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Mountebank Wins Nobel for Infinite Planet Theory

by Rob Dietz

Few people have read the dense volumes published by the economist Milton Mountebank, but his work has affected you, me and every single person on the planet. Dr. Mountebank has revolutionized economic thought, and now he has been recognized for his singular efforts. Yesterday at a gala reception in Stockholm, Sweden, the chairman of Sveriges Riksbank, Peter Norborg, presented Dr. Mountebank with the Nobel Prize in Economics for his lifetime of work on infinite planet theory.

In his presentation of the award, Mr. Norborg stated, “Dr. Mountebank has demonstrated imagination and inventiveness beyond what the rational mind can comprehend.” Indeed, it is because of his theories that we all do what we do economically. Nations strive for continuous GDP growth and endless expansion of consumption thanks to infinite planet theory. Mr. Norborg went on to say, “All of our banks, including Sveriges Riksbank, owe him a huge debt. We finance  economic expansion. Our actions and decisions would be morally suspect if we lived on a finite planet.”

In a light-hearted moment during the presentation, Mr. Norborg asserted that Dr. Mountebank had provided an even greater service to humanity by reducing stress on individuals. “Best of all,” he said, “is that we can extract, consume and digest resources guilt-free. Planetary constraints have been conquered. They have gone the way of the dodo, the Roman Empire and the world’s major fisheries.”

Reagan's nod to Mountebank, etched in stone at the International Trade Center in Washinton, DC. Photo by Rob Dietz

Although Dr. Mountebank’s books have failed to reach mainstream audiences, his work has been highly influential among elite political and corporate leaders. Ronald Reagan is a prominent example. President Reagan once famously said, “There are no limits to growth and human progress when men and women are free to follow their dreams.” That’s a close paraphrasing of Dr. Mountebank’s conclusion to his magnum opus, Infinity and Beyond: The Magical Triumph of Economics over Physics. Phillip van Uppington, former vice president at Lehman Brothers, asserts that Dr. Mountebank was a huge influence on his firm. “We used to quote him all the time. One of the highlights of my career was the symposium I arranged a few years back with Mountebank and Milton Friedman. We called it ‘Double Milton Day.’  It really opened our minds to the possibilities of innovative finance. Once we implemented the double Milton doctrines, we made more cash than most small nations.”

In his acceptance speech, Dr. Mountebank told the story of how he developed infinite planet theory. “Equations, equations, equations,” he said, “I would see them dancing across my eyelids as I laid down to sleep.  In the morning I would wake up and write them out. I did this for three straight years until I finally put it all together.” The centerpiece of Mountebank’s mathematical demonstration of the feasibility of infinite growth is his conjury equation, a recondite multivariate differential expression that, by common agreement, is understood by fewer than four economists in the world. “It’s why I’m standing on this stage today,” Mountebank said. “Unfortunately the equation is too long to fit on the screen behind me, but it’s the key to infinite economic growth. Fortunately, though, you don’t have to be an economist or a statistician to use it as a guide for your daily actions.” Dr. Mountebank continued by holding up a globe in his hand and stating, “We all recognize that the earth is a sphere, and from basic geometry, we all understand that a sphere has no beginning and no end. If you set out in one direction on the surface of a sphere, there is no stopping point—it’s infinite.” He spun the globe and walked his fingers around it to prove his point. “Q.E.D.  No end.  And that means it can be infinitely exploited for economic gains.”

Dr. Mountebank. Photo by Derrick Tyson.

Infinite planet theory has gained almost unanimous acceptance in economic circles, but there have been some vocal critics. On the day of the award ceremony, a small band of protestors formed a picket line outside Sveriges Riksbank. One protestor was carrying a sign that said “Steady State.” When asked why she was protesting, she said, “Mountebank? You can’t be serious. They should give the Nobel to Herman Daly.” Dr. Daly is known for his work on the limits to growth and the steady state economy, concepts which fly in the face of infinite planet theory. The Club of Rome provided the original critique of the theory when it published its bestselling book, The Limits to Growth. In his writings, however, Dr. Mountebank has dismissed the notion of limits. One of the passages in Infinity and Beyond says:

The end of cheap oil, species extinctions, climate change, deforestation, resource depletion, crippling poverty, loss of ecosystem services, soil and aquifer degradation—these are trifling problems, so long as we continue to grow the economy toward its ultimate size: infinity and beyond. Under no circumstances should we allow creeping thoughts about a finite planet or constraints handed down by universal physical laws to get in the way of building a bigger economy. And certainly we should shut our ears to the dreary doomsayers who continue to rain their inane facts upon our parade of growth. Growth, alone, is the moral and political ideal.

Dr. Mountebank ended his acceptance speech on a personal note, observing how infinite planet theory had soothed the fears of his young grandchildren. He said, “They told me they were scared about what was happening to the environment. I patted their little heads and told them not to worry.  After all, you can’t harm nature on an infinite planet. By definition, there’s always more.”

Dr. Mountebank is the eighth Nobel laureate in economics from Fantasia University.

Economic and Environmental Perspective on President Reagan on the Occasion of the 100th Anniversary of His Birth

by Brent Blackwelder

Amid all the celebration of the 100th anniversary of the birth of Ronald Reagan, it is important to note that his two-term presidency kindled a philosophy that has undermined governance in the United States, run in the opposite direction from a sustainable economy, and exhibited hostility toward a clean energy basis for the global economy. This was not, however, a strategy shared broadly by the Republican Party at that time.

The bipartisanship in Congress in the 1970s, under both Republican and Democrat presidents, enabled the passage of 30 major environmental laws – laws that established the United States as the world leader in the quest for clean air and clean water.  Congress set a framework of decision making in the federal government to ensure that long-range and short-range environmental impacts were integrated into economic decision making and that alternatives to proposed governmental actions were evaluated.  Other nations looked up to America as a pace-setter on energy and the environmental policy, and they adopted a number of our new laws for their own use.

President Nixon signed the keystone law for environmental protection, the National Environmental Policy Act (NEPA), and he appointed as heads of the  Environmental Protection Agency (EPA) and the Council on Environmental Quality two highly qualified Republicans, Bill Ruckelshaus and Russell Train, who believed in the mission of these agencies.

Had the 1980 election turned out differently, the United States might have become a clean energy pioneer.  And the emerging field of ecological economics might have taken center stage as the producer of policies for a sustainable economy. With the election of President Reagan, however, these hopes were dashed.

America had experienced the oil crisis of 1973, memorable for its long gasoline lines.  As a result of that experience, citizens across the nation were moving forward with innovative measures to save energy and develop renewable energy technologies.  In this spirit, President Carter had placed solar panels on the White House roof.  America, many of us thought, was poised to lead the world in a clean energy revolution.  Reagan had other ideas.  He had the solar collectors removed from the White House and gave the green light for all-out exploitation of fossil fuels.  Reagan’s idea of environmental stewardship was clearing brush and picking up fallen branches.

When Reagan took office in 1981, he appointed anti-environment zealots James Watt as Secretary of the Interior and Ann Gorsuch as Administrator of EPA.  Ann Gorsuch carried out a Machiavellian plan to prevent much from happening at EPA as she repeatedly rearranged the office spaces at the agency.  During her 22 months as agency head, she cut the budget of the EPA by over 20%, reduced the number of cases filed against polluters, relaxed Clean Air Act regulations, and facilitated the spraying of restricted-use pesticides. She cut the total number of agency employees just as its responsibilities were doubling and hired staff from the very industries they were supposed to be regulating.  Rita Lavelle, an Assistant Administrator of EPA, was convicted on federal charges of perjury related to irregularities and the misuse of federal cleanup money at a big hazardous waste dump, the Stringfellow Acid Pits.

But the greatest damage of all came from Reagan’s repeated message to the American people that government is the problem, that government is not good but evil, that government hinders the free enterprise system.  By appointing people who didn’t really believe in government or in the constitutionality of the agencies they were running, he produced a self-fulfilling prophecy.

Reagan fully embraced the economics of Milton Friedman, the antithesis of Herman Daly’s  steady state economics.  Friedman’s economics of deregulation sought to undo the safeguards put in place following the Great Depression, and in so doing, paved the way for the global financial scandal that precipitated the crisis of 2008 and governmental bailouts of the private sector.

Looking to the future, the U.S. government is being confronted by the ironic (for a so-called conservative) legacy of George W. Bush – a massive and growing deficit.  The Tea Party freshmen legislators are fighting to hold the Republican leadership to its promise to cut $100 billion from the federal budget; however, getting there is proving elusive for them.  Coming to the rescue in this dire situation is the Green Scissors plan of Friends of the Earth and Taxpayers for Common Sense.  The Green Scissors plan shows how to obtain  $200 billion in savings between 2011 and 2015 by getting rid of government subsidies to the oil, coal, gas, and nuclear industries, and by scrapping some boondoggle water development schemes of the Army Corps of Engineers and a handful of absurd highway projects.  In contrast to the outrage over some of the proposed Republican budget cuts, the Green Scissors cuts command popular support, because they save money while preventing environmental damage at the same time.  It’s a plan that anyone, except maybe Ronald Reagan and his anti-environment appointees, would support.