Herman Daly: reason for the current financial crisis

...is overgrowth of financial assets relative to growth of real wealth (more from the Oil Drum and here is another exposure of Herman's piece on Dot Earth, a NYT science blog).

Update: here is Bob Costanza's piece on oil drum on the long term solution of the crisis.

"The long term solution to the financial crisis is therefore to move beyond the "growth at all costs" economic model to a model that recognizes the real costs and benefits of growth. We can break our addiction to fossil fuels, over-consumption, and the current economic model and create a more sustainable and desirable future that focuses on quality of life rather than merely quantity of consumption. It will not be easy; it will require a new vision, new measures, and new institutions. It will require a redesign of our entire society. But it is not a sacrifice of quality of life to break this addiction. Quite the contrary, it is a sacrifice not to."

HT: Nate Hagens via the GIEE list