It goes deeper than that. We need to rollback and redefine the things we consider 'success' and 'progress'. More and bigger stuff than the next guy has to stop being advertised, on Wall St and on Main St, and we have to recognize (which perhaps needs marketing) that social relationships and freedoms on top of ample basic goods are what bring us the most long term satisfaction. Competition is part of who we are, but we should eschew the conspicuous competition for yachts, sportscars, and more digits in ones bank account and change our competitions to more healthy, less impactful endeavors like sports, games, information, knowledge etc. The American people are not bad, nor stupid - they have just been fed the wrong type of message for a generation or so. There is a large disconnect between perception and reality, which is currently the biggest problem.. (We did what?!!!)

Hi Nate--I agree we need a Culture Shift. But to accomplish that, we must reform the corporate media which sent the "wrong" message in the first place. Not that anyone comments on what I write, but I've written about the need for a paradigm change since I joined theoildrum.com almost at its inception. Such a change requires behavioral change by the body politic, as you've pointed out in your essays. Since the late 1990s, I've wrestled with what ought to be the goal of the new, Post-Modern, economy--one not based on money. Knowledge and Wisdom ought to be the goals of a cooperative culture/society that relegates (discredited, old-culture) wealth formation to the commonweal and its promotion. Such a culture does go against some attributes of the human animal, but it also stimulates other attributes buried far too long, IMO. We've seen what the power of media can accomplish in generating the current dilemma; it can also be used to help us solve the dilemma, but radical change is required.

Karlof - here is someone in France with the same thought:

France seeks new growth measure

http://news.bbc.co.uk/1/hi/business/7177100.stm

Hi pondlife--Thanks for the link. I'm not the least surprised that Stiglitz is involved as I've been following his course since he quit the World Bank in the late 1990s. Nor is it surprising that the IMF would make such recommendations. The French are quite right to determinedly resist such policy advice as it would work to destroy the commonweal they've struggled to achieve.

So often, the US economy is measured by the number of new single family homes, which is invariably an incentive to further sprawl.

Former California Governor Jerry Brown said something similar in the 70s; we need to not just focus on money income but psychic income. Growth that is meaningful to the individual and the society should be focused not just on economics but on spirituality, wisdom, and happiness.

And I, being somewhat naive, thought there was some chance that this might occur. Didn't happen and, if anything, we are farther from that ideal now than we were in the 70s.

Excuse me for being cynical, but as the financial shit hits the fan, people will become even more fearful and greedy and their brains will lose all capability of dealing with these problems in a manner that fully recognizes things like peak oil, climate change, the environment, and personal psychic growth.

Before you can build a new house, you need to tear down the old one.

"But to accomplish that, we must reform the corporate media which sent the "wrong" message in the first place."

The wrong message is now engrained across the generations. We have been suckers, for the most part - muppets, with someone else's hand up our rear ends (excus3e the visual). I'm all for changing that, but it will be a hell of a fight... minor changes will be purely cosmetic.

the media controls which messages we sheeple are to see, hence: Obama approval ratings. As far as I can tell, the media machine has already crowned Obama as King!
The sheeple are too concerned with what the media tells them, from Britney to Dancing with the Stars. The news is only sensationalistic, not exactly newsworthy. The commercials are only designed to get you to part with your money. thats all. The media is largely controlled by corporate, corporate runs this country, not the self serving politicians. these politicians seem to be more concerned with steriods in professional sports and pork barrel projects rather than fiscal leadership. we are doomed!

Nate,

I made the transition from business (chem plant manager) to the boondocks (among other jobs, the elementary school custodian) over 30 years ago. My experience indicates that it requires developing a new reality to succeed and be satisfied. This is almost impossible for most people.

A good example of this is when our city friends (MD, architect, college professor and similar occupations) visit us in the boondocks: They enjoy the serenity, the beauty, etc. but they always ask what we "did" meaning activities. It doesn't do much good to say "we live" and that life and work are mostly one.

Eventually, people may realize they have been screwed. See Charles Smith's essay When Belief in the System Fails http://www.oftwominds.com/blogmar08/belief-fades.html
But, they won't have spent the time considering alternative realities to prepare themselves mentally for the change - whatever it may be.

I think one thing that would help to transition is a security blanket. Perhaps, similar to the one posited in Ecotopia.

Who knows.

Todd

Agreed, we need to Bhutanize our system, and begin striving for a higher GNH (gross national happiness) instead of a greater GNP.

If ‘we’, instead of focusing our competitive drive on producing something more efficient than the other guy, had spent all our competitive energy playing football and chess, we would likely have starved to death by now:).

On a more serious note, competition only makes us worse off when some amongst us can improve their relative ranking by banning and prohibiting others from competing as vigorously as they otherwise would.

The causes of the current credit meltdown are too much regulation, not too little. Were it not for various levels of governments’ ability to, through zoning laws and the like, make the simple act of providing a roof over ones head, almost prohibitively expensive, we would not have had a debt run-up to begin with. Guaranteed. Strip away all regulation involving building and construction, and there would be an immense supply of dwellings, likely several per head.

In every unregulated industry, overproduction is the norm. The simple fact that not all providers judge future demand with equal accuracy, with some inevitably over estimating it, ensures that. Only in regulated industries like housing, health care and education, can those better off and politically connected prevent this from happening, in order to maintain their own power and status as gatekeepers to a scarce resource.

Simply get government at every level out of people’s lives, decisions and wallets, and a society at our current technological sophistication would provide an absolute overabundance of virtually everything to virtually everyone. There is simply no reason, other than the vanity of the political classes, for government to play a larger role in people’s lives today that they did when America was first formed.

As I’ve written before, a Californian real estate market devoid of regulation, would likely have the vast majority of the population living in huge condos in one of a wall of 40-60 story high-rises stretching from Cape Mendocino to Cabo San Lucas. With high speed rail running the length close behind. While the ‘rich’ would likely still live ‘better’, by occupying larger, nicer equipped units on higher floors, even the so called ‘poor’ would at least have a spacious beachfront condo. Not too shabby compared with the kind of rat infested projects our ‘progressive’ overlords currently see fit to provide them with.

Huh? The poor would live in rat infested slums - not beach fount condos

I once thought somewhat along these lines. I don't now. Government, in its regulatory guise, does serve the purpose of not letting people screw up the lives of other people. Can you imagine what the land around a chemical plant would be like in the world you describe? Love Canal would be a beautiful meadow in comparison.

The world, and people, do not run how Ayn Rand would have us believe it would if government would just keep its hands off. Government does good things. It also does incredibly bad things, but that's where we, the people, are supposed to enter the picture.