Herman Daly Archives – Page 3 of 7 – Center for the Advancement of the Steady State Economy

The Silver Lining of the COVID-Caused Recession is Supra-Economic

March 24, 2020/21 Comments/in Biodiversity, Brian Czech, Climate Change, Economic Growth, Environment, Steady State Economy, Steady State Herald /by Brian Czech

by Brian Czech

COVID-19 has done in a deadly way what steady-state economists would prescribe in a healthy way: putting the brakes on a runaway economy. In fact, the pandemic has slammed on the brakes and jammed the GDP gearstick into reverse. It has ushered us into a recession that will be pronounced and protracted. In a COVID-caused recession, it’s nature at bat, not the Fed.

In these dark times, any source of comfort is welcome.

Degrowth Toward a Steady State Economy: Unifying Non-Growth Movements for Political Impact

February 5, 2020/15 Comments/in Brian Czech, Degrowth, Economic Growth, Economic Policy, Environment, Steady State Economy, Steady State Herald, Sustainability /by Brian Czech

by Brian Czech and Riccardo Mastini

No later than the 1960s, scholars wrote in rigorous terms of the limits to economic growth. Europeans such as E.F. Schumacher, Americans including Herman Daly, and European-born Americans (most notably Nicholas Georgescu-Roegen and Kenneth Boulding) set the stage for later studies in ecological economics and sustainability science. Their scholarship, supplemented by the population focus of Paul Ehrlich and the modeling approach of Donella Meadows and coauthors (for the Club of Rome),

Book Review: Falter by Bill McKibben

November 13, 2019/1 Comment/in Biodiversity, Climate Change, Religion, Steady State Economy, Steady State Herald, Sustainability /by Brian Czech

By Herman Daly

Thanks to Bill McKibben, not just for his new book but for 30 years of honest, eloquent, and insightful environmental writing and activism.

He begins Falter by pointing out that “the human game we’ve been playing has no rules and no end, but it does come with two logical imperatives. The first is to keep it going, and the second is to keep it human.”

A Journey of No Return, Not a Circular Economy

April 23, 2019/9 Comments/in Consumption, Economic Growth, Energy, Environment, Food and Agriculture, Jobs and Employment, Population, Poverty, Steady State Economy, Steady State Herald, Sustainability, Technology /by Brian Czech

By Herman Daly

The economic process is not a mechanical analog that can be run forward and backward, nor a circular process that can return to any previous state. Rather it is an irreversible and irrevocable process moving in the direction of time’s arrow of increasing entropy [1]. Finitude and entropy guarantee that the economic life of our species will be a journey of no return. Therefore even a stationary economy, in the classical sense of constant population and constant capital stock, is ultimately a journey of no return, because the metabolic throughput of matter and energy required to maintain constant stocks of people and physical capital, in the face of depreciation and death, is an entropic flow from ever less concentrated sources to ever filling sinks – and both sources and sinks are finite.

The Poison Beer of GDP

October 3, 2018/1 Comment/in Consumption, Steady State Herald /by Brian Czech

By Herman Daly

Disaggregating reported GDP growth to reveal the differences in growth by income class, as per the Schumer-Heinrich Bill, is a good idea. After all, telling us, say, that average income grew by 4% is not nearly as informative as telling us that the richest ten percent received the entire growth increment while the bottom ten percent suffered a decline in income.

Where Does Inflation Hide?

February 20, 2018/5 Comments/in Banking, Inflation, Monetary Policy, Money and Investments, The Daly News /by Brian Czech

By Herman Daly

The talking heads in the media explain the recent fall in the stock market as follows: A fall in unemployment leads to a tight labor market and the prospect of wage increases; wage increase leads to threat of inflation; which leads the Fed to likely raise interest rates; which would lead to less borrowing, and to less investment in stocks, and consequently to an expected fall in stock prices.

What is Wrong with a Zero Interest Rate?

September 16, 2015/6 Comments/in Corporate Reform, Economic Policy, Governance, Inflation, Monetary Policy, Money and Investments, The Daly News /by Brian Czech

by Herman Daly

The stock market took a dip, so the Fed will likely continue to keep the interest rate at zero, in conformity with its goal of supporting asset prices by quantitative easing. What is wrong with a zero interest rate? Doesn’t it boost investment, growth, and employment?

There are many things wrong with a zero interest rate. Remember that the interest rate is a price paid to savers by borrowing investors.

Would the Steady State Economy Be a Miracle?

August 5, 2015/6 Comments/in Consumption, Economic Policy, Environment, Population, Religion, Steady State Economy, The Daly News /by Brian Czech

by Herman Daly

Many people think that advocating a steady state economy is like wishing for a miracle. I understand their reasoning and take their point—in the present era of growthism, it does seem rather like advocating a miracle. But that raises the question of exactly what is a miracle? And how many other miracles are we wishing for these days? Of course, science, by definition of its method, rules out the existence of miracles,

Thoughts on Pope Francis’ Laudato Si

June 23, 2015/14 Comments/in Climate Change, Consumption, Economic Growth, Environment, Population, Poverty, Religion, Steady State Economy, The Daly News /by Brian Czech

by Herman Daly

As a Protestant Christian, my devotion to the Catholic Church has been rather minimal, based largely on respect for early church history and for the love of an aunt who was a nun. In recent times, the Catholic Church’s opposition to birth control, plus the pedophile and cover-up scandals, further alienated me. Like many others, I first viewed Pope Francis as perhaps a breath of fresh air, but little more. After reading his encyclical on environment and justice,

Seismic Political Shifts Reveal Desire for Serious Change

May 28, 2015/0 Comments/in Corporate Reform, Economic Growth, Economic Policy, Energy, Environment, Steady State Economy, The Daly News /by Brian Czech

by James Magnus-Johnston

If you demonstrate to people that the NDP [New Democratic Party] can win in Alberta, suddenly anything seems possible. —Paul Fairie, University of Calgary political scientist

On the problematic political spectrum, neither the right nor the left have become wholesale champions of the steady state economy. Then again, embracing something perceived as ‘new’ has never been the strong suit of the politician. It takes years of ideological evolution among the grassroots before seemingly new and different ideas become politically palatable.

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by Brian Czech

by Brian Czech and Riccardo Mastini

by Herman Daly

by Herman Daly

by James Magnus-Johnston