Thanks! Excellent article about Soddy’s work.
The issue Soddy, Daly and others have not recognized is that the addition of cheap energy can indeed increase the output of the economy. Debt is needed if this cheap energy is to be added to the economy. In fact, the use of additional debt can even make it look like expensive energy might be helpful to the economy.
Because of our need for a growing supply of cheap energy, there is no way that we can make an economy work, if we follow Soddy’s advice and stop banks (and others) from creating money out of nothing. (This is mentioned in the article as Soddy’s fifth requirement.) We need an increasing supply of cheap energy, and an increasing supply of debt is needed to get this energy extracted.
Lots of people seem to learn pieces of this puzzle, but cannot see the whole nature of our predicament. - Gail Tverberg