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To: Vince Ferrer

The article doesn’t talk about population. It discusses many other things but primarily focusses on lack of capital formation and over reliance on debt in its place.


19 posted on 02/06/2014 8:49:31 PM PST by Lorianne (fedgov, taxporkmoney)
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To: Lorianne
The article doesn't talk about population, but the author seems to be a Malthus adherent, and for them, population growth to the point of resource depletion is a given (but falsified). What I am expecting, a population collapse without resource scarcity, is unthinkable by a Malthusian, so I am not surprised the author doesn't mention it.

But population is critical. It is the demand side of supply and demand. People need food, shelter, etc. and more people = more demand = more GDP. Less people = less demand = less GDP. Yet our current economic model can't allow declining population and declining GDP, because it is debt based. Our money is debt based money. How does a debt based money work in a shrinking economy? It just makes the debt more unpayable.

And I believe the most important thing is that once the collapse really gets started, it will be self fueling, because the population decline will cause a never ending depression, which will cause adults to not want to have children they can't afford and can't guarantee they will have a life even equal to their own, which lowers the population, and causes greater economic contraction.

20 posted on 02/06/2014 9:09:06 PM PST by Vince Ferrer
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