can we turn long-term capital into short-term consumables and vice-versa? I’d say the answer is “yes”
I am considerably more doubtful about that. A resource shortage is about lack of particular molecules or atoms (or, maybe, cheap enough energy). Long-term capital mostly exists as financial instruments, land, buildings, and such. As the old saying goes, you can’t eat money.
If poor kids are too numerous for their parents and voluntary charity to pay for, but there are still wealthy people around too, what happens?
The usual. That’s the normal state of being for most of humanity’s history. It’s happening right now—look at Africa. All historical lessons (about the comparative utility of markets vs direct government intervention) are fully applicable.
I am considerably more doubtful about that. A resource shortage is about lack of particular molecules or atoms (or, maybe, cheap enough energy). Long-term capital mostly exists as financial instruments, land, buildings, and such. As the old saying goes, you can’t eat money.
The usual. That’s the normal state of being for most of humanity’s history. It’s happening right now—look at Africa. All historical lessons (about the comparative utility of markets vs direct government intervention) are fully applicable.