Resources, Capital, Substitutability, Growth, Depletion

Abstract: The theory of “Weak Sustainability” has long presupposed a favorable substitutability of artificial capitals for natural resources. All the growth-oriented economists favored this paradigm and used to conceive various optimistic growth paths. However, prolonged lavish consumption of fossil fuels has recently brought forth deterioration of reserve quality and of remarked degradation of ERoEI (Energy Return on Energy Investment), which reciprocally implies ever larger artificial capital to be claimed for extraction. The latter, instead of substituting the former (natural resources), must now be consumed in an ever increasing amount just for extracting the primary energy.
Key words: Resources, Capital, Substitutability, Growth, Depletion