating itself. The more CO2 the better plants grow so the more O2 is produced. We could probably mess up enough of the planet to do the things some scientists are claiming we are doing, but I think we would have actually try.

    The best environmentalists I know are farmers who work with the land daily and not some scientist who is fishing for government grants and/or fame.

  •  
    4

    LarryPTL

    12/03/09 | Report as spam

    Have you not heard about Climategate?

    To pretend Climategate doesn't exist and bury your head in the sand is a sad commentary. If you want to be considered seriously, you need to address the implications of what looks like the greatest scientific fraud since Ernst Haeckel's embryo drawings were declared fraudulent and he was convicted by a jury of his peers of fraud.

    No one is going to believe in sustainable growth until Climategate is dealt with. Bite the bullet and address the issue or forever remain irrelevant.

  •  
    5

    pranavb99@...

    12/03/09 | Report as spam

    RE: What if the planet has sustained our maximum potential for industrial growth?

    Ironically, its the government's cheap credit policies which drives consumer spending and the purchases of trinkets shipped across the sea, subsidies for housing loans which drives even larger houses, subsidies for road building which drives more energy usage and pollution.

    So I agree that government is the problem. But we don't need an "economic policy." We just need to get the government out of this role entirely and into the role of protecting rights. Politicians are highly subject to being bought and to populist pressure for jobs if they have the power to dictate economic policy. They cannot have this power.

    I believe it was James Fenimore Cooper who said that nothing corrupts like public office.

  •  
    6

    jar2

    12/03/09 | Report as spam

    RE: Maximum potential? File it with these statements . . .

    "Everything that can be invented has been invented."
    - Charles H. Duell, U.S. Commissioner of Patents, 1897

    "We don't like their sound, and guitar music is on the way out."
    - Decca Records, rejecting the Beatles, 1962

    "There is no reason for any individual to have a computer in their home."
    - Ken Olsen, CEO, Digital Equipment Corp., 1977

    "640k ought to be enough for everybody."
    - Bill Gates, CEO, Microsoft, 1981

    Whatever happened to "Necessity is the mother of invention?"
    Do these people really believe that newer, more efficient ways to produe goods and services will never be found again?

  •  
    7

    ryan_cobine@...

    12/03/09 | Report as spam

    Important development that needs to accellerate

    I've wondered about these very same questions for several years, though without the benefit of any training in economics happy

    While there clearly is much room for "growth" of a kind in most parts of the world, and yes, still here in good old USA, too, the "growth" indicator that has been used (GDP) seems woefully inefficient. It seems to me what we as a collective might truly care about is not growth (meaning expansion) but the level of economic activity and overall efficiency.

  •  
    8

    lastbyte

    12/03/09 | Report as spam

    RE: What if the planet has sustained our maximum potential for industrial growth?

    Yes, I share the same agreement. Unless there is another technology breakthrough, otherwise Earth cannot sustain growth in long term.

    One of the ways raised to reduce carbon emission is to impose taxes or via carbon credit trading. However, I wonder whether this is going to be effective or not?

    I quote the following paragraph from
    http://sgenterprise20.blogspot.com/2009/12/my-hopenhagen-project-how-to-reduce.html

    The correct way to bring about lower carbon emission is to encourage instead of penalizing people. It is not feasible to slap higher fuel taxes to reduce fuel usage. Does it mean when taxes are applied on oxygen, people will be breathing less oxygen? People will still need to travel to work and goods still need to be moved. While it is possible to pay extra at the moment, are we going to increase the taxes or the price of the carbon credits if emission still continues to grow?

  •  
    9

    Neil Lynn

    12/03/09 | Report as spam

    RE: What if the planet has sustained our maximum potential for industrial growth?

    This article clearly represents the state of current groupthink on Climatology. As the above posters have pointed out, the lid is off, the cats out of the bag, and other appropriate idioms, regarding the integrity of the so called global warming. The article does not even mention the problems that the recent disclosures have created. For those of you with your heads in the sand on the issue, the credibility of the researchers and data collection methodology has been revealed to be nonexitant. Yet the devotees of the global warming religion continue to ignor the growing crisis in hostesty and integrity amongst the researchers, choosing instead to blather on about a theory now mired in controversy, hoping that by sheer volume of drivel the credibility will be restored. Thank goodness the flat earthers didnt have the internet to bury the opposition.

  •  
    10

    Repeal

    12/03/09 | Report as spam

    RE: What if the planet has sustained our maximum potential for industrial growth?

    America cannot afford anymore bad decisions by the greedy, short sighted children in charge!

    The real reason Cap & Trade is being foisted on the world is it creates a 3 trillion dollar commodity market for you guessed it: hot air. Finally politicians have found a way to put a price on their most abundant resource! And for politicians there is no downside as nothing has to be actually produced.

    The real beneficiaries are the rich special interest who will get wealthier setting up and trading in this new commodities market. But citizens will pay more taxes to operate new regulatory bureaucracies and more for goods as business passes the cost along.
    And all this is based on the premise that operating automobiles is resulting in global warming. Question: did Fred Flintstone?s truck fleet cause the last period of global warming or is global warming a cyclical event that is more affected by sun spot cycles. The Earth has had multiple tropical and glacial ages over the millennia. The most recent news is that the oceans of the world will be cooling for the next 25-30 years.

    Furthermore, it is my understanding that the most prevalent hot house gas is water vapor. Should citizens of earth try to stop the rain cycle?

    And if we are going to implement Cap and Trade who will decide what the optimal CO2 carrying capacity of Earth is?

    And there are questions about how to implement financial controls and reliably audit such a system. Will every person and business on the planet be issued C02 permits? Is the permit an asset a business can liquidate when it goes out of business? If a business in California goes out of business and sells its CO2 permit to a company in England, will a new company in California have to find another seller to open his business and replace lost jobs? After all, if there is an optimal CO2 carrying capacity then an increasing population of people and businesses means a lower standard of living and reduced CO2 allotment for each new person or business.
    Upon their death can Mom and Dad leave their CO2 permits to their children? Should Mom and Dad be limited to having two children?
    What about the countries that do not subscribe to Cap & Trade. Will multi-national companies export new construction and jobs to 3rd world non-subscribing countries? And the flipside, will the people of the Amazon miss out on new opportunities because an American company bought 1000s of acres to be left unused to acquire carbon sequestration credits.

    I am against Cap and Trade in the best of times but it is national suicide to consider implementing this costly new program when America's economy is teetering on the brink! The only Cap and Trade I will vote for is handing their Caps to politicians who vote yes on the issue and trading them in for new representatives!

    Germany fought WWII with gasoline made from coal. It is proven technology developed in 1917.

    America is the Saudi Arabia of coal with 1/4th of the deposits on the planet. The US could eliminate American dependence on foreign oil.

    And reducing America?s trade imbalance would keep money, technology and jobs here in America. It is estimated that every billion in trade deficit equals 13,000 US jobs lost. And we could quit sending billions to countries that sponsor terrorism.

    But coal is rich in CO2. Isn?t the timing interesting? The world is in recession, US unemployment figures are hovering around 10% and the EPA determines CO2 is a pollutant that must be regulated.

    SO WHO BENEFITS FROM CAP AND TRADE AND KEEPING AMERICAN COAL IN THE GROUND:

    The United States agreed to transfer jobs and technology to developing countries under INTERNATIONAL AGREEMENT Algiers Declaration Algiers, Algeria, 4-6 March 1975

    In this context, they emphasize the necessity for the full implementation of the Programme of Action adopted by the United Nations General Assembly at its VI Special Session, and accordingly they emphasize the following requirements [excerpt from full declaration]

    "With regard to the depletable natural resources, as OPEC?s petroleum resources are, it is essential that the transfer of technology must be commensurate in speed and volume with the rate of their depletion, which is being accelerated for the benefit and growth of the economies of the developed countries"

    A major portion of the planned or new petrochemical complexes, oil refineries and fertilizer plants be built in the territories of OPEC Member Countries with the co-operation of industrialized nations for export purposes to the developed countries with guaranteed access for such products to the markets of these countries. [Excerpt from declaration] Read sections 10 and 11]

  •  
    11

    jrsdad@...

    12/03/09 | Report as spam

    RE: What if the planet has sustained our maximum potential for industrial growth?

    These Malthusian arguments would be amusing if they were not so widely accepted by those in power. Arthur C. Clarke pointed out in 1962 in "Profiles of the Future" that too often scientists and pols suffered from the "failure of imagination" (no, the 9/11 Commission Report didn't invent that phrase! wink ) He cites many of the earlier claims along the lines of Jar2 above, regarding the limits to speed trains could go before you couldn't breathe, how the electrical foolishness of "our cousins across the oceans" was decried in Parliament, etc. One of my favorites was IBM founder Thomas J. Watson saying the world just needed 5 computers.

    The one factor that is always overlooked in doomsday scenarios is adaptability and ingenuity. What happens during the Little Ice Age? You go somewhere warmer or put on a coat... The history of Civilization is the history of adapting to the environment, yet somehow we have lost that ability today?

  •  
    12

    beatnut88

    12/03/09 | Report as spam

    RE: What if the planet has sustained our maximum potential for industrial growth?

    We are destined to go back to certain aspects of the pre-industrial age. The fact that we will run out of oil in the foreseeable future will put an end to air travel as there is no alternative fuel. Ships will probably have to revert to sail combined with some other sort of renewable energy.
    Unfortunately the real driver of climate change/future unsustainability is unbridled human greed. Cure that and you are over the hump.
    It mystifies me how the nexus between climate change and the exhasution of non-renewables is rarely made. Even if the focus of these arguments was to be 100% shifted to the renewables argument, the impact on climate change would still be as effective. However, the argument from those content to continue to cut off the branch we are sitting on would be - like our lifestyles - unsustainable.
    Neil

  •  
    13

    JohnMcGrew@...

    12/03/09 | Report as spam

    Billions of lives depend on continued growth

    It's America's amazing ability to produce such an amazing amount of
    food off of fewer acres of farmland that has allowed global
    populations to swell as they feed off our agricultural surplus.

    Imagine for a second the following scenario; what I think is the
    inevitable consequences of the doom-n-gloom crowd's dream of reigning
    in our economy for the sake of reducing CO2:

    Farming would become far less efficient (due to reduced use and
    availability of energy-using machinery and transport. More acreage
    would be required to produce less food, and a higher percentage of
    the population would be required to harvest it. (currently, less
    than 2% of us are actually farmers) This would result in starvation
    by billions of the planet's "have nots" as surpluses disappear and we
    keep more of our own food for ourselves. And at least for a time,
    it's likely that as America becomes less affluent, population trends
    will reverse and our population will actually rise, consuming even
    more food. Eventually, billions will starve.

    Of course, inevitably that will mean fewer people on the planet
    consuming and spewing CO2. But it will be messy.

  •  
    14

    adornoe@...

    12/03/09 | Report as spam

    Completely wrong conclusion and ass-backwards thinking

    Chasing growth makes it incredibly difficult to chase climate goals, too. So what we urgently need is an economic system that doesn?t rely on growth. Right now, the one we have is undermining the ability of governments to function properly.

    How stupid is that?

    We cannot chase growth because the climate goals might not be met?

    AAAARRRRGGGGGHHHHHH!!!!!

    So then, humankind would have to cease economic growth just to meet some stupid climate goals? Never mind that the whole of climate change "science" has been exposed as fraudulent.

    Furthermore, governments are being "undermined in their ability to function properly"???? The opposite is true: government is undermining the ability of the private sector and humankind to function properly.

    Reduce government intrusion in the wealth creation process and the world will see boundless economic growth.

  •  
    15

    jrlambert

    12/03/09 | Report as spam

    Good Grief

    This presentation was ...

    NOT.... about the validity of climate research reported.
    Science is not a stationary truth.. it is our constantly changing understanding of nature.
    Not... about the limits of technology or human imagination.
    Not....about the adaptability of humans.
    Not....about the sad quality of our leadership (sigh)
    Not....about jobs in the US (the gov really doesn't control this)
    Not....about alternative energy (directly).Yea, there was some references to some environmental think tanks with specifics on present limitations.. but that wasn't the point.

    The very good question raised ....
    Can any system be sustained ...that REQUIRES extreme growth rates?

    my answer: I don't know...
    but in the context of this subjects in this forum, I doubt it.
    reason:
    What I have observed about humanities's ability to accept extreme rates of change.
    Sometimes ..I am astonished by how fast some people can accept change... (new generations that have never known life without cell phones)
    other times, dismayed by how stubbornly some people fight change (Taliban .. wanting to live in the 13th century)
    It really isn't about technology or earth's limitations.... it's about earth's societies (in general) limitations.


    The basic truths:
    - All things of this existence are either growing or decaying
    - Underlying purpose of society is to forever advance.
    - Change cannot be stopped...

    but rates of change are often limited or controlled.

    This doesn't mean:
    - have unlimited population growth.. just growth within the means of the technology / society / resources at that time... (someday, we will likely migrate to the stars).
    in the meantime.. we CAN create people faster than we can solve the problems that come with them...sad to say.
    - create lifestyles or expect lifestyles of everyone on earth to be beyond present resource and technology availability. (we can't extract more oil/metals/energy/etc... "at the drop of a hat").
    - change present economic models overnight... (not without a lot of pain)
    - change society's expectations/assumptions overnight...(highly un-likely)

    We should be attempting to plan/anticipate the rates of change.
    otherwise .. we have anarchy (chaos).. with much un-needed suffering.


    so.. "escalate discussions of this sort to the next level" !

    Now where did I leave that bottle of helium-3?

  •  
    16

    JTF243@...

    12/03/09 | Report as spam

    RE: What if the planet has sustained our maximum potential for industrial growth?

    With all due respect to the previous posters, "climate change" is NOT a fraud. Everything has natural cycles, such as the Sun's sunspot cycle (about 22 yrs. for a full cycle). The fraud is how much human activity is contributing to the changes.
    With those changes, we will need alternatives to oil for energy, just to maintain life. Forget growth. Unless there is a radical change in energy usage, or there are new discoveries in energy technology (production), the growth we have had for the last 50 years will not continue.
    Man has always been an explorer. Our oldest ancestors struck out into the unknown looking for better conditions than what they were leaving behind. This has never changed and hopefully, never will. Marco Polo, Colombus, Lewis & Clarke, and so many others have shown us the way to "boldly go where no one has gone before". The technology that will be needed for that exploration will ultimately benefit all of us in more ways than can be imagined.
    After all, the meek shall inherit the Earth. Are we meek? Or bold?

  •  
    17

    mor2009

    12/03/09 | Report as spam

    RE: What if the planet has sustained our maximum potential for industrial growth?

    No shortage of hot air here.

  •  
    18

    dschmutz@...

    12/04/09 | Report as spam

    RE: What if the planet has sustained our maximum potential for industrial g

    As was mentioned by several other posts, thinking people know that the
    "climate change" mythology has been exposed as the hoax it is. As with
    all previous doomsayers' predictions, this one will be overcome by
    events as many developments, large and small, both technical and non-
    technical come to fruition. Not to worry. However, by all means, all
    of you true believers in the climate catastrophy run for the hills and
    await the end while the rest of us move on with our lives.

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Heather Clancy

Heather Clancy is an award-winning business journalist in the New York area with more than 20 years experience covering the high-tech industry. She has a passion for green IT and regularly covers business technology issues and trends. Her articles have appeared in Entrepreneur, Fortune Small Business, The International Herald Tribune and The New York Times.

Clancy previously was editor at Computer Reseller News, the leading B2B trade publication covering news and trends about high-tech channels of distribution. In that role, she set editorial direction and led a staff of close to 30.

While at CRN, Clancy was the featured speaker on dozens of video netseminars, covering a wide range of topics including Software as a Service, managed services, convergence, IT security, mobile computing and high-tech channel program strategy. She has moderated numerous conference panel discussions and roundtables, and frequently was rated the top session facilitator at CMP Media's XChange conferences.

Prior to joining CRN, Clancy was a business writer with United Press International, where she covered everything from corporate mergers to the early days of the high-tech industry. She holds a B.A. in English literature from McGill University in Montreal, Quebec, and is a graduate of the Stanford Professional Publishing Course.

Heather Clancy

I'm sure cynical investigative reporters would discover that my lifestyle is about as sustainable as the average American, which is to say not so much. But I try. Really hard. Honest. And writing publicly about what the high-tech industry is actually doing to get greener or more sustainable is one way I figure I can contribute more meaningfully to the effort. I’m also a big OMG-kind-of-fan of smart leadership, which is why the goodly folks who publish this blog let me go on about this topic and why I am always on the hunt for forward-looking business management ideas.

My freelance hours are focused on looking for topics for my blogs, GreenTech Pastures and Business Brains, and writing articles for mainstream publication. I also contribute articles and blogs about VARs, resellers and systems integrators that deploy IT solutions for media company Tech Target. Occasionally, I’ll pop up at an industry conference in some sort of speaking capacity. In cases where a speaking engagement involves a sponsor that may be covered in this blog, this will be disclosed in coverage as appropriate.

My consulting activities include a relationship with SWOT Management Group, a firm in New Jersey that provides high-tech channel strategy and sales engagement insight to high-tech vendors. In the event that my commentary (in written, audio or video form) mentions a company for which I have provided consulting advice, I will disclose that fact. However, there is no connection between these projects and the topics that I’m covering in my blog.

Joe McKendrick

Joe McKendrick is an author and independent analyst who tracks the impact of information technology on management and markets. Joe is also SOA community manager for ebizQ, and speaks frequently on Enterprise 2.0 and SOA topics at industry events and Webcasts. He also serves as lead analyst and author of Evans Data Corp.'s highly regarded bi-annual SOA/Web Services and Web 2.0 surveys. Joe writes a regular column for Database Trends & Applications, and has authored numerous research reports in partnership with Unisphere Research for user groups such as SHARE, Oracle Applications Users Group, and International DB2 Users Group. In a previous life, Joe served as director of the Administrative Management Society (AMS), an international professional association dedicated to advancing knowledge within the IT and business management fields.

Joe McKendrick

Joe McKendrick is an independent consultant and editor. Joe has performed project work for the following companies in the IT marketspace: IBM, Systinet/HP, Teradata. He has performed project work for the following organizations in partnership with Unisphere Research (Unisphere Media): IBM, Oracle Corp., International Oracle Users Group, Oracle Applications Users Group, Professional Association for SQL Server, International DB2 Users Group, International Sybase Users Group.

Business Brains focuses on management issues that revolve around the key question: How do I make my business, family, and coworkers smarter? The blog examines the management issues facing a variety of businesses and debunks the technology you need to know