Global urbanization: The dangerous delusion of economics

In recent debates about reforming capitalism, we observe a problematic tension between the social and the ecological. There are growing concerns about the social consequences of capitalism, which eerily remind me of Karl Polanyi’s political analysis of the ‘Great Transformation’: These social conundrums are increasingly driving the rise of populism worldwide. Many commentators explain them …

Money and the technosphere

Fifteen years ago, the late and renowned Swiss economist Hans Christoph Binswanger published a book that deeply influenced my own work in economics: The Growth Spiral: Money, Energy, and Imagination in the Dynamics of the Market Process In a nutshell, he argued that the monetary economy is inherently expansive, and that this drives the relentless …

In a Climate-neutral Solar Economy, Would the Technosphere Outcompete the Biosphere? A Provocation.

In his recent post, Axel Kleidon offered a grand view on the thermodynamics of the Earth system that includes the human domain. His fundamental point is that the human economy follows the same systemic dynamics as the Earth system, i.e. Lotka’s Maximum Power principle. That means, it manifests an inherent physical trend towards maximizing energy …

The technosphere as a ‘major transition’?

John Maynard-Smith and Eörs Szathmáry (Maynard Smith and Szathmáry 1995; Szathmáry and Maynard Smith 1995) famously argued that evolution has undergone highly significant ‘major transitions’ in the very units of evolution and the mechanisms by which evolution proceeds. Incorporating the technosphere fully within their schema of ‘major transitions’ would involve expanding the definition of the …