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The Economics of factor four

Author: Ayres, Robert U. INSEAD Area: Economics and Political ScienceIn: Milieu als motor van de economie by D. H. Van Dijk and R. C. H. Flipphi, 1996 Language: EnglishDescription: p. 35-56.Type of document: INSEAD ChapterNote: Please ask the Library for this chapter.Abstract: This paper argues for three propositions. The first proposition is that the growth "engine", as it operates today, is in need of major repair. It is failing in a number of ways, especially with regard to government debt, social welfare, equity, and environmental sustainability. The second proposition is that all of these seemingly independent problems are really symptoms of a single basic "growth" desease - a disease of society that is distressingly analogous to cancer. This disease will not respond to any of the common policy nostrums, most of which appear to be based on the notion that the cure for the problems caused by the growth disease is more and faster growth. The third proposition is that, while none of the forgoing economic and social problems can be solved individually, nevertheless there exists a plausible strategy for solving all of them together and simultaneously
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This paper argues for three propositions. The first proposition is that the growth "engine", as it operates today, is in need of major repair. It is failing in a number of ways, especially with regard to government debt, social welfare, equity, and environmental sustainability. The second proposition is that all of these seemingly independent problems are really symptoms of a single basic "growth" desease - a disease of society that is distressingly analogous to cancer. This disease will not respond to any of the common policy nostrums, most of which appear to be based on the notion that the cure for the problems caused by the growth disease is more and faster growth. The third proposition is that, while none of the forgoing economic and social problems can be solved individually, nevertheless there exists a plausible strategy for solving all of them together and simultaneously

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