Category Archives: Economics

The “Climate Change” Danger

Review of the book “Fossil Future: Why Global Human Florishing Requires More Oil, Coal, and Natural Gas – Not Less”, by Lew Rockwell.

Quote:

Epstein thinks that the danger from global warming has been exaggerated, but though he presents extensive evidence in support of this, his main contribution lies elsewhere. He argues that modern civilization depends on fossil fuels and that far from curtailing their use, we need to spread them to the impoverished parts of the world. So great are the benefits from using the fuels that only a true “end of the world” nightmare caused by CO2 emission could require that we shift to other energy sources, and despite the alarmists’ caterwauling, this nightmare is most unlikely to occur. Moreover, Epstein holds that the benefits of fossil fuels are so obvious that only a defect in thinking could have induced people to ignore them. He is a philosopher as well as an energy economist, and he expertly identifies the false thought pattern that has led to our current confusions.

Epstein says, “Whenever we hear about what the ‘experts’ think, we need to keep in mind that most of us have no direct access to what most expert researchers in the field think. We are being told what experts think through a system of institutions and people…. Understanding how this system, which I call our ‘knowledge system,’ works and how it can go wrong is the key to being able to spot when what we’re told the ‘experts’ think is very wrong—about fossil fuels or anything else.”

Rerum Novarum: A Manifesto for the Ages

Article by Sebastian Wang.

Excerpt:

In our own time, the relevance of Leo XIII’s teaching is obvious. We live in economies where the forms of capitalism have been retained but the substance hollowed out: markets in name, but in practice dominated by a nexus of government and corporate power; competition in rhetoric, but in reality a game for those who can pay for access and influence. The same moral principles that led Leo to reject socialism oblige us to reject this corporatist order. The goal is not to level all differences of wealth, but to ensure that wealth is obtained and held by right, not by privilege; that property is widely held; that the worker has a path to independence; and that the State remembers it exists to serve persons, not to manage them.

The REAL reasons European colonialism was possible

Interesting (9 minute) video. The speaker however misses two points:

  1. Why did Europeans venture out in the first place? (My answer: to evangelise, not primarily to trade.)
  2. Why did North America, but not South/Latin America, industrialise concurrently with Europe? (I don’t know, but could the answer be Max Weber’s ‘protestant work ethic’? It was mainly the Protestant countries in Europe which industrialised first and fastest – along with Protestant North America. Among the European Catholic countries it was the regions closest to the Protestant countries: France, Belgium, Austria and north (!) Italy. It was also those countries with easy access to the rest of the world (sea ports), i.e, not the eastern European countries (Poland as such didn’t exist in the time in question until after WW1).

Here’s the description under the video:

Contrary to popular belief, the European colonization of the Americas was made possible not by the Europeans having superior technology, but by the inadvertent introduction of pathogens from the Eastern Hemisphere that had not previously been present in the Americas.

This accounts for the fact that when the Europeans were colonizing the Americas in the 1500s and 1600s, they were not also colonizing Africa and Asia (with a few exceptions). It was not possible for the Europeans to colonize most parts of Africa and Asia at the time, because the people there already had the same technologies and the same diseases that the Europeans had.

Of course, Europeans did end up colonizing Africa and Asia, but not until the 1800s. This was suddenly possible then, when it hadn’t been earlier, because the Industrial Revolution happened to begin in Europe then. Within just a few generations, industrial technology also spread to the rest of the world, but by then the Europeans and people of European descent had managed to establish their preeminence in world affairs.

The economic, military, and technological superiority of the countries of Europe and of people of European descent traces back only as far as the Industrial Revolution in the 1800s. Before that, Europeans had no advantages over the countries of Asia and Africa.