End of growth and the structural instability of capitalism—From capitalism to a Symbiotic Economy

Abstract

The peak of fossil fuels is probably a matter of decades rather than centuries. Setting-up a new energy mix, initially based on renewable primary energy and electrification of the economy, seems unavoidable and it may start a last expansive cycle, but it also will deplete an important fraction of reserves of several crucial minerals. Soon after it, exponential growth of energy and GDP may be no longer possible due to minerals limitations. A general crisis of resilience of global ecosystems has been predicted by 2025–2045 if the current global growth rate is sustained. Under these new circumstances of zero growth and new global problems demanding new solutions, capitalism will face challenges out of its historical work parameters and that will require much more than partial reforms. Nucleation centres of new economic practices may be the cooperative and solidarity-economy movements in synergy with transition towns and virtual communities which, with political mobilizations oriented to maintain past standards of occupation and life quality (expectations of “progress”) may force a transition to some regulated steady-state capitalism. Tendency of the rate of profit to fall under stationary and competitive markets conditions will probably transform this end form of capitalism into a post-capitalist Symbiotic Economy.