The following post is the third in a series about The Skeptical Environmentalist, written by Bjorn Lombarg. This installment will be drawing on sections of the part of the book entitled Can Human Prosperity Continue?
Analysis of any depth requires good questions as starting points, to serve as filters against the endless sea of information which exists to draw upon.
In the first section of The Skeptical Environmentalist, Bjorn Lomborg asked: by what standard should the quality of any source be judged?
The second section wrestled with the question: Are we better off today than people historically have been, and how has progress varied around the world?
Concluding that we are overwhelmingly better off than we have ever been, Lomborg goes on to address whether or not our prosperity is sustainable.
There is a brand of argument, as old or older than Malthus, which goes something like this: there are a finite amount of resources on God's green Earth. Industrialization, technological growth, modernization, and population booms all result in an exponential increase in consumption rates. For Malthus, this meant that we would eventually be unable to feed ourselves. For Peak Oil proponents, it means that we will eventually not be able to sustain our prosperity because we will run out of fuel to power our technology.
The great weakness of this argument is that it is entirely theoretical, and relies entirely on its own internal logic--for there are no historic parallels to draw upon.
The strength of Lomborg's position, statistician that he is, is that it relies entirely upon long-term trends and historic parallels.
Looking at where we have been and where we seem to be headed, Lomborg argues that there is all the reason in the world to believe that we can not only sustain what we already have, but we can sustain the growth and modernization of the less developed regions. Thus, the future holds an continuing improvement of mankind's lot, particularly for those who have everything to gain and less to lose than the developed world.
The solid historical example which best demonstrates the mechanisms of growth and adaptation which are the foundation of Lomborg's argument can be found in the case of the development of sources of energy in England.
The steam engine laid the foundation for the Industrial Revolution, which in England over the next hundred years changed production from being based almost exclusively on human labor to obtaining its primary energy input from fossil fuel.Before there was a Peak Oil, there was a "Peak Coal" of sorts--people who watched the tremendous progress of Western industrialization and feared that the energy source on which it depended would eventually run dry, particularly as it was being used in ever-increasing amounts.
But at the same time it became obvious that production was no longer able to rely on wood for energy supply. England was quickly becoming deforested. Increasingly coal was being used in both England and the US partly because it was a better energy source than wood, partly because it was available in much larger quantity. This process repeated itself in all industrialized countries and cemented our dependence on energy and non-renewable resources. In this century coal has been replaced by oil, because it is easier to transport, store and use.
Yet these "Peak Coal" people had not learned the lesson of charcoal--when an energy source becomes scarce or harder to utilize in any way than some other source, it will be gradually replaced.
It's how the market works. When a new technology is invented, does anyone honestly expect it to become a commodity overnight? Of course not. No matter how revolutionary, it takes time for predecessors to fall behind from the massive head start that they've got over the new innovation.
Likewise, at any given point, it might seem scary to contemplate the fact that oil cannot possibly last forever. But there are already other sources out there--natural gas which is a good source of energy but expensive to transport, and other alternative sources such as solar and nuclear energy exist even if they are not yet largely utilized and/or cost-effective.
But Oil wasn't cost-effective to begin with, either, as the process to extract and refine it had to be mastered over time. So Coal didn't go away overnight--and neither will Oil, though it will most likely go away long before it runs out, as both of its predecessors did.
For further assurance, Lomborg breaks down the annual world consumption, and remaining oil, gas, uranium, and coal, in joules.
Remaining oil could produce 8,690EJ, gas can produce a total of 17,280EJ, uranium could produce a total of 114,000EJ, and coal could produce a total of 185,330EJ.
All of this in the context of an annual world consumption averaging at just 400EJ.
So the process of replacement, which has been demonstrated by history to work in two major energy source transitions, should give us some comfort. But we are also a long ways away from running out.
Lomborg addresses other issues as well. According to his sources, the world has lost some twenty percent of its forests since the dawn of human agriculture--not fifty percent in a hundred years, as is often proported. What's more, an increase in productivity allows us to get more from fewer trees, with five percent of forests accounting for most of the paper produced.
Lester Brown, like Malthus before him, feared that continued human growth would lead to a mass starvation. Yet it is clear from the example of China that when property rights are granted and government takes a lighter hand in government, the capacity to feed increases drastically. China went through the most horrific famine in human history under Mao's thumb in 1959-62. Today, China feeds more than one fifth of the world's population from only one fifteenth of the world's farmland.
By tracing trends in energy, agricultural, and consumption history, Lomborg finds that the chances are good that our descendents will not only have what we have, but much more.
In this time of rapid change and progress, I do not find that so difficult a pill to swallow.
That concludes this installment. Next time, we will look at Pollution: Does it Undercut Human Prosperity, when Lomborg begins his in-depth look at the more acutely environmental issues.

12 comments:
Those are all good, legitimate points that he raises, worthy of discussion on the specifics. But to me it seems that you can sum up the whole argument as "We've always gotten by before, so we'll get by this time." The past is reassuring yes, but it's not that reassuring to say that technology has provided our solutions in the past, so it will do so again in the future. I think what bothers me is that this argument says it's okay for us to rely on future technological advances that we are not yet aware of. But at this time I see no feasible replacement for oil, nor do I say any considerable effort being put into replacing oil as an energy source. If one believes that technology can provide us with the answers, then perhaps we should be spending more money on research and development then we are.
And what evidence do you have that there isn't a huge amount of money being spent on research and development? And what is "enough"?
The point is that in a market economy, there is a huge financial insentive to develop/discover the next big leap, because if you're the first to produce something that's bigger and better than oil, then you're in the dough and you're three steps ahead of the competition.
If there's some other way that you think it's possible for practical and appliable innovation to be rewarded and encouraged, I'd like to hear it.
I also don't think that "we've gotten by before, so we'll get by this time" captures his point at all, or mine.
The point is to study why certain things become so predomenant, and the process by which they are replaced. Oil is big not because we need it but because it is the easiest to use, produces the most energy, cheapest to transport, etc. If it begins to deteriorate in any of those ways, through diminishing supply or what have you, then other sources will trickle their way into the market as they become more cost-effective than oil.
After all, as of this moment, there is nothing physically holding us back from going 100% nuclear power. This would have the good effects of creating cheaper and cleaner energy for homes, and also taking the burden off of Oil and fossil fuels in this area of energy consumption.
The only reason we haven't done this is because of a lot of political/cultural baggage where nuclear plants are concerned which have very little to do with the science of it.
So if you're worried that we're using oil and fossil fuels for too many things, it seems to me that the best option currently available to you is to become an advocate of nuclear power.
And if not then, then I have to ask: what exactly do you think we should do?
Thank you for taking the time to comment.
If you wish to know how current U.S. nuclear plants operate so that you can make better decisions about our energy future, see "Rad Decision" the on-line novel of nuclear power by a longtime nuclear industry worker. It is available at no cost to readers at http://RadDecision.blogspot.com
Sorry L'il Insty, but you can't run yer car on nuclear power. Or - more to the point - your military, either: Bradleys don't come with flux capacitors.
Also, with nuclear power you still need oil-based machinery to mine your uranium and ship it back to the US for refinement.
Like the man say, above: 'to me it seems that you can sum up the whole argument as "We've always gotten by before, so we'll get by this time."'. It's wishy-washy stuff that requires us to put our faith 100% in the twin modern gods of technology and the economy. They will save us! I don't know how, but they will! They always have!
You admire Lomborg's line of thought because it is based on past trends, but this is precisely where it fails: we have never run out of extractable oil before. There is no precedent, and the past is no good to us. This is why the Peak Oil argument does not appeal to historical trends, but rather the arguments and evidences proffered by respected geologists who are trying to warn us that petrochemical production on the planet will very soon peak - if it hasn't done so already - and begin the slide down the wrong side of the bell curve.
Your position is paradoxical in the extreme - you refuse to entertain the possibility of this unique event because the arguments in support of its happening are not based on prior occurrences. This makes you practically impossible to talk to on this point.
Sorry L'il Insty, but you can't run yer car on nuclear power. Or - more to the point - your military, either: Bradleys don't come with flux capacitors.
So are you arguing that nuclear plants can't lift the burden off of oil in any capacity?
It's wishy-washy stuff that requires us to put our faith 100% in the twin modern gods of technology and the economy.
It's wishy-washy to require me to put my faith in the notion of an economic collapse which is entirely theoretical and based on some very iffy evidence.
You admire Lomborg's line of thought because it is based on past trends, but this is precisely where it fails: we have never run out of extractable oil before. There is no precedent, and the past is no good to us.
It really is amazing how you continue to ignore the coal parallel.
Your position is paradoxical in the extreme - you refuse to entertain the possibility of this unique event because the arguments in support of its happening are not based on prior occurrences. This makes you practically impossible to talk to on this point.
What the hell are you talking about? I entertain many a possibility. I wrote a whole longass post responding point by point to the Peak Oil website. I granted a few things for the sake of argument, but at the end of the day, I found their evidence lacking.
Stop whining about how I'm "impossible to talk to". What you're really saying is that you're finding me difficult to persuade, which is rather different.
Goddamn fisking again, huh? Alright, fuck it, let’s do this your way.
So are you arguing that nuclear plants can't lift the burden off of oil in any capacity?
No, Li’l Insty, of course I’m not. Nuclear energy is conceivably a stand-in for oil in some capacities, that much is true. But for the vast majority of applications it just won’t cut it, and that’s my point right there. What are you going to put in your cars and planes and tanks? You haven’t answered this question. 97% of US transportation energy comes from oil, and nuclear power will simply not bail you out. Basically the entire infrastructure of the US and most other western countries is dependent on transportation, and that’s a big problem. But there’s more, of course. Are you going to make your pesticides from uranium? How are you going to power your farming machinery? How are you going to get that food to your plate? We’re having this discussion via machines that are predominantly manufactured from oil. How is nuclear power going to help there?
It's wishy-washy to require me to put my faith in the notion of an economic collapse which is entirely theoretical and based on some very iffy evidence.
Well yes, until it happens it will remain theoretical, very good. Big points for that one. But what “iffy evidence” are you referring to here, though? Are you talking about evidence of an economic nature? It seems that maybe you are, given your reference to the “notion of an economic collapse”, and I know you aren’t happy about the paucity of economists willing to discuss the issue. But what about the geological evidence? Isn’t that what we are really talking about? The evidence for the geological crisis, as collated by the actual geologists, is mounting practically by the day, faith or no faith. The idea that our economy will function just super-duper without petrochemicals is where one has to clasp hands and look to the sky for inspiration, however.
It really is amazing how you continue to ignore the coal parallel.
We didn’t run out of coal. Is that the parallel? If it is, that’s where it ends. Coal isn’t oil – see the above discussion regarding nuclear power. Basically, if you can’t put it in your gas tank it isn’t going to stave off the crisis. It’s true that the US has large domestic coal reserves, but the quality varies significantly and recent scientific analysis has estimated a peak in coal production in as little as 20 years. But that’s largely besides the point.
What the hell are you talking about?
I was talking about how you seem to want evidence of “historical long-term trends” in order to establish the likelihood of an entirely unprecedented, once-in-a-lifetime event, a position which I find logically untenable and impossible to argue with. I took this from statements of yours like: “It is my belief that there are no historical long-term trends of this nature, which holds many implications that undercut [the Peak Oil] argument”, but if I have erred in taking your words at face value then I apologise. (What are these “implications”, by the way?)
I wrote a whole longass post responding point by point to the Peak Oil website. I granted a few things for the sake of argument, but at the end of the day, I found their evidence lacking.
Well, it would have been unlike you to write a “longass post”, alright, but just because it was long doesn’t mean it was adequate. The evidence is lacking, eh? Again, what evidence are you referring to here? It might help the discussion if you could make clear what type, and standard, of evidence you require. “Historical long-term trends”, for example? Geological evidence? Economic analysis? I’ve given you all but the first, and you have given nothing in response other than “well, let’s just keep our fingers crossed” - longass post or no.
What are you going to put in your cars and planes and tanks? You haven’t answered this question. 97% of US transportation energy comes from oil, and nuclear power will simply not bail you out.
Well, here's the potential that I see in our current situation:
Nuclear power can take the burden off of oil for things like heating and general electric power in households.
We could develop more cost-effective ways to extract oil and shale oil. Or, we could develop more effective ways to transport natural gas. Or, we could end up transition to using hydrogen cells.
Or, something as of yet undiscovered--but within our current range of knowledge, I see far more promise than danger.
But what about the geological evidence? Isn’t that what we are really talking about?
No, it is not. It is a component of it, but the value of oil to our civilization and to the world is entirely an economic one. If its function can be suffiently displaced once reliance on it becomes a burden rather than a boon, then as far as I can tell, that would mean that there's not much to worry about.
Does that make sense?
We didn’t run out of coal. Is that the parallel?
No, the parallel is that at one point, coal served the same function that oil does today. We were just as reliant on it, and there were people who found the increase in the consumption of coal that came with the technological innovation which reliance on that fossil fuel allowed to be troublesome--for it seemed that, if the credit for our progress could be given to the coal which powered it, wouldn't we eventually run out?
We didn't; and understanding why we didn't is something I feel is more than valuable when talking about the same argument made above as it is now being applied to our relationship to oil.
but if I have erred in taking your words at face value then I apologise.
Ok, I'm sorry for getting pissy--I probably just rambled when I was trying to explain.
This connects right to what I was talking about above with coal--I believe that there is historical precedent for the situation that we find ourselves in now, and that that very precedent provides some very reassuring information.
You ended your comment by asking me what my standard was, what kind of evidence I was looking for.
I thought I dealt with this earlier, but I'll put it here:
1. From the abundance of information on this subject, how long would you say we have left just using the oil that we can extract from the reserves that we do know about? Just, to start.
2. Given the exponential growth in technological development, and the fact that we can extract oil today from places we couldn't in the past, what reason is there to believe that technology is developing so slowly now that by the time we get to the point where we can extract oil that is now unextractable, it will be too late?
3. Lomborg's point is simply that oil companies are well aware of when a reserve is reaching the point where they will no longer be able to extract from it, and so they generally start searching for new ones well in advance of running out. Now, if you want to argue that this isn't the case, or that it's too simplistic, you're going to have to give me something that suggests that companies are finding fewer and fewer reserves to extract from whenever they start actively looking for them.
I'll add the following: given things that we know about today, such as shale oil, natural gas, hydrogen cells, nuclear power, etc, what reason is there to believe that there won't be a gradual transition away from oil, the way that our economy has transitioned away from everything--from records to CDs, now from CDs slowly to MP3s, from betamax to VHS, from video-recordings being purchased mostly as movies to the box sets phenomenon.
Whenever I bring up these things you seem to think that they are entirely irrelevant. And yet they are all examples of how industries dependent upon a certain consumer environment have had to adapt over time.
As we consume more and more energy, if oil doesn't pass the test of time, what reason do we have to believe that we won't see a similar transition? Especially when we know of many other sources of energy, with no particular one being as versatile as oil perhaps, but in combination they might be, or perhaps over time we might find a way to make any one of them be.
That is where I am coming from on this issue.
Mr. Gurri, I can see where and how you are trying to forge a connection between oil and coal and wood, but it is not a completely analogous situation. Wood, I don't have to point out, is a renewable resource, but more poignant is the fact that, though Victorian England faced a growing scarcity of coal, the Empire's entire function was not dependent upon the existence of coal. English society certainly needed coal to function, but it was not so dependent in a way that it would collapse if Britons woke one morning to find there was no more coal. There would be a period of confusion, but other processes in society would retain normality.
The 20th Century has seen the greatest period of not just concentrated technological but also economic expansion in the history of mankind. It has seen two, and arguably more, great wars that have built and stripped away empires. All of this has been accomplished on the back of oil. I know we are in agreement here, so forgive me for stating the obvious. I'm just trying to clarify.
See, we do not use oil just for automobiles but to run our power grids, production plants, our hospitals and farms. We use it to innovate and develop. It is no coincidence that as oil production rates have slowed in the last half-century, the rate of innovation (at its peak in the 20th century, seven significant inventions/innovations per generation) has also slipped. In a coal-based society of yesteryear, the loss of coal would have hurt distribution and, to a significant extent, production. But at that time farms still used manpower. Homes were heated and lit with alternative energies. In other words, society was still too primitive and there was still too much poverty for it to collapse.
Oil is an incredible tool which allowed us to develop a modern military, intricate power grids, mechanized production lines, the internet and so forth. But it is also a double-edged sword. Not only is our society dependent on it across the board, but our economy. And not just in the obvious sense. Even if extractable oil does not run out, all it takes are the geopolitical winds to shift and a couple OPEC nations to trade their oil in a currency other than petrodollars for our economy to plummet. At any given moment, there are a trillion petrodollars in circulation, providing a safety blanket for the American economy. It is how we weather recessions every decade. If OPEC, or Russia, begins trading in Euros - and they have hinted strongly at this; Russia is currently investigating the possibilities - it will be like someone pulling away our armor on a battlefield in which we are surrounded. We will be incredibly exposed.
Now whether you believe oil will run out is one thing. Let's be clear: there will always be oil within the earth's crust. The issue is that we are running out of oil reserves that are easily extractable. Oil is only an affordable and sensible energy source when we do not have to dig too deep for it. It costs too much to develop the technology for deep extraction and dissemination. Every oil executive will tell you that production rates have been in decline since the late-1950s. I know, because I have seen them at international conferences.
Now what has happened is quite interesting over the course of this decline in production. The energy source that enabled us to develop new learning is slowly taking it away from us. As we have developed modern societies dependent upon the resource, we are fighting hard for its last drops. Over the last 30 years, in particular, we have moved money - and this is true of most first-world nations, the prime movers and shakers - in our national budgets away from education and science into increased defense spending. It is no coincidence our innovation rates are slipping. Crudely put, we are fighting more and thinking less. And I know it's not as simple as that, but I feel I've written quite a bit thus far, so I'm trying to wrap this up. Certainly, every nation needs a strong defense, but a strong educational and intelligence base is often the best offense. I would point to the Nordic countries, which all place in the top 10 of most world rankings as examples of finding the right balance and preparing for change.
By the way. Recent comments from the Swedish prime minister on peak oil and what the Swedes are doing.
http://www.energybulletin.net/11759.html
Thank you, Dr. Greene, for the link and for your very insightful perspective.
But I don't understand how you can argue that the rate of innovation has slipped, when technology seems to develop at an exponentially faster rate than ever before in history.
And I also, again, do not see the worry with Oil, for while the parallel with coal may not be perfect, there are still, as I say, options.
As I argued with Snotty; Nuclear power can provide electricity and heating to households, and hydrogen cells are in development while methods of extracting shale-oil in an affordable way are in the works all the time.
Not to mention natural gas which, though hard to transport, it quite clean and exists in abundance.
The answer to the eventual decline in cost-effective oil could be any one of the above sources, but the fact that they exist in combination is, to my mind, rather reassuring.
The difficulty Lombarg failed to address is that increased population coupled with dwindling resources can result in an unstable system. Markets don't function in panic mode. There is plenty of historical evidence that nations resort to war for resources, indeed, we find ourselves living in such an age currently. How this plays out in this century will be very interesting.
The real problem is, what are we supposed to replace oil with?
Wind, Hydro (water power), and Solar are all "gathered" power-sources -- that is, in any given location, you can collect what's there, and no more. If Mother Nature doesn't cooperate, you're SOL. Hydro is pretty much maximally exploited; Wind isn't, but we're also discovering various hidden liabilities thereof (bird kills, possible weather effects). Solar depends on available area and expensive equipment.
Nuclear power is widely used in Europe, but the American experience suggests that we (the Americans) have trouble building safe plants, largely due to commercial pressures and various sorts of corruption. That same experience has also made it politically untouchable here. (Incidentally, you can certainly charge up an electric car with nuclear-produced electricity!)
Hydrogen is not an energy source, it's a storage medium, and perhaps not a very good one. (If we ever get fusion working, that'll be a different story!)
So... where to next?
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