I frequently like to revisit the assumptions on which we base our lives at some fundamental level and one of them is the scarcity of energy.
We live in a society based on chemical energy (oil, coal, natural gas) but this is by no means a given.
One could easily imagine an energy-rich society based on nuclear fusion, for example.
In which case, almost all of our assumptions might be wrong (recycling, expensive transportation, etc.)
These assumptions are so embedded into our system that it's hard to assume a world without them. Yet, with plentiful energy, we could just have robotically recycled garbage. Toss everything away. It can't be done yet but the key word is yet and the reason is energy scarcity. This may change. We may appear to our grandchildren just like our grandparents in their repairing their clothes and saving scraps and darning their socks.
Almost all economics is based on the notion of resource scarcity. Price is the mechanism that distinguishes how to allocate scarce resources. That's why truffles cost more than button mushrooms.
The primary cost has always been that of energy. This could easily change.
Saturday, January 03, 2015
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