Economic Current Events and the Environmental Bail Out

The recent economic current events in the global financial markets has prompted a response that is both too late to avert the crisis and does not address the root causes of the problem, which is selfish and greedy behaviour of people who are not held accountable for their actions. This is a worrying situation in its own right, but also points to more serious concerns about the approach of governments around the world in regards to environmental issues.

The bail out of the financial institutions threatened by the economic collapse was effected quickly and the resulting small increase in market performance was virtually instantaneous, though the long term effects of this situation are still far from clear.

These decisions have been made based on the advice of expert economists that have had the trust and ear of both the financial institutions for many years, though governments have been reluctant to act unless forced to do so by dire circumstances.

What hope then do we have for the environment? Despite equally dire warnings of impending troubles with the environment, governments have either been slow to act or have avoided acting to reverse environmental degradation. Will this trend continue until it is blindingly obvious that we are in the middle of a catastrophe? If so, throwing any amount of cash at the problem will not be able to fix it. We are treating the environment as if it can be fixed with a click of the fingers, just in the nick of time as the disaster is looming.

We need to get out of this short sighted, greed centered view of our impact on the planet. We need to take a longer term view of our effects on the planet and adopt clean energy strategies on a global scale with the technology we have available now. We cannot afford to wait until we are either drowning or choking, because by then there will be no way back. If this happens it is we humans that will become extinct.

It is time for governments to do what they are supposed to do: provide for the wellbeing of their people both for now and for the future through well considered long term planning in both the financial and environmental arenas.

Environmental Economics, Stream of Thought

Entrepreneurs can clean up the environment if we would let them. Look at Fred Smith’s Brilliant plan to challenge American Ingenuity paid off. He said to the industry, build me a delivery van that uses 50% of the fuel as our current units and emits 90% pollution and he will by 19,000 of them. Well guess what, it worked. Thus proving that Free Enterprise can solve the problems of the human race five times faster than any government intervention or regulation.

What we see is that anything is possible and with the right incentives it happens faster. In CA they tried the opposite approach mandating that manufacturers must produce X amount of electric hybrids, Fuel Cell Cars by a certain date. They had to back track or be without the sales tax revenues from car sales and some 400,000 lay offs. In June of 2003 the Trucking Associations are going to going to drive the speed limit of 55 mph to protest the ticketing of trucks in the state. The state was without budget and back then they were writing about 600% more fines and tickets to truck drivers. They often allow the truckers to drive up to 65 mph without tickets.

The truck drivers got so mad they purposely slowed down freight in the state, by driving 55 or 20% slower. By driving 20 percent slower, 20% more trucks will be needed to deliver the freight. Of course there are not 20% more trucks allocated or even drivers to deliver that many more trucks into service, therefore everything will not get there on time and thus hurt inventories, productivity and CA with her needed tax base.

Everyone loses and the truckers are pissed. I cannot blame them Just thought everyone should realize the ramifications of the path we are on and that there are alternate routes and like packets traveling across the Internet, we do not have to choose the most direct route to all arrive at the same conclusion. Carnivores eat as they go but if we take many routes they cannot eat the hole enchilada and our economy can arrive unharmed through all of this even if the One rate, One World, One Planet American Conglomerates have to wither the storm of decreased long distance earnings for a few quarters. Because in the end we will still have our quality of life and a chance at that elusive American Dream we keep promising the next generation.

Riddles are cool; I hope you can see what I am saying here. In summary, it does not take the Rand Corporation to figure out this equation, just look out the window and see for yourself. Pay attention America and watch for wind shears on final approach. This discussion is fluidity of thought so think about it.