3 ms·
I'm always wary of just-so stories. It's easy to pull them in any direction one wants. Cheaper fuel -> lower prices -> greater consumption -> more reliance on e
by endominus 4y ago
I'm always wary of just-so stories. It's easy to pull them in any direction one wants. Cheaper fuel -> lower prices -> greater consumption -> more reliance on extraction of limited resources -> less ability to move off those resources/find alternatives without destroying the global economy -> disaster when we hit "peak whatever." The pandemic has shown how fragile the global economy has become due to the massive network of linkages that have grown between what could be relatively self-sufficient countries. A ship crashing in single canal sent commodity prices worldwide through the roof for months!
There was a comic I read a while back during the 2008 financial crisis, describing the banking sector as a group of wizards building a massive tower in a town. Eventually, it grows too large, wobbling and nearing collapse. The wizards beg the townspeople for help. The townspeople say this is the natural consequence of their actions, but the wizards counter that should their tower fall, it is large enough to do significant damage to the town as well. Thus galvanized, the town gathers together and shores up the foundations of the tower, securing it. At which point the wizards promptly go back to making it even taller and grander, because no one ever learns a lesson.
People are extremely averse to direct negative consequences of actions, but are much more nonchalant about indirect negative consequences, especially of inaction (see; the trolley problem). There is always hope of a miracle cure. That is the thrust of your argument; strong action now may fix the issue, but cause widespread suffering in the short term. Whereas the status quo is a slowly boiling pot, and perhaps someone will find a way to turn off the heat while we languish here, but more likely someone won't and waiting will lead to an even worse economic outcome when global supply chains are disrupted even more forcefully than by a simple tax hike.