The Behavioral Aspects of Peak Oil: Basic Contingencies

This is a guest post by Lyle Grant, a Professor at Athabasca University's Centre for Psychology and co-author of Principles of Behavior Analysis. Since discovering the issue of peak oil his work has largely concerned the psychology of sustainable living.

In behavioral terms, peak oil is an aversive consequence. The Hirsch report's crash program is an avoidance response that will prevent the worst of the aversive consequence from occurring. Meeting the challenge of peak oil is therefore a problem of engaging in successful avoidance responding.

Peak oil is an especially difficult problem due to (a) the nonrecurring nature of peak oil, (b) the delay of the aversive consequence, (c) the variability in the predicted date of peak oil, (d) the predicted aversiveness of peak oil, and (e) the nature of avoidance responding.

Peak Oil as a Nonrecurring Consequence

The once-in-history aspect of worldwide peak oil makes it necessary to discriminate the avoidance contingency in advance of the aversive consequence's occurrence and to do so without any previous learning trials. Addressing peak oil successfully prior to the peak itself can therefore be considered as an instance of one-trial discriminated avoidance responding. In one trial, it is necessary to discriminate (a) that peak oil will occur, (b) a plausible time frame in which peak oil will occur, (c) that peaking will be a serious problem, (d) that a crash program is capable of avoiding or lessening the problem, and (e) the time interval required for the crash program to have a mitigating effect before peaking occurs. This is a difficult assignment because each of the five elements of the discrimination is contested in contemporary discussions in varying degrees, and because the program itself is a major effort that appears to require both cultural reinvention and substantial spending.

A major behavioral problem with peak oil is simply that nobody has had any practice in coping with such a unique event. One of the major contributions of successful applications of behavior analysis is to structure learning experiences so people are given lots of practice and feedback in acquiring and maintaining skills (e.g., Grant & Evans, 1994; Martin & Pear, 2003). With a once-in-history event like peak oil, no one has had prior opportunities to learn to behave successfully toward such an event.

The Delay Parameter

Peak oil is also a problem of delayed aversive consequences: The fact that delayed consequences are less effective than immediate ones is a generic problem in efforts to improve the future (Skinner, 1973). The effects of programs to mitigate peak oil will be realized only after a delay required to implement the programs. Delayed events, even very harmful ones, lack concreteness and currency that compels people to pay attention to them, making it difficult even to bring them into the public arena for discussion. Both those who predict peak oil and advocates of a crash program to avoid a harmful peak-oil future will therefore always tend to be judged as incorrect because the aversive future events they predict are nowhere to be seen. Kunstler (2006, ¶ 1) referred to a form of this problem when he indicated his critics have taken him to task because "I have so far failed to correctly predict the end of the world".

The Variability-of-the-Delay Parameter

As discussed earlier, the length of the delay before the peak is reached is poorly predicted. While some experts specify we are already past the peak point of production, others maintain the peak will not occur for many decades. This lack of consensus also lessens the degree to which information about peak oil functions as an effective motivating operation to induce behavior, like a crash program, that avoids a peak-oil crisis.

The Aversiveness-Intensity Parameter

The events that will occur in a post-oil future are to some degree ambiguous, even though there is a broad consensus that peak oil is a harmful event. Some predict anarchy and a breakdown of rule of law (Kunstler, 2005), whereas others entertain notions of a future in which people drive their cars using solar energy, ethanol or hydrogen (e.g., Rifkin, 2002). This lack of consensus concerning the severity of the effects of peak oil lessens the extent to which information about peak oil functions as a conditioned motivating operation (Michael, 2004).

The Nature of Avoidance Contingencies

As discussed earlier, the crash program called for in the Hirsch report is a type of discriminated avoidance response that prevents or postpones an aversive consequence. Avoidance responses do nothing more than maintain the status quo, whereas the failure to emit the avoidance responses enables the aversive consequence. If the crash program were successful, there would be no disastrous consequences. In contrast, failure to make the avoidance response, to carry out the crash program, enables the disaster. Even with practice, avoidance responding is difficult to acquire, partly because nothing immediately happens after the response (Catania, 1998).

Many avoidance responses are initially acquired as escape responses (Grant & Evans, 1994; Martin & Pear, 2003). For example, Geller (1992) pointed out that water conservation is often acquired as behavior that escapes the problems of a shortage, whereas recycling is acquired as a response that escapes excess solid waste. In escape responding, the learner receives practice in removing the aversive stimulus, which appears to facilitate learning how to prevent it as well. However, the nonrecurring nature of peak oil means there is no opportunity to learn to use a crash program to escape the effects of peak oil as a training method to teach subsequent peak-oil avoidance.

Additional Challenges in Addressing Peak Oil

In addition to these basic contingency-related issues in solving the peak-oil crisis are the following challenges: (a) the resistance to change of established patterns of energy use, (b) the history of false signals of oil depletion, (c) the history of technological advancement, and (d) the aversiveness of delivering peak-oil messages.

Resistance to Change

The use of highly concentrated energy sources such as oil and natural gas has made daily life more reinforcing in many respects and has established routine and stereotypic behaviors that are highly resistant to change (Nevin, 2005). This resistance to change regarding motor vehicle use, for example, occurs even despite lethal and other harmful consequences (Alvord, 2000; Kay, 1997). One quantitative measure of resistance to change is seen in empirical studies of the relative inelasticity of demand for gasoline: Price increases have relatively little impact on short-term gasoline demand (Dahl & Sterner, 1991; Espey, 1998) and there is some evidence demand inelasticity has increased over the past several decades (Hughes, Knittel, & Sperling, 2006).

The resistance to change of fossil-fuel use poses a problem for the transition to a peak-oil future because it rigidly frames discussions of what alternatives are acceptable. Existing energy-use practices are accepted as a constant, with everything else subject to change. Proposals like gasoline taxes are seen as politically impossible even among those sympathetic to the problem of energy overconsumption (Quinn, 2006).

Prior False Signals of Oil Depletion

Yergin (2005) points out the current apprehension that oil supplies will begin to decline has been preceded by five previous periods of similar concern, all of which turned out to be misplaced.

Those individuals who have previously raised concerns about oil depletion were essentially providing false, or at least premature, signals for oil depletion. Those who doubt the imminence of peak oil use this history of false signals as a reason for suggesting that the current indications of peak oil are equally false. From a behavioral perspective, a key effect of presenting a false discriminative stimulus signaling the lack or scarcity of a reinforcer would be to strip the signal of any discriminative control, through extinction, over whatever responding (e.g., conservation, planning for scarcity) would be otherwise occasioned by the discriminative stimulus and any future similar signals.

The effects of the history of false signals of future disasters should also be understood in a wider context of inaccurate, or at least premature, predictions of other types of doom. For example, Thomas Malthus (1798/1985) incorrectly predicted the human population would grow too large to feed itself by the mid-19th century. Ehrlich's (1968) more recent predictions of a disaster due to overpopulation have also not been realized. As a result of incorrect predictions of this sort (or correct predictions that have yet to be realized) predictions in general have lost their discriminative and motivational properties. This poses a special difficulty for a problem like peak oil, which the Hirsch report indicates will necessarily occur.

Aversive Features of Peak-Oil Messages: Bearers of Bad News

A problem in spreading information about peak oil is the reluctance of political leaders to bring the problem of peak oil to public attention.

Raising the prospect of a less affluent future due to the lack of energy supplies is difficult for politicians and other opinion leaders. Analyses of campaign rhetoric indicate that candidates who deliver upbeat messages promising a bright future are generally more successful than those who raise concerns about the challenges of a difficult future (Zullow, Oettingen, Peterson, & Seligman, 1988). Politicians who deliver information about aversive events in the future run the risk of establishing themselves as conditioned aversive stimuli by means of classical conditioning, whereas those who deliver promises of a bountiful future establish themselves as conditioned stimuli for positive emotional responses. Conditioning processes that occur in political contexts may work in a manner similar to classical conditioning in advertising (e.g., Shimp, Stuart, & Engle, 1991; Stuart, Shimp, & Engle, 1987).

History of Technological Advancement

Another impediment to motivating people to conserve energy and engage in other activities to prepare for a peak-oil crisis is the advancement in technology throughout human history, especially during the industrial age. Yergin (2005), for example, maintains there is a general historical tendency in history to underestimate the role of technology in oil discoveries. A specific difficulty however is that oil discoveries have been declining since the mid-1960's, despite striking improvements in oil discovery technologies.

The problem is people have come to expect technology to provide them with relatively inexpensive energy sources (Cavallo, 2004). These expectations are due to a long history of reinforcement in the form of advances in energy and other technologies. With respect to energy-conservation behaviors, technological advances that have provided inexpensive oil supplies have functioned like a source of (practically) response-independent reinforcement (i.e., getting something for doing little or nothing), weakening incentives to conserve.

Risk Management Contingencies

Hirsch et al. (2005) recognized the lack of a clearly predictable fixed date for peak oil and therefore characterized the problem as one of risk management. A risk management approach acknowledges that either the proponents of an early peak (e.g., within 0-20 years) or those of a late peak (e.g., more than 20 years) may be correct and offers a course of action that produces an optimal combination of the least aversive and the most reinforcing consequences.

Hirsch et al. asked two questions:
1. What are the risks of initiating the crash program prematurely in advance of the peak?
2. What are the risks of initiating the crash program too late in advance of (or after) the peak?

Hirsch and his colleagues maintained the two risks are asymmetric, that with a premature crash program “there might be an unproductive use of resources” (p. 88) whereas a late crash program would result in “a decade or more of devastating economic impacts” (p. 88). Many energy conservation programs would not carry much risk in the case of a late peak and would have important benefits. The Hirsch report identified improvements in vehicle fuel economy as a part of the mitigation program. However, if such improvements were required by the government even 30 to 50 years or longer before peaking, these improvements would likely not be a severe drain on resources and would have direct benefits on reducing CO2 emissions, global warming and various forms of environmental pollution (Union of Concerned Scientists, 2005). Simmons (2006) has advocated increased use of telecommuting, a transition from long-distance trucking to rail and barge transport, and eating locally-grown food, each of which would also have desirable environmental benefits even if they were timed too early in advance of peak oil.

Unfortunately, at this time the problem of peak oil is not conceptualized in terms of risk management. Instead, discussions of the issue are typically framed in terms of who is “right” and “wrong” regarding the imminence of peak oil. This mode of conceptualizing the issue, along with the problem of resistance to change, has led to placing an implicit high-stakes bet on the behavioral alternative that carries the maximum risk, which is our current course of inaction on peak oil.

Note: This piece is a summary of a longer article available here (opens pdf file).

References

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Dr. Grant, thank you for your guest post, it really helps clarify the problems with getting out the message of peak oil.

My sense is that we would do best to emphasise that peak oil means prices are going to climb rapidly and permanently. Arguing about whether there is a trillion barrels of oil left or 4 trillion barrels of "tar sands" and "oil shale" which can be made into liquid hydrocarbons with cornucopians neglects the real issue-we can't afford it economically or environmentally. This threatens our economy, our health and the national security of western countries.

In addition to the behavioral contingencies, there are cognitive barriers to the acceptance of an unpleasant idea such as peak oil. In 1957, Leon Festinger first wrote of cognitive dissonance. When a person holds two opposing ideas (unlimited growth=spending good for economy) vs (finite resources, problem imminent), individuals tend to resolve the conflict toward the proposition in which they are most invested.

That glazed look many TOD writers talk about when they try to educate others about peak oil is likely to be cognitive dissonance, which is most easily resolved by maintaining the beliefs upon which many have based their lives.

If you can't beat them, classify them, as a blogger friend of mine said after some particularly frustrating debaters...

This isn't particularly profound. This habit of explaining away other's reactions we've seen a lot of times: communists explaining people as products of the bourgeouis system, feminists explaining opponents as either oppressive (if they are men) or brainwashed (if they are women), even intelligence psychologists decrying their opponents as dimwits... all in scientific-sounding, empty jargon.

Behaviorism may be good for designing cockpits, but tell me one time it has been of any use whatsoever in examining larger society in any meaningful fashion?

Advertising

Ok, I admit, maybe advertising is not "whatsoever [useful] in examining larger society in any meaningful fashion" in your definition. But it sure is useful for the successful advertisers.

But how much behaviorism is there in there? I'm asking because I don't know. I've seen some useful behavioral papers about evaluation of early computer user interfaces, and I've heard (and can easily believe) that it was also successfully applied in human interface design in planes, cars, machines etc.

However, the behaviorist programme that humans can and should be understood solely in terms of input-output relationships - I've seen critics refer to as pseudoscience, and I understand the young Noam Chomsky first became famous for a devastating critique of it. Apparently the critique was fair, because it managed to convince a lot of psychologists to abandon it.

Philosophically, it may be a consistent position to see humans as some sort of reward-maximising machines, but my impression was that it was rejected as a framework for psychology. So about this attempt to apply it to peak oil, a wide social phenomenon, I'm sceptical (but I'm an engineer, not a psychologist).

[...]that humans can and should be understood solely in terms of input-output relationships ... to see humans as some sort of reward-maximising machines ... I'm sceptical

...as you should well be.

An individual human is a very complex "machine" - it does in no way function linearly. It is chaotic and responds often very "illogically", meaning non-linearly. That is why it is hard to found behaviorism as a "science". It - like politics, like sociology, like education, like psychology itself, and like advertising(!) and war-propaganda - is an Art. Sometimes it works and sometimes it doesn't.

But like any "-ology", it helps to talk about it, for some things work "better" (more often) than others.

We can also ology about the reasons why it didn't work, like Dr. Grant is doing.

p.s. Am neither an engineer nor a psychologist (rather a trained historian):
But I love models, which are in themselves imperfect ways of predicting outcomes for complex systems.

Cheers, Dom

Actually, I think not.

Bernaise (Freud's nephew & advertising god) simply took the techniques of war propaganda and applied it to products.

voila.

Well, thank you for proving my point.

Obviously it wasn't used for the "good", but it was used.

Thank you Professor Grant, that seems to sum things up rather nicely. Do you have any suggestions in response to these problems?

I've mentioned, at odd times, the thought that there is much stick and too little carrot when promulgating the problems of Peak Oil, Climate Change and Global Warming. Would you mind putting oar to water here as well?

This is Lyle Grant. I appreciate CrystalRadio's call for suggestions. My basic approach in the article was simply to endorse the Hirsch report's call for a substantial program to mitigate the effects of peak oil as well as to get behind the specific conservation and other initiatives Matt Simmons has advocated.

Apart from this I also called for increased work in my field, which is called applied behavior analysis, in changing energy-use behaviors. My colleague Scott Geller at Virginia Tech has been a leader in this field. I cited a paper in which Lehman and Geller lament that most of the work was done in the aftermath of the energy shortages of the 1970's and 1980's. This literature of energy conservation should nonetheless be useful in a future of diminished energy.

One seemingly small but important thing we can all do is to send messages of support to those who are leading efforts to publicize peak oil, including those who maintain The Oil Drum. This use of positive reinforcement, a key concept in my field, can be surprisingly effective. In this connection, thanks to those of you who have sent supportive comments today.

Bkinetic wrote: This literature of energy conservation should nonetheless be useful in a future of diminished energy.

Why do you think the future would be one of diminished energy?

Depends what time-frame you're talking over. Certainly over the next 40-50 years, there will be less energy available, at least at a per-capita level. Unless you know something we don't...

DocScience

Has Nucbuddy actually read many of the articles about PEAK OIL to understand that PEAK OIL means a severe energy shortage and crises is beginning ??

I clicked on Nucbuddy and it shows he has a shorter member period then me.

In my last article that I wrote,
http://www.angelfire.com/in/Gilbert1/grid.html
I explain that instead of creating energy devices like wind generators and solar panels in the numbers needed, we are just wasting our energy resources.

.

Excellent article, it's refreshing to see a discussion of, well, how to frame the discussion!

In response to the call for suggestions, I've been mulling over an idea or two. If the problem is defined as "how do we change peoples behavior" then I believe one of the most effective arguments would be to frame it in economic terms.

I am not a behavioral psychologist, but in layman's terms it easy to see that people have a few core motivators, i.e. providing necessities for themselves and their families, cultural identity, religious faith, etc.

In fulfilling those motivations each individuals world view informs many, if not most of their day to day decisions, and in today's modern societies the primary context for most peoples world view is their economic status.

The primacy of the consumer oriented growth economy has been virtually unchallenged by any society for centuries. Not even to any great degree by communism or socialism. It is this unquestioned assumption that perpetual growth and unrestrained consumption is an absolute good that I think must be challenged in the most fundamental and creative way possible.

The article makes an excellent case that people do not want to be told bad news, nor do they want to hear that they must sacrifice a high standard of living today for the benefit of unseen future generations. And yet somehow people must be persuaded to change their lifestyles if we are to avoid the worst of the negative consequences of resource depletion and ecological overshoot.

The answer then, I believe, lies in reframing the economic paradigm and, by extension, reframing peoples world view. Day to day economic decisions by people all over the world must be changed from "how much abundance can I enjoy today" to "how well have I preserved my abundance for perpetuity".

If peoples primary motivators, and their resulting rewards in life, are intimately tied to how well they take care of their piece of the world then I believe we will see a truly sustainable society arise spontaneously from the day to day decisions of everyone on the planet.

The unquestioned assumption that the perpetual growth machine that is our consumer oriented economy is an absolute good must be directly challenged and somehow transformed into one where the absolute good is instead a caretaker economy.

Taking care of our planets productivity.
Taking care of our resources.
Taking care of our environment.
Taking care of our prosperity, as well as the prosperity of our children, and their children, and their children.

With much worry about the future weighing heavily on many peoples minds I think this is a message that will resonate. We're already seeing seeds of it being planted with the talk of "stewardship" in some religious circles.

However, what I feel is more important, this idea has a fundamentally positive basis on which people can build. It presents people not with the negative question of "what must you sacrifice today for the good of tomorrow?", but instead with the positive inspiration of "you know what your job is, now how well can you do it?".

Cheers,
Jerry

Jerry raises a very interesting set of points, not least of which is the way worldview acts as a default setting, if you will, for how people interpret novel information and experience. The growth culture is predicated not only on the objective fact of increasing energy consumption/capita, but also on the subjective experience of progress in virtually all realms of life. As GE used to say (do they still?), "Progress is our most important product." Worldview is a stabilizing force in cultural reproduction, and the intertia involved here will be hard to change..that is until, as several point out, now-privileged people are brought face to face with energy costs due to oil and natural gas depletion.

When the ramifications of peak oil actually begin to take a bite I fear that those feeling the bite first will be the biggest. Automobile manufacture and sales, automobile insurance, UPS, FedEx, airlines and so on will be able to get the ear of the politicians and be able to wrangle subsidies out of the politicians. Everyone (well, almost anyway) is denying the possibility of peak oil and I suspect that the onset of peak oil will not be much different. I can hear now any and every flyblown politician claiming that they have the answer and just vote me in and I'll get those SUV's rolling again.

So, with charlatans encouraging folks to believe what they want to believe - that things will continue on as they have for the last 70 years I can imagine congressfolks succumbing to the extended begging bowl held out by those saying just give me enough to tide me over this rough spot and I'll be able to keep folks employed, the wall-mart turnstiles turning and you in office.

I think that will be, as Michael Jackson says, "bad, bad, bad, really bad" .Because once these folks loot the treasury that's it. Them greenbacks will not be replaced. Money that could be spent on initiatives to address transitioning to a new ( actually, old) way of life will not be available.
We should be alert to this possibility and lay the groundwork to head it off now.

Cheers Mr Lyle Grant - this was really enlightening, I think I have to read it one more time ...

Hmm, two key questions:

1) What probability would you ascribe to peak oil within 5 years?

2) What impact would you expect on western civilisation if peak oil were encountered without prior preparation?

If you ask those two questions of someone used to the management of risk you would generally get figures of 3-50% and billions in just national GDP impact. Put in those terms most people can recognise the need for action, particularly when that action has consequent benefits in cost, resilience and ecology terms.

However, the next step is the real problem. What can be done? All too often the answer is whole scale revision of the makeup of civilisation and even the idea of a reversion to a agrarian model. Its at THIS point that people give up and wipe the whole thing from their minds.

Acceptance of peak oil is not determined by the facts of finite oil, or even on the 'behavioural aspects' but on the inability for suitable acceptable solutions to be presented together with the problem.

The remark by Kunstler about the breakdown of the rule of law will be taken as to refer to the citizenry. I'd take it to refer to the elected and non elected or spuriously elected leadership as well, and perhaps as the first casualty. This also means international law. I'll refrain from giving recent examples.

George Monbiot's 'cats in a sack' reference is already being realized to an extent. The idea that the citzenry is prone to violence and unlawful behavior and must be restrained by a morally superior ruling elite is one of those myths that just doesn't wash for me.

Just show me how the 'Great War' was a result of any motivation by any citizen. And why was a European war being fought in the Middle East? What was Lawrence of Arabia doing in Arabia? Now let's see, the Archduke Ferdinand... and then France and Germany and ... nevermind, we have to be ever vigilant for a breakdown of law amongst the masses.

World War 1 is still being fought. They just told us it was over and we believed them.

World War 1 is still being fought. They just told us it was over and we believed them.

Brilliant quote. This ties in with Melville's theme that people are born good, and later become corrupted by society. Or to paraphrase (with apologies to Lord Acton): "Societies corrupt, and totalitarian societies corrupt absolutely."

Cheers

let the good times roll
New study suggets US consumers less responsive to gas price increases:

http://www.greencarcongress.com/2007/06/study_identifie.html#more

ummm wouldn't that mean that the demand curve for gasoline is already inelastic and no one is 'learning' from it.

One of the basic tenants of economics is that short term demand is inelastic with long term demand being more elastic. It seems the USA/Canada has not learned from previous oil shocks unlike other industrialized nations.

Thanks for the excellent post.

Evolutionary psychology and game theory are also relevant to psychological and social responses to peak oil. Peaking oil will result in an energy "negative sum game" -- a shrinking overall pie. Unfortunately, there isn't much research on means to enable cooperation during negative sum game situations.

I presented a talk on this topic two years ago. A very brief summary, and my PowerPoint slides can be found here:

http://www.drmillslmu.com/peakoil.htm

During negative sum games, frequently the stronger loser tries to destroy the weaker losers to grab as much as possible of the diminishing pie. Thus I expect social and economic inequality to increase post-Peak, because those with power will fight hard to preserve their relative superiority.

As usual, most of the costs of social change will be borne by the poor and powerless members of a society.

The burdens most people will accept is rooted in their perception of fairness. As the implementation of energy efficiency measures and renewable sources lags in compensating for fossil fuel depletion the Western world will enter a prolonged crisis comparable to WW 11. The common folk will accept a decline in their standard of living if they percieve that Bill Gates and those like them are limited in their energy use as much as the gal who cleans the toilets at Microsoft. That means rationing and much higher taxes on the rich just like in WW 11. Only rationing will avoid unequitable burdens on the poor as well as guarantee that essential services will be maintained. Unfortunately such a program will not be presented by any politician until well into the crisis.

Good, thomas, mentioning rationing in the context of fairness. Fairness is marketable while hard times are just that, hard times, and who wants to think (buy) of those.

rationing is inequitable, an ideallist would prefer for price to signal everything. If the economy goes down hill, then specialized goods will become much more expensive, and suck money out of the rich who still want them. Same with all non-nessesities.

The price of luxuries will rise, and the rich will be forced to bear this cost at their own accord. Same with the middle class however these are luxuries we are talking about, not nessesities.

Price and the intersection of supply and demand are enough to make everything fair. If not, the rich will probably die under pitchfork and scythe as their useless luxuries are destroyed(what use will a poor person with no electricity have for a tv?).

"Price and the intersection of supply and demand are enough to make everything fair."

Yes, this is exactly what the idealists are continuing to tell us. Resting purely on market forces will ultimately favor the rich. Fairness is not some gravitational level that money falls to like water settling into pools. People who have it will find ways to control it and keep it.. if the culture doesn't insist on helping all members get by as part of its social compact, as part of its basic survival mechanisms, money will not just jump in like some automatic appliance and do it for us.

Bob Fiske

I will posit that in the case of rationing we will have hoarding and black market goods. These will represent true market prices. The government mandated rations will always run out and shortages will develop. This has been proven time and time again. I simply am against rationing.

So what if one man can eat better than 1000 others? He is most definetly paying for it. If he steps beyond the bounds of acceptability he will pay for it with his life. (see french revolutions)

The market does not only care for the rich, it really cares for NOONE and only supply|demand|price|quantity. It cares for the quality of those goods, the number of buyers and sellers, the elasticity of their puchasing decisions.

The market truely is fair, it is an impartial monster. The government (IMHO it has failed in a number of natural monopolies in many cases and does not have the willpower to restrike a balance in the market) should ideally only serve to reduce transaction costs (look up Coase?Coates nobel prize winning theory) because some costs are unknowable.

In the cases of tradgedy of the commons the government should assign costs regarding the tradgedy unfolding. There has actually been a lot of work in the areas of environmental economics on this.

As for people born into money, a simple constitutional amendment which halves all death inheritences (ie a 50% tax upon the estate of a dead man) and uses those funds explicitly for the repealing of unconstitutional laws, for corporate law investigations, and as well as enforcement of governmental standards would go a long way to keeping everyone honest.

DocScience

“The government mandated rations will always run out and shortages will develop.”

That is why rations are used, because the shortages had already developed, and the substance was running out, whether temperarily or permanently.

I have an example. Suppose a government puts rationing on gasoline, so that everyone has a small share. Many people living in the country or having an acre of bush could use their small ration of gas for their power saw to cut several trees for their winter heating. Many others could use their ration in their small power tiller, to prepare their garden. Since most of these people would have very little spare money, they just could not afford to buy the fuel, competing with the richer people who litterally have money to burn, and the rich will pay what they have to, to power their luxury energy wasters, just like they have no interest in giving up their HUMMERS and speed boats now.

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the thing is. game theory does not work on people, it was a flawed concept born out of the cold war. People are not rational beings and never will be.
please watch the three part documentary 'the trap: what happened to our dreams of freedom' for a good example as to why game theory fails.
to put it simply there are only two kinds of people who act like what game theory assumes ALL people act like. psychopaths, and economists.

Hi,

I just want to point out that several countries have gone through peak oil like situations. Many countries have undergone reduced energy levels. These include Cuba, the USA during WWII, North Korea, and Cambodia.

Many of the communist countries got into big trouble when the USSR collapsed and withdrew patronage funds. Cuba is an example of a country that came out with the least damage because of (1) their leadership was better and (2) they eventually found a new energy patron in Chavez. During the crisis, they embraced bicycle transport and created huge buses that would carry bicycles and people. Agriculture reverted to animal and human worked systems. What we would call "Victory gardens" sprouted over the country. Meat became unavailable and the country went de facto vegetarian. Castro himself lost a lot of weight. The country looked hungry. That said, they didn't collapse like other countries would have. The long American embargo may have provided them the experience of working with what they have. However, the crisis was not really resolved until Chavez started supplying the country with oil.

Our own country had a similar experience during WWII. Fuel and transportation were curtailed, alternatives like bicycles and mass transit (especially trolleys) were encourage, food was grown locally and standard of living was voluntarily lowered. Of course, after the war we went back to our old habits: cars, cars, cars and scrap every surviving trolley system. In many ways, this might be a model for a democratic society to emulate during an energy powerdown.

Parts of the Soviet Union like Georgia went through Peak Oil like conditions. While the mountainous country has lots of hydroelectric, most of the fuel oil is imported. The Economy became so bad that the rail system (which can be run on hydroelectric) was shut down. I saw a photo story on the web of the abandonned parts of the system. I have lost the link. It's a very depressing thought that the economy would get so bad that one of the most efficient/ high speed transportation systems would get shut down. Only recently has the country began to get the railroad working again.

The other two examples I can think of are North Korea (Oh God!) and Cambodia (OH GOD NO!).

North Korea has control freak leaders that were so ossified in there social structure that they could not really adapt. North Korea was heavily industrialized. When their economy collapsed, the factories were just shut down and the machinery was sold to China. From what I've heard, China is keeping them on life supports simply to stave off a complete collapse.

Cambodia had leaders that were ruthless survivalists at best and diabolical mass murders at worst. (Note, I am not supporting their actions in any way.) When the country finally collapsed in 1975, all machine based transportation shut down and food shipments stopped. In fact, the Khmer Rouge's justification for clearing out Phnom Penh was that the city of 2,000,000 had only enough food for 1 week, they couldn't sustain the city, there was no way to transport food into the city and that there was more food in the countryside. Somewhere between 1.7 and 3 million people died when the society collapsed and the enraged/insane peasantry took control.

My overall point is that several countries have endured a loss of petroleum based transportation. Some countries like Cuba and the USA managed to make it through with a lowered standard of living and the careful mobilization of the people. Others like North Korea have had significant losses in the standard of living and starvation. And then there is Cambodia.

After what happened in New Orleans after Katrina, I think that we may be real trouble (North Korea as a model) if this country undergoes a quick loss of petrolem. A slower loss may result in rationing with a WWII type of experience (Cuba Model).

Charles

Hi Sontag C,
Many countries have gone through wartime deprivation of oil. Switzerland had a virtual embargo in WWII, and all the countries occupied by the Axis had virtually all oil commandeered by the occupiers. England imported all its oil from the US and had extremely harsh rationing, while in the US citizens had a coupon rationing system even in the oil producing and refining regions.
There have been huge increases in