Though many sources have been making this point, it is notable that the American Institute of Biological Sciences is taking a macroecological approach to the future of human economic activity. In a purely scientific fashion, they look at the relationship between energy consumption and economics, and conclude – not surprisingly – that you can’t have one without the other.
If, then, we are running into stalling production and skyrocketing demand – lots of places simply won’t grow economically, they conclude.
Makes sense. Now, if your government is projecting massive deficits into the future, and in the future economic growth will be constrained, what does that mean to the debt?
I always thought that debt which will never be paid back is either inflation or bankruptcy.