Tuesday, May 14, 2013

Because too often one reads that the problem of scarcity has been solved

From The mother of invention at Interfluidity:

Actual scarcity has not, in fact, been overcome. We have not achieved overcapacity in aggregate. In a depression, businessmen perceive overcapacity all over the place. But that is a distributional phenomenon. There is an abundance of goods and services relative to the needs and desires of people with purchasing power to consume. There is no such abundance in an absolute sense.

1 comment:

Greg said...

Saw that article a few days ago. I liked it too but I still think even the lack of abundance in the absolute sense is not innate to our planet per se. At the current population levels we have all the resources necessary to assure that every person has access to at least 3000 calories a day, a shelter that is better than just a roof over your head, education and disease prevention/health care. Now, can everyone alive today use as much water as the average American or consume as much oil as the average American?..... not for very long.

We still have too small a minority consuming way beyond the standard that the rest of the world can maintain, especially in regards to water and fossil fuels, two very essential ingredients to modern life.

Yet we have people running around saying we are running out of fiat dollars