I ran across this piece of writing that caused some cognitive dissonance amongst my traditionally minded synapses. And the fact that an economist friend of mine did not contradict the philosophy set out in the essay is bothersome.
“The big theme for 2009 economically will be contraction. The end of the cheap energy era will announce itself as the end of conventional "growth" and the shrinking back of activity, wealth, and populations. Contraction will come as a great shock to a world of conventionally programmed economists. They will toil and sweat to account for it, and they will probably be wrong. Unfortunately, this contraction will do its work in unpleasant ways, driving down standards of living, shearing away hopes and expectations for a particular life of comfort, and introducing disorder to so many of the systems we have depended on for so long. People will starve, lose their homes, lose incomes and status, and lose the security of living in peaceful societies.”
Full article: http://jameshowardkunstler.typepad.com/clusterfuck_nation/2008/12/forecast-for-2009.html
Maybe the change will do traditional economics some good!?