The work of Peter Pogany has been prominently promoted on this blog. I’ve put together a compilation document that summarizes, in his own words, Pogany’s thoughts on the thermodynamic unfolding of recent world history in the sub-epochs he calls Global System 0, Global System 1, Global System 2, and Global System 3. Click here to download the pdf document.
The heart of the document, World History as the Synoptic Narrative of Thermodynamic Unfolding, came originally as part of a 2010 paper called “What’s Wrong with the World? Rationality! A critique of economic anthropology in the spirit of Jean Gebser.” It was later published as Appendix B in the book “Havoc: Thy Name is Twenty First Century,” (2015). This paper is based mostly on the last edit printed in “Havoc,” with some additions that come from the original 2010 paper…and various additional quotes at the end.
My table, borrowed from one made by Pogany (see the pdf):
“This paper argues that (a) the emergence of classical capitalism in the 19th century answered the need for global-scale self-organization; (b) this scheme, interrupted by World War I, was replaced after World War II; (c) the implied transformation has been accompanied by a nonarbitrary, causally determined, irreversible socialization of intranational and international economic relations; (d) contemporary civilization is moving toward a new form of self-organization that would recognize limits to demographic-economic expansion. What will it take to go from the current hostile disgust with the dystopia of tightened modes of multilateral governance to people around the world on their knees begging for a planetary guild? It will take nothing less than a mutation in consciousness, as outlined in the oeuvre of Jean Gebser (1905-1973).”
(Thermodynamic Isolation and the New World Order, 2013)
The potential third global system that Pogany projected as a possibility was thus characterized:
“Long-term world equilibrium — GS3
The thermodynamic interpretation of global history predicts a halt to population and economic expansion for purely physical reasons. This general condition requires a new global system: GS3 – two-level economy/strong multilateralism/mostly government money (maximum reserve banking).
Legally binding international agreements on the use of nonrenewable energy and material resources, as well as on harmful emissions, would enlarge the government’s role in economic affairs since administrative methods would be needed to ensure national compliance with globally determined goals. The implied strong multilateralism would split national economies (hence, the world economy) into a free-market and a public authority-dominated sector. While carrying on the best traditions of constructive entrepreneurship, businesses in the first domain would bid for resources and emission rights; joint private-public ownership would prevail in the second one. The state’s substantial holding of private shares would eliminate most, if not all, income taxation.
The monetary system would be based on a global currency issued by the global central bank. The world currency would combine the discipline GS1’s gold standard vouchsafed and the flexibility GS2’s fiat money has provided (without the fractional reserve system, which, as will become obvious during the first half of the 21st century, is wholly incompatible with any consciously pursued economic steady state.) Much along the lines proposed by Keynes at the 1944 Bretton Woods conference, an international clearing house would keep cross-border trade in equilibrium.
Maximum bank reserves would restrict the ability of banks to extend loans. Just as under the prevailing minimum reserve system, some banks in some instances may keep no reserves at all; under the maximum reserve system some banks in some instances might be required to keep 100 percent reserves. While such an arrangement may not eliminate the creation of money through debt, it would certainly change its nature. The consent of depositors would be required to make loans, making financial intermediation once again the modest helper that draws together scattered household savings in order to place them into the hands of bona fide entrepreneurs. “Enterprise,” in the Keynesian sense, would squeeze out “speculation.”
The economic role of grass roots communities would increase significantly.”
Click here for the complete summary paper.
Michel Bauwens and Jose Ramos also have a very good short summary of Peter Pogany here:
https://wiki.p2pfoundation.net/Pulsation_of_the_Commons#Pogany:_the_time_for_the_chaotic_transition_has_begun
Also see my full page devoted to all things Peter Pogany:
https://integralpermaculture.wordpress.com/peter-pogany/
integral permaculture 