Plan B 2.0 Excerpt #2 31 October 2006
More from Lester Brown’s book, Plan B 2.0: Rescuing a Planet in Stress & a Civilization in Trouble. Few other books, if any, capture the current situation we are facing more completely, nor offer more realistic, achievable solutions. My primary mission at present is to get as many copies of this book into as many hands as possible, by any and all means. If, for any reason you do not find this book to be the most important text you’ve read, I will personally refund the purchase price of the book.
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From Chapter One
The question facing governments is whether they can respond quickly enough to prevent threats from becoming catastrophes. The world has precious little experience in responding to aquifer depletion, rising temperatures, expanding deserts, melting polar ice caps, and a shrinking oil supply. These new trends will fully challenge the capacity of our political institutions and leadership. In times of crisis, societies sometimes have a Nero as a leader and sometimes a Churchill.
The central challenge, the key to building the new economy, is getting the market to tell the ecological truth. The dysfunctional global economy of today has been shaped by distorted market prices that do not incorporate environmental costs. Many of our environmental travails are the result of severe market distortions.
One of these distortions became abundantly clear in the summer of 1998 when China’s Yangtze River valley, home to 400 million people, was wracked by some of the worst flooding in history. The resulting damages of $30 billion exceeded the value of the country’s annual rice harvest.
After several weeks of flooding, the government in Beijing announced in mid-August a ban on tree cutting in the Yangtze River basin. It justified the ban by noting that trees standing are worth three times as much as trees cut. The flood control services provided by forests were three times as valuable as the lumber in the trees. In effect, the market price was off by a factor of three! With this analysis, no one could economically justify cutting trees in the basin.
A similar situation exists with gasoline. In the United States, the gasoline pump price was over $2 per gallon in mid-2005. But this reflects only the cost of pumping the oil, refining it into gasoline, and delivering the gas to service stations. It does not include the costs of tax subsidies to the oil industry, such as the oil depletion allowance; the subsidies for the extraction, production, and use of petroleum; the burgeoning military costs of protecting access to oil supplies; the health care costs for treating respiratory illnesses ranging from asthma to emphysema; and, most important, the costs of climate change.
If these costs, which in 1998 the International Center for Technology Assessment calculated at roughly $9 per gallon of gasoline burned in the United States, were added to the $2 cost of the gasoline itself, motorists would pay about $11 a gallon for gas at the pump. Filling a 20-gallon tank would cost $220. In reality, burning gasoline is very costly, but the market tells us it is cheap, leading to gross distortions in the structure of the economy. The challenge facing governments is to incorporate such costs into market prices by systematically calculating them and incorporating them as a tax on the product to make sure its price reflects the full costs to society.
If we have learned anything over the last few years, it is that accounting systems that do not tell the truth can be costly.
Faulty corporate accounting systems that leave costs off the books have driven some of the world’s largest corporations into bankruptcy, costing millions of people their lifetime savings, retirement incomes, and jobs. Distorted world market prices that do not incorporate major costs in the production of various products and the provision of services could be even costlier. They could lead to global bankruptcy and economic decline.
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When I think of a person who embodies the progressive power of fury, I think of the great Malcolm X, that furious populist street preacher whose rage-fueled sermons demanded the immediate cessation to the marginalization of his people. Imagine the arrival of the modern Eco-Malcolm, demanding an immediate switch away from the fossil-fuel based economies that marginalize not only entire continents but threaten our collective future. Do you think this person would be greeted with open arms by the intellectual elite who drive the U.S. environmental movement? No. He would be instantly marginalized, cast aside by the hyper-sensitive and politically correct, laughed off the stage in two seconds flat without regard for the billions who desperately need such a leader to save them from near-term ruin.
Whatever happened to fear? It seems that, as a motivator for positive change, it has gone out of vogue. Indeed, in eco-blogs (
My photo show goes up tonight (see post below). Included in the show is the work discussed below. Originally, this post was entitled “Happy Birthday, Lenny! You’ve Been CENSORED Again”. Curiously, the entire post was deleted within the past few days. Everything else on this site remained intact, aside from this post and the accompanying image. Could it be that attacking PR Web is creating problems? Do they have that kind of reach? By reposting, am I inviting Guido the Hitman? (apologies to my Italian fans . . . I’m not stereotyping, I simply know a man named Guido who happens to be a hitman.)
Over the past year, I’ve talked with many people who have read Lester Brown’s exceedingly vital book,

