Instead of being a virtuous circle, of more debt allowing more economic growth, it becomes a vicious circle
It's all so simple. There's now too little energy to sustain growth. This means the end of investments. Soon you will have to pay banks for having money on your bank account. People will get lower wages. There will not be enough financial support to continue mining of energy and metals. Bottleneck technologies with low profit rates will go out of the system, making domino effects of falling technologies, as it's all interwoven. We are too many people to survive with solar energy from plants alone, and we will start killing each other. The woods will be cut down, and so on. This is happening now. This is the end-game. And it's all so simple to understand. Here's a comment from Gail Tverberg: I will try to explain that in another post. Basically, we are always behind in the process, so debt is absolutely essential to the system. Accumulation of metal products and other goods that represent real value is incredibly slow, if all an economy has to work with is c...