GROWTH AND LIMITS

Unlimited growth ends all growth.  In that sense, growth is self-limiting.  Permitting unrestricted increases in any form of life is detrimental to life itself.  Some types of growth cannot easily be halted.  Aggressive forms of cancer only stop multiplying when their host organism ceases to exist.  In the southern part of the United States, a plant called kudzu discontinues its expansionary activities after other types of flora in the area have been extinguished.  In past centuries, plague bacteria stopped killing victims after all those who were not immune to it had been eliminated.

Plagues and natural disasters, such as floods, earthquakes, and volcanic eruptions have helped inhibit the ceaseless expansion of the human species in former times.  Such natural tragedies are viewed as undesirable while population increases are encouraged by national leaders.  More inhabitants mean more workers and consumers and also permit armies to be maintained.  This, according to many of those who set government policy, makes a country stronger and enhances prosperity.  Only after a nation’s natural riches have been used up and the country has lost its ability to advance economically does it become apparent that excess numbers of people are not beneficial,

Diminishing returns are present in all aspects of human production and consumption.  Whenever more and more of something is introduced into any economic equation, without other changes occurring, the results are less and less satisfying per additional unit of whatever that something is.  On the consumption side, the first couple of sips of a good wine will be swallowed with a high level of enjoyment.  After a glass or two, the wine will still be appreciated, but with less intensity.  If a second bottle is opened, it may require a little effort to keep on drinking, as the wine will not seem to taste as good as the first few sips.  Finally, the idea of imbibing one more drop will seem disagreeable and consumption of the liquid is discontinued.

With respect to manufacturing any commodity, increasing one of the factors of production while all else is held steady will generally lead to higher output.  In building a house, fabricating an auto, or producing any commodity, adding more manpower or additional machinery will, at first, permit the process to advance more rapidly and thus more cars, houses, or other products can be produced.  As more and more of the particular factor is added, less and less is achieved with each additional unit of the factor.  When the costs of the additions outweigh the benefits, the point of negative returns has been reached.