Horsepower: Lessons From ‘An Old Guy With A Tractor’
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Via Ben Hunt's Epsilon Theory
There is no animal more important in the ascendancy of Western Civilization than the horse, and no invention more important than the horse collar. It has nothing to do with warfare, and everything to do with farming and transportation.
Horses can work 50% faster than oxen, and they can go all day, particularly the draft horses of Northern Europe. But if you put an ox harness on a horse, the horse will choke to death. Very different bone structures
Well said.
That was super, thanks H.
Sweet, nice read
Nice Walter. Check out this tractor I’m building. Terratechmfg.com
FCN, CFP
Wow, for breadth of historical vision and understanding of the mainstream business, political and social movements of our times, this article is unrivaled. I read a LOT and I haven’t seen anything as impressive in a long time.
Ben is great.
and a super nice guy
No, he’s not a “super nice guy.” He’s a glib and arrogant guy. Not that that’s necessarily a bad thing (he wrote quickly, looking over his shoulder, remembering that Heisenberg is watching.) His basic error is the failure to recognise peak “things” – the point at which production of more stuff becomes pointless. In a world where one person can (with the aid of his “tractor”) produce more stuff than 1000 people can use, maybe we don’t actually need more “tractor drivers.”
His only actual “heresy” is thinking that he’s a heretic.
The definition of technology is “the production of labor-saving devices”. Technology has saved so much labor that the price of labor has gone down. We are still working on a solution (but not very hard).
I have to point out that kilowatts are units of power, NOT, energy. Energy requires power to be multiplied by time.
Interesting extension of the tractor metaphor. His piece (and the addenda of some of the commenters) prove to me that we still don’t exactly get all the subtleties of the concept of productivity. .
I wish it was this simple. In 1927 Keynes said the same thing Yellen just said about no meltdowns. The wealth distribution thing is a problem. Policies that increase wealth concentration increase the problem. Social unrest and associated problems are likely. In its embryonic form it was enough to elect Trump. And now we here this BS about tax reform and fiscal stimulus, along with moronic commentary from former GS employees. Who will solve that riddle while investors inflate assets with curcular logic? This joy ride will corrode and snap just like that ride in Ohio.
Hear*