Archive for the 'Wave Guide 1: Economic Growth' Category

Feb 22 2010

200 Years of GDP Trends Support a Near-Term, New Space Age

Over the last 200 years, great human explorations (e.g., Lewis and Clark), massive Macro-Engineering Projects (e.g., Panama Canal), and major wars (e.g., W.W. I) cluster together exclusively during rhythmic, twice-per-century, major economic booms (e.g., the Kennedy Boom of the 1960s).  These spectacular pulses of creativity and expansion appear to be driven by affluence-induced ebullience that catapults many to higher levels of Maslow’s hierarchy, where their expanded worldviews make Apollo-style exploration and engineering projects seem not only intriguing, but almost irresistible. 

Since major economic booms are their hallmark, large increases in Gross Domestic Product (GDP) are a necessary condition for Maslow Windows.  Thus U.S. real GDP (corrected for inflation) trends over the last 200 years should inform us of whether the expected 2015 Maslow Window is still in the cards. 

The 56 year energy cycle is a convenient, well-documented manifestation of the long business cycle (the “long wave”) that apparently drives Maslow Windows.  The economic booms culminate near energy cycle peaks, and great explorations and MEPs typically begin in the decade before the peaks.  Therefore, GDP trends 36 years after a particular energy peak year (e.g., 1969) are also 20 years before the next peak (e.g., 2025) and thus can potentially illuminate GDP circumstances just prior to the coming Window.

Figure 1.  Trends in GDP over the last 200 years support the 2015 Maslow Window.  Click

 Figure 1 shows the energy cycle peak years and the peak years plus 36 for each of the four Maslow Windows of the last 200 years; the U.S. real GDP (all are in B of 2005 USD) for each peak year + 36 years is also given.  It is interesting to compare the ratio of real GDP for peak year plus 36 (e.g., 1969+36= 2005) to that of the real GDP for the peak year (e.g., 1969).  Although the 19th century real GDP ratios are larger than 20th century ones, it is especially significant that the 20th century ratios are very close (2.97 vs. 3.08). 

This reveals that our recent GDP trajectory — from 1969 to 2005, after the Apollo Maslow Window –   is similar to the GDP trajectory from 1913 to 1949, after the Peary/Panama Maslow Window that led to the Apollo Maslow WindowThus Post-Peak real GDP data from the last 200 years suggests that we are on track for a new Maslow Window — probably at least comparable to both 20th century Windows – by 2015 (i.e., 1969 + 56).

 Another way to evaluate more recent GDP trends is given in the right-side column of Figure 1; it shows the ratio of real GDP for the peak year + 36 vs the real GDP for the energy cycle trough year (i.e., peak year + 28).  This is a measure of how well real GDP is rebounding during the 8 years following the energy cycle trough. 

Notice that this peak+36 -to- trough real GDP ratio gently declines from 1.45 after the 1801 Lewis and Clark Maslow Window to 1.28 following the Apollo Maslow Window.  Of particular interest are the ratios for 1949 and 2005: 1.35 and 1.28 respectively.  Because they are so close — within one sigma of each other – they suggest  that our GDP ascent just prior to 1949 (and the 1960s Apollo decade) is very comparable to our current GDP rise just before 2005.  Thus Trough Recovery real GDP data from the last 200 years — including data from the last 5 years — suggests we are on track for a new Maslow Window to open near 2015.

 Figure 2.  Real GDP values for each Maslow Window (energy peak year) have consistently increased over the last 200 years.  Click 

 Because two sets of independent GDP data show that our current ramp up to the 2015 Maslow Window is comparable with spectacular Maslow Windows over the last 200 years,  it is of interest to estimate how much national wealth will be available in 2025 to potentially fund unprecedented space activities between 2015 and 2025. 

One simple way to do this is to extrapolate the line in Figure 2.  This technique gives the 2025 GDP as $ 35.0 T (2005 USD)

Figure 3.  Real GDP trends over the last 200 years show the U.S. GDP may approach $ 35 T (2005 USD) in 2025.  Click

Figure 3 shows the ratios of real GDP at the peak year to real GDP 20 years before the peak (Peak – 20) for the last 4 Maslow Windows (GDP in 1781 is estimated).  (This is convenient because 2005 is 20 years before the expected energy peak in 2025. )  Pre-Peak GDP ratios range from 2.48 for 1857 to 1.88 in 1913, with a ratio of 2.41 for Apollo in 1969. 

The bottom 4 rows in the Figure show the range of expected real GDP values for 2025 based on ratios over the last 200 years and the U.S. real GDP for 2005. They vary from $ 23.7 T to 31.3 T (2005 USD) with $ 29.1 T being characteristic of Apollo Maslow Window Pre-Peak GDPs.  The bottom row indicates the Pre-Peak GDP ratio would have to be 2.77 if we assume the 2025 GDP value from Figure 2 (using Peak GDP extrapolation). 

This suggests the 2015 Maslow Window might be the biggest one of the last 200 years (ratio of 2.77).  Although any of the 2025 GDP estimates in Figure 3 would imply unprecedented space and technology activities that would dwarf Apollo.

This analysis shows that the 2015 Maslow Window is not precluded on the basis of GDP data from 230 years ago up through 2005.  But after 2005 the situation seems more complex due to the financial Panic of 2008 and our current great recession, and because it is not clear when it will end — e.g., some see another “global dip” as a possibility. 

However, all Maslow Windows over the last 200 years (except Apollo) experienced a financial panic/great recession in the decade just preceding them.  And despite that, no Maslow Window of the last 200 years has ever been delayed or diminshed in any observable way,  by any events.

The economics and politics of the anticipated 2015 Maslow Window  — with a focus on times since 2005 — are explored in this post: “How President Obama is Creating the New Space Age.”

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Jan 31 2010

Does Obama’s New Space Policy Indicate He is JFK, Richard Nixon, or (god forbid) Grover Cleveland?

This is an elaboration of my recent post: “State of the Wave: 10 Space Trends for 2010,” which appeared before Obama’s state of the union address. Reports that NASA’s Moon program will be discontinued raise questions about U.S. leadership in space. And much of the current chatter in blogs and news reports ignores long-term trends in the economy, geopolitics, and politics — that have governed large-scale technology and exploration projects for the last 200+ years — and thus presents a somewhat confused picture.

When will an American astronaut see this view — Earthrise from lunar orbit — again? Click

Florida Today reports today (1/30/10) that the adminstration will kill the Constellation program designed to send astronauts to the Moon by 2020, but still provide funds for development of a new Saturn V class launch vehicle, favored by the Augustine committee. According to Sen. Bill Nelson of Florida,

My concern is that if all that $6 billion goes just to commercial rockets, then that’s going to push the development of (a new NASA heavy-lift) rocket well into the next decade, and that just means we get behind China and Russia. I think they will announce on Monday (a research-and-development) program to develop the new (heavy-lift) rocket. I just hope that it is not a puny R-and-D development that will push us off well into the next decade before we have the new rocket.

Pushing the heavy lifter “well into the next decade” would not only help China and Russia get ahead in space, it would also push our luck with Maslow Window timing; i.e., the 2015 Window should extend to 2025 but is subject to wildcards. For example, imagine what would have happened if the Vietnam War had intensified a year or two earlier than 1968. We might have lost all of Apollo instead of just the last 3 missions (Apollo 18, 19, and 20).

NASA will reveal the details of its proposed budget Monday.

Is President Obama really “worse” than Richard Nixon?

On January 27, former NASA boss Mike Griffin asserted that President Nixon’s termination of the Apollo Moon program was “one of the most significant, yet strategically bankrupt, decisions in human history.” But that President Obama’s anticipated ending of human spaceflight beyond low Earth orbit is “even worse.” Despite the tens of thousands of scientists, engineers, and technicians who lost their jobs in 1972 due to Nixon, at least he “left us with the Space Shuttle,” According to Griffin, Obama’s action would leave “NASA and the nation with no program, no plan, and no commitment to any human spaceflight program beyond that of today.”

Griffin believes that the nearly complete International Space Station will be held …

… hostage to the hope that presently nonexistent commercial spaceflight capability can be brought into being in a timely way. The president has chosen to recommend that the nation abandon its leadership on the space frontier.

While it’s tempting to assign Obama an even lower place in the space history hierarchy than Nixon, it’s not entirely justified and may be premature. We need to consider the long-term economic and political context. For example, Obama was elected during the Panic of 2008 and has had to contend with the current great recession. This anti-ebullient time plus Obama’s growing political difficulties make it difficult for him to support visionary space programs. And history shows this is not the time anyway. When prosperity and affluence-induced ebullience return, the next Maslow Window will appear to open almost automatically.

Is Obama the next John F. Kennedy?

Here at 21stCenturyWaves.com, we’ve been asking this question since before the election, and still believe it’s possible but is not without speedbumps. For example, in his National Review Online (1/29/20) column — “Obama is No JFK” — Jeffrey H. Anderson states that,

at a time when the president claims his focus is on jobs, scrapping these (Moon-related) programs — on which we’ve already spent nearly $10 billion — would cut public spending in one area that actually creates jobs.

You know those great pictures of Earth from outer space … No (astronaut) has seen that view since the Apollo program ended 38 years ago … Now, unless Congress rejects the president’s recommendations, the next people to see that view will likely be the Chinese.

Whether it’s tax cuts or defense spending; or whether it’s the courage, ambition, and sense of wonder that combine to lead great souls to great feats of exploration and discovery; one can surely say this much about Barack Obama: Mr. President, you’re no Jack Kennedy.

Again, these comments cry out for context. President Kennedy was fortunate to lead the nation during the greatest economic boom up to then. Plus the surprise launch of Sputnik (1957) by the Soviets mobilized the country into founding NASA (1958), revitalizing support for education, and providing a slam dunk in Congress for anything JFK wanted in space. Obama and the nation are experiencing a 180 from JFK’s 1960s-style Camelot. But a world-altering Sputnik-like event — especially within the next few years — cannot be ruled out.

Could Obama become another Grover Cleveland?

I include the Cleveland link above for all of us history-challenged Americans (and others) who may not have read the 24th (and 22nd, by the way) U.S. president’s biography lately. To make a long story short, Cleveland was basically a principled guy who got caught up in the vicissitudes of the financial Panic of 1893 and the 1890s great recession. His economic policies were ineffective, the people lost faith in him, and he was replaced by William McKinley 4 years later.

The point is that the Panic of 1893 and the 1890s great recession have real parallels with the Panic of 2008 and our current financial difficulties. In fact, our current economic trajectory seems to have more in common with the 1890s than with the (post-World War II boom) 1950s just prior to the Apollo Maslow Window.

If Obama cannot reverse his record 20 point approval rating collapse in 2010, he could become the next Grover Cleveland. Polls reveal the public’s growing concern with unemployment, government spending, and deficits, and show the economic challenges facing the president. The public wants to see light at the end of the financial tunnel; i.e., signs that the current recession will soon begin its transformation into the next major economic boom.

All this is consistent with the long-awaited 2015 Maslow Window being a golden age of prosperity, exploration, and technology, as they all have been over the last 200+ years.

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Jan 03 2010

How the West Was Won — The Expansionist Effects of Ebullience

I had a very Merry Christmas season this year – specifically,  about 500 powerful pages by Robert Merry.   His new book is  A Country of Vast Designs: James K. Polk, The Mexican War and the Conquest of the American Continent (2009). 

Many agree it’s enthralling.  The New York Times (Sean Wilentz, 11/22/09) calls it “one of the most astute and informative historical accounts yet written about national politics, and especially Waahington politics, during the decisive 1840s.”  The Wall Street Journal (Aram Bakshian, Jr; 11/6/09) says it’s an “authoritative biography …(that) provides a compelling, perceptive portrait of one of the oddest men (James Polk) ever to occupy the White House…”

Against all odds, this smaller-than-life man achieved the impossible and ebulliently changed the world in only 4 short years; President James K. Polk in 1845. 

Click 

In his unlikely, self-imposed one-term presidency, Polk accomplished the nearly impossible — he “engineered the triumph of Manifest Destiny” (NY Times) — including the annexation of Texas (1845), and the acquisition of the Oregon Territory (1846) and essentially the rest of the U.S. West including California, Nevada, Utah, and Arizona — all by 1848.

This is an extraordinary story that occurred in ebullient times that we call a ”Maslow Window”  – see  ”Buzz Aldrin — A Man For All Maslow Windows!” –  less than half a century after Lewis and Clark  explored the Louisiana Purchase to the Pacific, and still a few decades before the U.S. became the leading economic power on Earth.  Probably for this reason, neither the Great Exploration of this Window — see 10 Lessons Dr. Livingstone (“…I presume?”) Teaches Us About the Human Future in Space –  nor the primary Macro-Engineering Project (MEP)  – the Suez Canal –  were closely related to the U.S.  (although Stanley was dispatched by a New York newspaper to find Livingstone in Africa). 

However, the affluence-induced ebullience  — see The Economics of Ebullience Points to a Sparkling New Global Space Age–  that triggered these epochal events abroad was also strongly present in the U.S. as evidenced in Merry’s book.  Here are a few examples:

1. New Technology Was “Exploding” in America.

According to Ralph Waldo Emerson in 1844, “American is the country of the Future.  It is a country of beginnings, of projects, of vast designs and expectations.”  

Merry explains that a key reason the “impulse of exuberant expansionism” continued to surge was because,  ”Just as America was encompassing ever greater distances, technology –  steam power and Morse’s telegraph — was obliterating the sluggishness of distance.”

2. The Financial Panic of 1837 and Great Recession Recovered by 1843 to a most “Prosperous State of Affairs.”

The financial Panic of 1837 was a major contraction where 40% of the U.S. banks failed and unemployment was at record highs; the resulting Great Recession lasted 6 years until 1843.  According to Nobel Prize-winning economist Milton Friedman writing in 1960, the Panic of 1837 “is the only depression on record comparable in severity and scope to the Great Depression of the 1930s.”

Merry notes that,

Within nine weeks of Van Buren’s innauguration, economic collapse swept the country. It began when New York banks suspended specie payments, causing widespread alarm and setting in motion a deflationary period as credit dried up … The Panic of 1837 ushered in “a cycle of recession, recovery, and depression” that would dominate American politics for the next seven years … Van Buren lost much of his popularity … Polk remained a stalwart floor leader for Van Buren’s agenda, but the tide had turned against his party.

Polk left the House and won the Tennessee governorship in 1839, but lost it in 1841 and 1843. “At forty-seven, he knew he looked washed up…”  But due to his pro-Texas annexation position which mirrored the expansionist electorate, Polk, against all odds, became the Democratic candidate for president and was elected in 1844.

As Polk assumed the presidency in 1845, the dynamic duo of prosperity and ebullience was everywhere.  According to Merry,

The national economy had been expanding at an average annual rate of 3.9%.  Not even the Panic of 1837, for all its destructive force, could forestall for long this creation of wealth.  And throughout the land could be seen a confidence that fueled national success. “We are now reaching the very height, perhaps, to which we can expect to ascend,” declared the Democratic Wilmington Gazette of Delaware.

Despite the Panic of 1837 and its Great Recession, the mid-19th Century Dr. Livingstone/Suez Maslow Window (roughly 1847 to 1860) opened on time and featured Africa’s most famous explorer (Dr. Livingstone), the “technological jewel” of the 19th Century (the Suez Canal), as well as impressive secondary MEPs (including the Great Eastern ship).   In addition to the stunning culmination of American Manifest Destiny in 1848,  this Maslow Window’s ebullience is also  exemplified by the famous Gold Rush of the American West (1848 – 1855).

Over the last 200 years, financial panics and great recessions have usually preceded Maslow Windows; see ”Economic Crisis Supports Maslow Window Forecasts.”  Two 19th Century panics (1837 and 1893) , were both about one decade prior to their Maslow Windows;  none in 1949 (during the post W.W. II boom) one decade before the Apollo Maslow Window;  and one in 2008 (7 years before our expected 2015 Maslow Window). The New York Times (11/30/08) also describes a “deep recession” that appearently occurred somewhat after 1776, about 10+  years before the Lewis & Clark Maslow Window.

In fact, during the last 200+ years, no financial panic/great recession pair has ever delayed or diminished, in any observable way, any Great Explorations or MEPs associated with a Maslow Window. And there’s every reason to expect this 200+ year pattern will continue.

3.  The Controversial Mexican War Played a Major Role in U.S. Expansion.

Wars that occur early in the Maslow Windows of the last 200 years are complex, destructive events  — far beyond the scope of our discussion here — but according to historical accounts, usually play an important role in the ensuing events of the Maslow Windows.  It appears that ebullience — also known as “animal spirits” and “irrational exuberance” in an economic context; see ”Are Great Explorations Driven by Keynesian “Animal Spirits” on Steroids?“ – played a central role.

A few of the interesting parallels are sketched here:

Despite the (then) unresolved issues of slavery and the legality of the war, the Mexican War was vigorously and successfully executed by Polk with the support of the American people. Their ebullient expansionist belief in Manifest Destiny transformed the world.  According to Merry, the U.S. was “a vibrant, expanding, exuberant experiment in democracy whose burgeoning population thrilled to the notion that it was engaging in something big and historically momentous.”  This is the language of societal ebullience.

One Maslow Window earlier, the Napoleonic Wars in Europe played a major role enabling the Lewis and Clark expedition and in launching U.S. westward expansion.  Napoleon’s need to fund his war machine encouraged the sale of Louisiana to Jefferson;  see “10 Lessons Lewis & Clark Teach Us About the Human Future in Space.”

Likewise, the Spanish-American War of 1898 — as the Great 1890s Recession was ending and as the ebullient Peary/Panama Maslow Window began – played an intriguing role in Maslow Window events.  “Remember the Maine, to hell with Spain!”, an Alamo-like cry in response to the deaths of 266 US sailors while anchored in Havana Harbor, helped ignite the Spanish-American War.  To replace the Maine, another battleship (USS Oregon) stationed on the Pacific coast rushed 14,700 miles around South America to Cuba — while Teddy Roosevelt, leader of the famous “Rough Riders,” vectored toward Cuban battle himself.  Since the Oregon arrived at Cuba two months after war began, it didn’t require much abstract thinking for TR to recognize the Panama Canal’s potential strategic advantages;   see “10 Lessons the Panama Canal Teaches Us About the Human Future in Space.”

Early in the 1960s Apollo Maslow Window, Cuba again was the focus of an even bigger crisis for America and President John F. Kennedy: the Cuban Missile Crisis.  Because of Soviet emplacement of offensive nuclear missiles in Cuba the world came closer to a major nuclear exchange than ever before or since.  Although this crisis did not ignite the Space Age — the surprise 1957 launch of Sputnik did that — it intensified the Moon race and showed that the global stakes were high; see ”The New Cuban Space Center and Vladimir Bonaparte.”

The “early Maslow Window wars” are continuing into the present – Iraq, Afghanistan, the War on Terror – as we recover from our Panic of 2008/Great Recession combination (analogous to the Panic of 1893/Great 1890s Recession and Panic of 1837/Great Recession), and as we ebulliently head toward the much anticipated, spectacular 2015 Maslow Window.  

4. Manifest Destiny Was Fueled by an “Exuberance of Spirit” Across the U.S.

There are many visionary quotes in Merry’s book that clearly indicate the extraordinary level of ebullience permeating mid-1840s America, but one of the most striking is from an obscure Democratic congressman from Ohio (then a western state) named John D. Cummins, who referred to the disputed Oregon Territory as nothing less than,

“the master key of the commerce of the universe.”  Get that territory into U.S. jurisdiction, he argued, and soon it would fill up with “an industrious, thriving, American population” and “flourishing towns and embryo cities” facing west upon the Pacific within four thousand miles of vast Asian markets.  Now contemplate, he added, ribbons of railroad track across America, connecting New York, Boston, and Philadelphia to those burgeoning West Coast cities and ports that would spring up once Oregon was in American hands. 

Cumins continued, think about how the “inevitable external laws of trade” would render American the necessary passageway for “the whole eastern commerce of Europe.” … “The commerce of the world would thus be revolutionized.”

Cummins bold vision was easily dismissed as hopelessly fanciful in a world utterly dominated by Great Britain. And yet it crystallized a fundamental element of the era’s politics — the widely shared conviction that America was a nation of destiny, that one day it would supplant Britain as the world’s dominant power, that Oregon represented merely an interim step toward realization of that vision.

Merry’s bottom line regarding Polk and American ebullience of the 1840s  is simple but powerful:

his legacy comes down to … the map outline of the continental United States, which is very close to what Polk bequeathed to his nation … To look at that map, and to take in the western and southwestern expanse included in it, is to see the magnitude of Polk’s presidential accomplishments … It didn’t come easily or cheaply …It unleashed civic forces that hadn’t been foreseen and couldn’t be controlled … But in the end he succeeded and fulfilled the vision and dream of his constituency.  In a democratic system that is the ultimate measure of political success.

The expansionist effects of ebullience apparently drove not only the Manifest Destiny of 1840s America, but also Jefferson’s seminal Lewis and Clark expedition, and the early 20th century’s international races to the north and south poles as well as the greatest MEP of the last 200 years (until Apollo): the Panama Canal.  In the 1960s the expansionist effects of ebullience finally drove us offworld to the Moon. 

As we approach another ebullient golden age of prosperity, exploration, and technology — the 2015 Maslow Window — it’s very likely the impossible will be accomplished again and the world will be changed.

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Dec 31 2009

Why Do Some People Have Negative Feelings About the Future?

Musician/producer Brian Eno asks this compelling question in This Will Change Everything (Ed. J. Brockman, 2010) about our future,

What if we come to feel as though there were no “long term” — or not one to look forward to?  What if … we started to feel that we’re on an overcrowded lifeboat in hostile waters, fighting to stay on board, prepared to kill for the last scraps of food and water? … Suppose that people start to anticipate the future world … (as) the nightmare of desperation, fear, and suspicion described in Cormac McCarthy’s post-cataclysm novel The Road.  What happens then?

No doubt many people have  felt that way recently because of the financial Panic of 2008 and the subsequent great recession that we appear to be recovering from.  But I think Eno’s question looks beyond current problems, and there’s plenty of reason to take him seriously.  For example, historian Eric Hobsbawm refers to the interval after the collapse of the Peary/Panama Maslow Window in 1914 (due to WW I) until the end of the Cold War in 1991 as “the age of extremes.”  Writing in 1994:

For those who had grown up before 1914 the contrast was so dramatic that many of them … refused to see any continuity with the past. … The First World War involved all major powers … troops from the world overseas were, often for the first time, sent to fight and work outside their own regions.

Commenting on the “world economic breakdown” between World War I and II,  Hobsbawm asserts that,

Indeed, the proud U.S.A. itself, so far from being a safe haven from the convulsions of less fortunate continents, became the epicenter of  this, the largest global earthquake ever to be measured on the economic historian’s Richter Scale — the Great Inter-war Depression. In a sentence:  between the wars the capitalist world economy appeared to collapse.  Nobody quite knew how it might recover.

This feeling is echoed in an interesting book of essays by 22 authors and historians  published in 1949 on the “essential events of American Life in the chaotic years between the two World Wars.”  It’s title: The Aspirin Age, 1919-1941.

Eno speculates that our dark future might look like this: 

Humans fragment into tighter, more selfish bands.  Big institutions, because they operate on long timescales and require structures of social trust, don’t cohere; there isn’t time for them.  Long-term projects are abandoned; their payoffs are too remote … Resources that are already scarce will be rapidly exhausted … Survivalism rules. Might makes right.

 Although no one can predict the far future with certainty, there are 2 key points which do not support Eno’s future-world nightmare.

1. Hobsbawm himself provides clues to the answer by his comments on the peace and prosperity of the pre-1914 world (the Peary/Panama Maslow Window), and his description of  “a spectacular, record-breaking global boom from about 1850 to the early 1870s …”  which, as we see now, is the mid-19th century Dr. Livingstone/Suez Maslow Window.

The last 200 years reveal rhythmic, twice-per-century clusters of Great Explorations (e.g., Lewis and CLark), MEPs (e.g., Panama Canal), and, sadly, major wars (e.g., WW I) that are fundamentally linked with major economic booms. The booms trigger widespread ebullience that catapults many in society to higher  levels in Maslow’s hierarchy; their expanded world views make exceptional explorations and massive building projects seem momentarily almost irresistible. The last Maslow Window — featuring the Apollo Moon program — was in the 1960s.  All signs — including  ironically the Panic of 2008 — suggest the next Maslow Window should open on schedule by 2015, thus countering the likelihood of an indefinitely lingering, Eno-style dark age.

2. Equally importantly, the Maslow Window concept offers us the prospect of eventually being able to moderate global economic crises and conflicts that occur between Maslow Windows.  The first step in this planning process is recognition of the global effects of long economic waves on technology booms, international conflicts, and human expansion into the cosmos. 

And imagine what this will do for our morale!

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Dec 19 2009

The Economics of Ebullience Points to a Sparkling New Global Space Age

Special thanks to Contributing Editor and psychologist Dr. Ken Meehan for helping me think more clearly about this discussion.  (This post is taken from a working paper soon to be submitted to a journal.)

Here at 21stCenturyWaves.com, “ebullience” is a technical term. 

It’s defined as a very positive, somewhat irrational — almost giddy – emotional state,  that’s usually due to widespread affluence during a 1960s-style major economic boom.  In response to affluence-induced ebullience, many people ascend the Maslow hierarchy where their expanded world views make Great Explorations and MEPs seem not just intriguing, but almost irresistible  –  hence the name “Maslow Window.”  

In the 1960s Apollo program and Peace Corps of John F. Kennedy it was the ebullient feeling that we could do almost anything; in the early 20th century it was Theodore Roosevelt’s Panama fever and (north & south) pole mania;  in the mid-19th century is was manifest destiny of James Polk and the central Africa adventures of Dr. Livingstone, I presume; and about 200 years ago it began auspiciously with Jefferson, Napoleon, and Lewis & Clark

However,  even during these rhythmic,  twice-per-century waves of ebullience, some people remain stalled at lower Maslow levels and thus are empowered negatively; i.e., they sometimes trigger conflicts or even major wars (e.g., WW I) that can terminate Maslow Windows. 

SOCIETAL EBULLIENCE DRIVES MASLOW WINDOWS

It appears that ebullience has been the fundamental driving force behind the stunning exploration and engineering activities during Maslow Windows over the last 200 years, and ebullience appears to be similar to the “animal spirits” of behavioral economist John Maynard Keynes and the “irrational exhuberance” of Alan Greenspan.    Historically, widespread ebullience is usually short-lived because it is fundamentally a psychological phenomenon that often responds to feelings and perceptions — both positive or negative –  more than facts.

Societal ebullience is usually triggered by a major economic boom, but it doesn’t necessarily have to be.  For example,  if benevolent extraterrestrials landed at the White House, this would probably trigger at least momentary global ebullience, regardless of our financial state.  Conversely, ebullience is often terminated by bad financial trends (such as the economic boom moving past its peak and declining), but the psychology of ebullience can be eroded by almost anything negative, such as a war or even unfriendly extraterrestrials landing at the White House.

However,  recently we’ve seen again that even the availability of large amounts of funds – e.g.,  the $ 787 B stimulus package – does not guarantee ebullience, as evidenced by negative attitudes and actions of the U.S. public (documented through surveys and opinion polls).  Even a small fraction of the stimulus money would enable the greatest human space program of all time, but it hasn’t happened yet because the public isn’t in the mood. They are simply not ebullient.

THE ECONOMICS OF EBULLIENCE

The issues are:  What specific economic factors trigger ebullience?  And can we create a numerical Ebullience Index composed of economic parameters that will allow us to track and analyze it?

 One possibility is that the public is responding to increases in GDP like those experienced before and during the 1960 Apollo Maslow Window; see plot below.

Figure 1 — The U.S. GDP (in B of 2000 USD) since 1950 shows the 1950s post-WW II boom and the major economic boom of the Apollo Maslow Window between 1961 and 1969.    CLICK   

It’s clear that rapid economic growth occurred until about 1961 when the economy went into even higher gear and produced the greatest economic boom up to that time.  But who really cares about GDP?  Undoubtedly economists and business forecasters do as well as some politicians, but nobody can spend GDP so it’s probably not triggering ebullience in typical American employees.

Better hints are found in Benjamin Friedman’s 2005 book, The Moral Consequences of Economic Growth. The Harvard professor suggests that sustained economic growth is important because these are times when typical workers feel like they are really getting ahead; i.e., their wages are increasing relative to inflation.

But common sense informs us that ebullience will not result from a comfortable increase in real wages if we’re worried about losing our jobs.  So healthy growth in real wages coupled with low unemployment rates may be related to the widespread feeling of ebullience in society.

THE EBULLIENCE RATIO AND THE 1960s APOLLO MASLOW WINDOW

As an experiment, let’s define the Ebullience Ratio (ER) as proportional to real wages divided by the rate of unemployment as percent of workforce.  Keep in mind this is an attempt to express widespread feelings of affluence-induced ebullience in terms of common economic parameters.  Annual values for the ER have been computed for the 1950s and 1960s Apollo Maslow Window; see plot below.

Figure 2 — The Ebullience Ratio from 1950 to 1974 peaks at 1969 (Apollo 11 Moon landing) and clearly displays the Apollo Maslow Window from about 1961 to 1969.  

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As unemployment drops, the ER increases, and as unemployment approaches full employment, the ER dramatically increases,  reflecting the presence of a major economic boom during the 1960s Maslow Window (from about 1961 to 1969).  Short business cycles are seen in the 1950s ER data that are superimposed on pre-Maslow Window economic growth.  In 1958 the short business cycles subside as unemployment declines signaling the approach of the Maslow Window.  The highest ER is in 1969 and drops rapidly thereafter as the Maslow Window closes.

The consistency of both the economic (GDP) and ebullience (ER) trends — especially between 1961 and 1969 – suggests that the Apollo Maslow Window is well described by these parameters.

THE EBULLIENCE INDEX

As another experiment,  let’s define the Ebullience Index (EI) for an interval of time as the integral of the ER function (i.e., the fractional ER increase per year as a function of time) over the duration of the interval in question (e.g., the Maslow Window).   This synthesizes the annual rate of change of real wages divided by their rates of unemployment — the two things that matter most to a typical worker – into a single index for any Maslow Window.

Using ER values for the interval between 1961 and 1969, the 1960s Apollo Maslow Window has an Ebullience Index of 4.9.  This number is most meaningful in comparison with other Maslow Windows and/or intervals, so we’ll  look now at the economics and ebullience of the Peary/Panama Maslow WIndow.

WHAT  ABOUT THE EARLY 1900s PEARY/PANAMA MASLOW WINDOW?

It’s interesting to compare the 1960s Maslow Window ebullience values with those of the early 20th century Peary/Panama Maslow Window, because Peary/Panama was preceded by the financial Panic of 1893 and the great recession of the 1890s (like our current panic/recession), while neither existed before the Apollo Window (although WW II did).

Figure 3 –  This U.S. GDP (B in 2000 USD) plot from 1890 to 1914 clearly shows the great 1890s recession that transitions into rapid growth, interrupted by two brief recessions, until 1913 when the Peary/Panama Maslow Window ends abruptly.
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Notice that GDP is flat during the 1890s great recession but perks up — signaling the onset of the Peary/Panama Maslow WIndow — after 1901.

Figure 4 — Ebullience Ratios from 1890 onward clearly convey the psychological dimensions of the 1890s great recession which began with the financial Panic of 1893, and the supersonic Maslow Window recovery beginning in 1898. 

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If you compare the 1960s ER trends (Fig. 2) with Fig. 4 you see that Maslow Windows preceded by a financial panic are quite different from those without. Athough GDP data (Fig. 3) suggest the economy was already humming again by 1896, the ER data (Fig. 4)  suggest the psychological impact of the 1890s great recession lingered until about 1898 when the Maslow Window opened.  Although ER peaks in 1906, historical events suggest the Window itself continued until 1913; WW I began in 1914.

Just to give you a little chronology here: Theodore Roosevelt’s presidency ran from 1901 to 1909; U.S. construction of the Panama Canal began in 1904 and was completed in 1914;  the international races to the poles culminated between 1909 (Peary first to N pole) and 1911 (Amundsen first to S. pole).

For  the first 8 years of the Peary/Panama Maslow Window — from 1898 to 1906 — the Ebullience Index is 13.9,  almost 3x the value (4.9) for the Apollo Window.  This supports my impression from reading historical accounts of the era (e.g., America 1908 by Jim Rasenberger) that the Peary/Panama Maslow Window was even more ebullient  — if that’s possible!! –  than the 1960s Apollo Moon decade.

The Peary/Panama Window apparently produced so much affluence and ebullience  that extraordinary exploration and engineering activities  – characteristic of populations at elevated Maslow states –  continued until 1913, well after the 1906 ER peak.  On the other hand, this may suggest our Ebullience Index may not include all psychologically relevant factors.

OUR CURRENT LACK OF EBULLIENCE AND THE COMING GLOBAL SPACE AGE

 Over the last 200 years, Maslow Windows tend to culminate every 55 or 60 years near peaks of the energy cycle; and open about 10 years earlier.  This led to my initial forecast (made in 1996) for another spectacular, 1960s-style Maslow Window  opening near 2015 and culminating by 2025.  Although wildcards can alter this nominal timing,  the economics of ebullience suggests our time is coming soon:  indeed, we appear to be only a few more years from the next Maslow Window.

In particular, the financial Panic of 2008 suggests that our current trajectory might be more similar to the Peary/Panama Maslow Window than the 1960s Apollo Window, which had no financial panic/great recession in the decade just preceding it. 

Figure 5 –  The U.S. GDP (B in 2000 USD) from 1985 to 2009 displays the Panic of 2008 and our current great recession in the 2 points on the right adge. 

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The recessions of 1990 and 2001 are seen by flattenings of the GDP curve, and the Panic of 2008 (next to the right edge) preceded the current great recession.  Note that the theoretical trough of the 56-year energy cycle is in 1997.

 Figure 6 — Ebullience Ratios from 1985 to 2009 show the Panic of 2008 and our current great recession, as well as a very interesting boom from 1991 to 2001. 

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 The dramatic collapse of ER starting in 2007  just preceded the Panic of 2008 and the great recession continuing to the present.  If you compare Figure 6 to Figure 4 you’ll see that our future could evolve something like the Peary/Panama Maslow Window — a rather exciting prospect once we recover from our current challenges.  We’ll return to this in a minute.

Notice the impressive economic boom in the center of  Figure 6, from 1991 to 2001; it’s the longest expansion in U.S. history.  Although it occurred at the long wave trough (1997), the 1990s boom has many basic economic characteristics of a Maslow Window  — duration of 10 years, rapid real GDP increase, and an amazingly large Ebullience Index of 5.3 (compared to Apollo’s 4.9 and Peary’s 13.9)  –  but, although plans for the International Space Station (to be completed in 2011) began in the early 1990s and construction began in 1998, the next major international thrust into space did not occur then.

The Apollo-size Ebullience Index of the great 1990s boom suggests this parameter, as defined above,  is incomplete.  To make a long story short: the answer is provided by the economics of the 1990s and the nature of ebullience.  To have widespread ebullience, large segments of the population must share in the boom’s affluence, but during the 1990s income inequality grew appreciably;  this continued a long trend that interestingly began in 1968 near the end of the Apollo Window.  Without going into the numbers here, merely inserting an income inequality factor (e.g., the Gini index) into the denominator of the Ebullience Ratio will significantly decrease the Ebullience Index of the 1990s boom and increase Apollo’s EI (when income inequality declined).

The bottomline is that the appearance of the Panic of 2008 was historically monumental.  It signaled that our future trajectory will be more like that of the early 20th century Peary/Panama Maslow Window and less like the 1950s.

This is both good news and bad news:

The Bad News is that the current great recession could last up to 5 years, like the 1890s great recession did (1893 to 1898; See Fig. 4).  Ebullience and a shorter recession will be favored by government policies that stimulate economic growth,  increase real wages, and reduce unemployment for most segments of society.

The Good News is that once we survive the recession, the future’s so bright we’ll all need shades!  The Peary/Panama Maslow Window had a measurable ebullience of nearly 3 times the Apollo Moon decade and suggests that  – if unabridged by wildcards –  global space-related investment between 2015 and 2025 should be at the $ 1 T to 3 T (2007 USD) level.  Empowering the 2015 Maslow Window with Peary/Panama-level ebullience points to  many of our fondest, unprecedented dreams like major space-based solar energy systems, international lunar commercialization, and even the first Mars colonists.

 

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Dec 06 2009

Climategate and the New Space Age

The Climategate scandal involves “some of the world’s leading climate scientists working in tandem to block freedom of information requests, blackball dissenting scientists, manipulate the peer-review process, and obscure, destroy or massage inconvenient temperature data — facts that were laid bare by … disclosure of thousands of emails from the University of East Anglia’s Climate Research Unit…” (Wall Street Journal, 12/1/09; B. Stephens).

Climategate connects with prospects for near-term space colonization in at least 3 major ways. One is financial.

Anything that weakens the potential for re-ignition of the major economic boom — actually the greatest global boom ever – that was interrupted by the Panic of 2008, might delay the near-term development of widespread affluence-induced ebullience that has powered each of the spectacular Maslow Windows (e.g., the 1960s Apollo Moon program) over the last 200 years.

One such potential factor is Cap and Trade. “The Heritage Foundation, the Brookings Institution and the National Black Chamber of Commerce all found that the bill will have devastating economic impacts … (including) significant losses in employment and GDP.” Republicans are not shy about characterizing it as “”the largest tax increase — about $ 400 million USD per year — in the history of America.” And according to Oklahoma Sen. James Inhofe (WSJ, 11/27/09), in response to a question from him, EPA Administrator Lisa Jackson stated it won’t significantly reduce global CO2 emissions.

As countries like the U.S. struggle to recover from the current great recession, major new taxes are considered unwise government policy by most economists. This is especially true in the U.S.’s current deficit situation.

According to former Congressional Budget Director Douglas Holtz-Eakin,

The federal government ran a 2009 deficit of $ 1.4 trillion — the highest since World War II — as spending reached nearly 25% of GDP and total revenues fell below 15% of GDP. Shortfalls like these have not been seen in more than 50 years.

Equally threatening to the next Maslow Window which, based on 200-year timing, should open near 2015 and extend to around 2025, is that there is no relief in sight.

Our national debt is projected to stand at $ 17.1 trillion 10 years from now, or over $ 50,000 per American …

Regarding the potential upswing (characteristic of a Maslow Window), Holtz-Eakin comments that,

The planned deficits will have destructive consequences for both fairness and economic growth … Federal deficits will crowd out domestic investment in physical capital, human capital, and technologies that increase potential GDP and the standard of living.

Mr. Holtz-Eaking concludes that the president’s “policies are the equivalent of steering the economy toward an iceberg.”

The deficits are also taking a political toll as President Obama’s poll numbers decline. According to Karl Rove (WSJ, 11/27/09),

Anger over deficits was picked up in a late October NBC News/Wall Street Journal poll which asked voters if they’d rather boost “the economy even though it may mean larger budget deficits” or keep the “budget deficit down, even though it may mean it will take longer for the economy to recover.” Only 31% chose boosting the economy; 62% wanted to keep the deficit down.

This is consistent with Gallup polls (9/17/09) indicating Obama’s lowest marks on his handling of the deficit; only 38% approved and 58% disapproved.

The good news for Obama’s popularity and the deficit — as well as the 2015 Maslow Window — is that Climategate has weakened the prospects for Cap and Trade. According to Oklahoma Sen. Jim Inhofe (WSJ, 11/27/09),

Cap and Trade is dead … Ninety-five percent of the nails were in the coffin prior to this week. Now they are all in.

The second way Climategate connects with prospects for near-term space colonization is psychological.

Over the years Global Warming has been presented as a near-certain chamber of horrors including sea level rises of 3 feet or more resulting in devastating, global coastal flooding, huge temperature increases of 5 or more degrees producing plant and animal extinctions, increasingly intense hurricanes and extensive ecosystem damage … and on and on. All because humans are commiting the sin of releasing too much carbon into the environment. And we much stop now before it is too late.

Even the wildest claims about the dangers of global warming are routinely trumpeted by much of the media, including that giant Burmese pythons will migrate as far north as San Francisco and take over one-third of the U.S.. I heard the python story on local radio one day in Southern California and was very amused, but not everyone is. For example, many young children — who are much too young to evaluate the political and scientific issues involved — are frightened. One recent survey shows that 1 of 3 children aged 6 to 11 fears that our planet won’t exist when they grow up, and over one half believe that the Earth will be “a very unpleasant place to live.”

The usual solution to global warming fears is an anti-growth, anti-technology message. The “science is settled” so all we can do is dramatically cut back our use of fossil fuels, submit to trillions of dollars of taxes, and end our hopes of increasing prosperity due to crippled economies.

Even before Climategate, the public was not buying it. For example, in 2006 Gallup found that the percentage saying global warming will “pose a serious threat to you or your way of life in your lifetime” was only 35%; 62% thought it would not. And earlier this year, Gallup reported “the highest level of public skepticism about mainstream reporting on global warming seen in more than a decade of Gallup polling on the subject.” The Climategate scandal is likely to accelerate this trend among the public.

A number of scientists have proposed innovative technological approaches to mitigation of global warming if it were to become a serious problem in the 21st century. Perhaps the most interesting examples are from Roger Angel, the discussion in March/April, 2009 issue of Foreign Affairs, and the distinguished Princeton physicist Freeman Dyson.

This trend toward a more positive and realistic approach to climate change — being accelerated now by the revelations of Climategate — is very consistent with historical trajectories of public attitudes at comparable times over the last 200 years. As I pointed out in a previous post:

As we approach the 2015 Maslow Window, two other effects will increasingly come into play: 1) the fact that Maslow Windows are characterized by unusually optimistic (even ebullient) public attitudes, and 2) the increasing global fascination with large, international technology programs and space colonization – expected during the 2015 Maslow Window — will suggest to many around the world that solutions to key global challenges (e.g., the environment, energy) will benefit from space technology and resources.

The third way Climategate connects with prospects for near-term space colonization is through science.

Science is special. It is the only objective way humans have of probing physical reality and learning about the Universe. Scientists collect data about a natural system and then propose a model for how it works. Scientists use the model to make predictions about what should be observed in the real world. Those predictions are checked by observations of the natural system; any deviations from physical reality are used to change the model and thus improve it. Repeatedly using this process — making observations, sharing data, openly discussing issues — can result in a convergence of the model with physical reality.

That’s how it’s supposed to work. But the scientific method can break down, even for major questions. And when it does it shakes the foundations of what we know about the Universe, including potentially the public’s belief in our ability to expand human civilization into the cosmos, or even just to prosper on the Earth.

Here are some examples:

1. “The fact is we can’t account for the lack of warming at the moment and it is a travesty that we can’t.” Dr. Kevin Trenberth, National Center for Atmospheric Research (NCAR).
In his email, Trenberth, head of the Climate Analysis Section of NCAR, acknowledges privately a key point: In 1998 climate models did not predict the cessation of global warming that has occurred — despite continued increases in atmospheric carbon dioxide — over the last dozen years, and no one can explain why it happened.

MIT climate scientist Richard Lindzen (WSJ, 11/30/09) points out that articles by climate modelers attrribute “the failure of these models to anticipate the absence of warming for the past dozen years was due to the failure of these models to account for natural internal variability …” like El Nino and the Pacific Decadal Oscillation. “Thus even the basis for the weak IPCC argument for anthropogenic climate change (i.e., human-caused warming via CO2) was shown to be false.”

The bottomline is that: 1) modelers are admitting that something other than carbon dioxide can drive global climate change (e.g., natural variability), and 2) because the climate models cannot explain even the current lack of global warming, their predictions for warming 10, 20, or more years into the future are unreliable. And thus while global warming might indeed become a major problem at some point in the future — as astrophysicists assure us it will within a billion years when the Sun’s luminosity predictably increases and evaporates Earth’s oceans — we cannot accurately predict even near-term warmings or coolings with current climate models.

If the scientific method had been operating normally, these and many other secret conversations would have been shared with other scientists and the public in real-time. Instead, sadly we had to wait for Climategate to reveal them and clarify important issues.

2. “Science is not always what scientists do.” J. Allen Hynek (d. 1986), formerly Professor and Chair, Department of Astronomy, Northwestern University.
Scientists are people first and scientists second. They are subject to the same fears, greed, jealousies, ambitions, anger, etc., as anyone else. In fact, scientists are only being scientists when their professional activities conform to the scientific method as sketched above.

Sometimes scientists behave with almost quasi-religious attitudes. Religions are atrractive to the vast majority of people because they involve belief systems and world views that give meaning to life. Plus challenges to their beliefs do not usually disturb the believers because they are based on faith. In essence, while religions may be supported by historical or physical evidence, they are not fundamentally driven by it, as science is.

For example, in August 2009 more than 60 prominent German scientists — including several UN IPCC scientists — declared that global warming has become a “pseudo religion” in an Open Letter to German Chancellor Angela Merkel. They noted that rising CO2 has “had no measurable effect” on temperatures and that the “UN IPCC has lost its scientific credibility.”

Sometimes scientists behave more like politicians than scientists. In real democracies the people often vote to make decisions on important issues. In science, voting or authority figures do not determine our picture of physical reality, only data does. Today we especially admire Galileo for standing up to the authority of the 17th century Roman Inquisition and not disavowing his then controversial telescopic observations of the Sun, Moon, and planets. This idea of the primacy of observational data has penetrated deeply into modern life, even beyond the natural sciences. For example, the British economist John Maynard Keynes — father of Keynesian economics — once said, “When the facts change, I change my mind. What do you do, sir?”

Sadly, the Galileo Principle of the primacy of observational data in science is not reflected in the private emails of Climategate. For example, Professor Phil Jones, who has stepped down temporarily as head of the Climate Research Unit of the University of East Anglia while Climategate is investigated, speaks privately of modifying temperature data sets to “hide the decline” in global temperatures. According to John Lott of FoxNews.com (12/1/09), another CRU professor,

Tim Osborne, discusses in emails how truncating a data series can hide a cooling trend that would otherwise been seen in the results. Professor Mann (of Penn State) sent Professr Osborne an email saying the results he is sending shouldn’t be shown to others because the results support critics of global warming. Time after time the discussions refer to hiding or destroying data.

When ideology trumps science, some scientists act like politicians. They secretly modify data to conform to their party-line beliefs. I am not surprised that some scientists are dishonest; they are regular people and that’s to be expected. My concern is the way the scientific method has been deliberately ignored for many years by many scientists around the world, who definitely know better. This, including the destruction of the original temperature data sets by Climategate scientists, has obscured our view of the details of real global climate change. And certainly, as Professor Lindzen points out, “Claims that climate change is accelerating are bizarre.”

3. Is science dying?
As a planetary scientist who’s worked in the aerospace industry and in academia, and has been thrilled by the idea of space colonization since a very young age, my major concern is what Climategate means for science. Daniel Henninger in the Wall Street Journal recently asserted (12/3/09) that “science is dying.” Henninger continues,

I don’t think most scientists appreciate what has hit them … For years, global warming and its advocates have been the public face of hard science. The public was told repeatedly that something called ‘the scientific community’ had affirmed the science beneath this inquiry … Global warming enlisted the collective reputation of science. Because ’science’ said so, all the world was about to undertake a vast reordering of human behavior at almost unimaginable financial cost. Hard science, alongside medicine, was one of the few things left accorded automatic stature and respect by most untrained lay persons.

But because of the Climategate scandal — an “epochal event” — the public’s view of science is about to change.

The average person reading accounts of the East Anglia emails will conclude that hard science has become just another faction, as politicized and “messy” as, say gender studies … If the new ethos is that “close-enough” science is now sufficient to achieve political goals, serious scientists should be under no illusion that politicians will press-gang them into service for future agendas. Everyone working in science, no matter what their politics, has a stake in cleaning up the mess revealed by the East Anglia emails. Science is on the credibility bubble. If it pops, centuries of what we understand to be the role of science go with it.

For some, global warming politics and ideology are all that matter; you can recognize them by their lack of interest in the details of climate science and their attempts to ignore or divert attention from the science-related content of Climategate.

Science should be quite different from politics in both methods and goals, and certainly needs to move farther away from politics so that the scientific method can flouish again. As long as politics and ideology dominate science — as they have in the climate change field — we can never know what really exists in the Universe and how it works.

If the universities and governments affected by Climategate take appropriate action against those who stifled the free and open discussion of scientific data and issues in Climategate, the essence of science and even science’s public image can recover.

In a best-case scenario, Climategate could ironically help stimulate the New Space Age by strengthening our global financial picture, helping people everywhere regain a positive, even ebullient feeling about the future, promoting 1960s-style pro-technology, prosperous attitudes, and reaffirming that science is indeed a reliable tool for expansion of human civilization from a vibrant Earth into the cosmos.

If the last 200 years of Maslow Windows are any guide, that’s what we should expect will happen.

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Oct 30 2009

Stratfor on Ares and the Future of Manned Spaceflight

George Friedman’s Stratfor, a private intelligence corporation, provides first-rate geopolitical and technological analyses and forecasts that I quote often in this blog and elsewhere. His recent book, The Next 100 Years, has interesting parallels with forecasts made here, partly because of his long-range perspective. For example,

So we will see … until about 2070, a period of dramatic economic growth, accompanied by social transformation.

This sounds much like a Maslow Window to me although we believe that it will continue through much of the 2070s. (However, I don’t believe in quibbling over a few years when you’re comparing forecasts for the latter part of the 21st century!)

The Ares 1-X launch points to the human future in space. Click Ares.

However, in Stratfor’s recent analysis (10/28/09) on “Ares and the Future of Manned Spaceflight” there are key statements that appear inconsistent with our experience of great explorations and major technology programs of the last 200 years, including current global trends. For example,

A manned space program is an enormous investment … With billions being poured into the wars in Iraq and Afghanistan … and the economic crisis still being felt, whether the Constellation program and its $ 100 billion price tag makes sense is a serious one even without taking into account the lack of a scientific or popular consensus for returning to the Moon.

Here, Stratfor ignores significant international momentum for a manned Moon program, as well as “early ebullience” in many countries — including Panama, Japan, India, Brazil, China, and South Korea — signaling our rapid approach to the 2015 Maslow Window.

More fundamentally, Stratfor seems unaware of our current position in the long wave. We are just beginning to recover from a great recession similar to those that have occurred within a decade of the opening of every Maslow Window of the last 200 years (except for the 1960s Apollo Maslow Window).

Within a few years, as we recover and re-enter the “greatest economic boom ever,” that was postponed in late 2007 by a financial panic, history shows we’ll enter a Golden Age of Prosperity, Exploration, and Technology, much like we did in the early 1900s. Back then the U.S. was recovering from the Panic of 1893 and the 1890s great recession, which blossomed into arguably America’s most ebullient Maslow Window. It’s unprecendented, transformational events included the opening of the Panama Canal and Peary’s expedition to the North Pole, as well as perhaps the most ebullient U.S. president of all time: Theodore Roosevelt.

No Maslow Window has ever opened late or been diminished by any financial panic or great recession that preceded it. All indicators show the 2015 Maslow Window is on schedule.

Stratfor also seems a little unsure about the importance of humans in space. As the Shuttle retires,

the implications of a nationally controlled U.S. manned access — though it is certainly noteworthy that the second nation to put a man into space and the first to put a man on the Moon will be without it for the first time since then — are not necessarily of immediate strategic concern.

This would have been like saying in 1957 that the implications of the Soviets orbiting a small satellite called Sputnik — while certainly surprising and noteworthy — do not pose a direct threat to the West and are not necessarily of immediate strategic concern. All it did, of course, was set off the Cold War space race, revitalize education in the U.S., and result in the first human landing on the Moon 12 years later. In response to the U.S. being grounded and increasing international interests in the Moon, something similar may happen again, which Stratfor seems to admit further down,

Without forward progress in this regard, countries like China … will begin to refine their understanding of manned spaceflight and reduce the U.S. lead in this area.

Stratfor also seems unclear about the timing and magnitude of future manned spaceflight.

The question is not if humans will return to space in a meaningful way after the ISS is retired, but when. When that will be, or if meaningful investment in manned spaceflight over the course of the next decade will ultimately be decisive or not, probably will remain unclear in the near future.

Global trends over the last 200 years — including current international space program developments — strongly suggest the 2015 Maslow Window will feature unprecedented, transformative activities in manned spaceflight, including international Moon exploration, space-based solar power, and/or manned interplanetary missions possibly including Mars.

Based on an extrapolation of MEP trends over the last 200 years, including the costs of recent and current secondary MEPs, large space programs between now and 2025 will cost in the range of $ 1 T to 3 T (in 2007 USD).

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Oct 20 2009

Is the Heady Optimism of the 1960s Apollo Program About to Return? Chatting with UK's Stephen Ashworth

Thanks to UK space expert and longtime Fellow of the British Interplanetary Society Stephen Ashworth for his comments about future space activities and Maslow Windows on his website, which I highly recommend (both the website and the comments!), by the way. He does an excellent job introducing the Maslow Window concept and indicating a few concerns.

Are happy days almost here again? A cheering, rain-soaked New York City crowd watches Neil Armstrong take his first step on the Moon in 1969. Click Apollo11crowd
Photo: Bettmann/Corbis

Let me borrow a few of his quotes here …

My own knowledge of recent history is not good enough to judge whether a cycle of roughly 56 years is in operation. And when people start saying that they have a sure-fire method of predicting the future of a highly complex system — whether the climate, or society; whether in an ostensibly scientific manner or through decoding secret messages in the Bible or the works of Nostradamus — my bullshit indicators start twitching.

Yet it is certainly conceivable that an overall cyclic pulsation in economic conditions — a two-generation business cycle — may be modulating the conditions for great scientific and exploration projects in a non-random way, allowing approximate forecasts to be made. And there is no bogus claim of certainty being made here — while great explorations may be imminent, we are also warned that the opportunity created by the newly favourable conditions could be squandered.

Actually, I don’t know much about Nostradamus except what I’ve seen on the History Channel! And I’m still not sure how he made his predictions. However, I discovered the Maslow Window by accident. I read a couple of books in 1992 that introduced and documented the 56 year energy cycle (one by Swiss physicist Theodore Modis), realized it was like a K-wave, and was impressed with the economic, technology, and societal parameters it was correlated with. So just for fun I checked to see if 1969 — culmination of the Apollo decade — was an energy peak. Of course it was, so I realized then that I’d have to check out everything back to Lewis and Clark to be sure it wasn’t real.

That’s when I noticed the Great Exploration/Macro-Engineering Project (MEP)/Major War clusters that line up with upswings and peaks in the long wave. (I should mention that the political scientists had already created a large literature on wars and the long wave, although I didn’t know anything about it yet in the mid-1990s. And Modis hinted at an MEP-long wave link, although I didn’t remember that until I noticed them preferentially popping up near long wave upswings and peaks over the last 200 years.)

So this is really a thoroughly empirical approach.

The theoretical part started when I tried to imagine how long business cycles could enable the clusters. It’s clear why the expensive MEPs would be favored by a large economic boom, but less so why Great Explorations would, until you connect a large, twice-per-century economic boom (part of the two-generation business cycle) with Maslow’s hierarchy. (Incidentally, before Apollo, the Great Explorations — e.g., Peary/Amundsen polar expeditions — were separate from the MEPs; e.g., Panama Canal.) This is the most likely time when large numbers of people in society will ascend Maslow’s hierarchy and momentarily be riveted by Apollo-style exploration and technology. But after the long wave peaks and begins to descend, this affluence-induced “ebullience” rapidly heads south; i.e., the “Maslow Window” collapses. Incidentally, that’s why we have 3 real Saturn V launch vehicles in museums today. In addition, Joshua Goldstein and others see major “peak” wars as interactive with the long wave, so they fit the broad pattern too.

This theory is certainly not perfect and cannot explain everything over the last 200 years. (And it doesn’t try to as you’ll see below.) As with anything involving real history about real humans and nations, there are always exceptions. But nevertheless, it does hang together rather well and points tantalizingly toward the 2015 Maslow Window and what’s in store for us!

More from Stephen Ashworth…

The difficulty I have with this theory is that Dr Cordell allows only about two decades of favourable conditions per century, in two “Maslow windows” 56 years apart.

The globalisation of the past half-millennium did not take place in scattered decade-long windows of opportunity, but was and had to be a continuous process over those centuries. Similarly, the multi-globalisation of the future will need to be a sustained effort. Certainly, there may be sudden leaps ahead, followed by long periods of relatively slow consolidation of the gains so spectacularly acquired.

Actually the 1960s Apollo Maslow Window itself (not counting the post-WW II long boom leading up to it) was even shorter than a decade; e.g., although Sputnik went up in 1957, Apollo didn’t really get going until 1961 and public support for it was already slipping by 1966. The length of the 2015 Maslow Window will probably be determined by how soon the expected mid-2020s major war begins. If it’s early (<2020) we could lose most of the Mars/Moon program, instead of only the last part of it as we did with Apollo in the late 1960s.

Secondly, Maslow Window theory does not really focus on globalization. Based on the last 200 years, it applies mainly to 3 things: Great Explorations, MEPs, and major wars; i.e., focused, large-scale endeavors that generate intense international interest. In fact, as I mentioned in the 1996 Space Policy paper (in the Articles), a lot of technology and science research proceeds consistently without much long wave modulation. To the extent that international cooperation and commercial relations expand and develop during Maslow Windows, globalization would be enhanced, but not limited to Maslow Windows.

More key Ashworth comments…

If each euphoric window of opportunity is only a decade long, then no groundbreaking government programme will in such a short time be able to create the conditions for steady progress during the following relatively depressed decades. The 1970s saw not only no further progress in lunar access, but even the loss of the limited access that did exist.

He’s really identified the problem with Apollo and its interaction with the 1960s Maslow Window very succinctly! The Windows do close abruptly and terminate great explorations and large engineering programs. For example, the ebullience of the early 20th century polar expeditions and “Panama fever” was as intense as Apollo but was quickly terminated by WW I. Likewise, government support for the amazing central Africa explorations of Dr. Livingstone – he’d previously returned to London as a major hero — was rapidly cut off, much in the style of his brothers-in-exploration, the Apollo astronauts, just past the peak of their wave, 2 long waves later.

A subtle, but important point is that funding limitations do not fundamentally cause great explorations and MEPs to die, it’s because of a lack of ebullience. As the long wave descends and contractions occur, it’s the perception of falling behind by many people that understandably weakens ebullience, not the lack of funding. This is demonstrated by our current situation in the U.S.; You could run the greatest space program of all time on part of the $ 787 B Stimulus bill that was passed earlier this year — and some suggest that a small part of it should be returned to fund NASA — but during this great recession, a time of deep anti-ebullience, there is little public interest to do so.

Ashworth concludes…

If Dr Cordell and his co-workers are right, the period 2015-2025 could see doubled and tripled government space budgets, with multiple manned landings on the Moon and even Mars. But by the same token, the late 2020s and 2030s will see retreat and retrenchment, with events on Earth dominated by economic depression and war. A new conspiracy theory will emerge: astronauts never really landed on Mars at all!

Therefore the hope that manned exploration can leap ahead in a renewed age of Camelot is ultimately an illusion. It may indeed — but if it does, it will quickly fall behind again, with the loss of most of the capabilities gained during the decade of ebullient expansion.

I agree with Stephen’s assessment of the positive effects of the next Maslow Window but do not think the aftermath will be as bleak as he suggests. For example, although we no longer have a Saturn V and haven’t returned to Moon in 40 years, the U.S. and others have gained much human space-ops experience in the Shuttle and the ISS, plus we’re seeing the birth of the private space tourism industry, and we are the recipients of a genuinely multi-polar space world — unlike where we left off in the 1960s.

Two more things:
1) To counter the negative effects of declining Maslow Windows, we (globally) should strive to achieve a largely self-sufficient presence on the Moon or Mars (as suggested recently by Buzz Aldrin and others) during the 2015 Maslow Window. This will avoid another crippling ~40 year interval (1972 to now) when we are trapped in Earth orbit and deprived the pleasures of solar system settlement.
And…
2) It was not an accident (and shouldn’t have been a surprise) that the Cold War space race began, as well as ended, the way it did. It’s been happening basically the same way for 200 years — all the way back to Lewis and Clark. The real power in learning these lessons is that we can begin to plan around these long waves, instead of being completely surprised by them.

We need a global, unified, multi-decade approach to human exploration and settlement of the solar system. And with knowledge of how Maslow Windows have operated in the past, we should be able to either moderate the long waves themselves, or at least reduce their effects on human expansion into the cosmos.

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Oct 12 2009

State of the Wave — Solid "BRICs" Support the Next Maslow Window

This State of the Wave summarizes specific progress toward the opening of the 2015 Maslow Window and movement toward real, near-term space colonization. The focus is on events and trends of long-range significance.

Coined by Goldman Sachs in 2001, the “BRICs” refers to the dynamic countries of Brazil, Russia, India, and China, who Goldman suggested “could eclipse the combined economies of the richest countries of the world” by 2050.

21stCenturyWaves.com has written about them many times in the context of economic growth and space exploration over the last 18 months. However, it is extraordinary to see the BRICs so clearly demonstrating multi-decade long wave trends as well as the style of ebullience that points directly toward the 2015 Maslow Window. This brief State of the Wave is dedicated to all of them.

BRAZIL’s Olympic Glow
According to the New York Times (10/4/09; A. Barrionuevo), Brazil is “celebrating its arrival on the world stage” with its selection as the first-ever South American site for the 2016 Olympics. Despite the direct participation of President Obama, Rio de Janeiro beat out Chicago handily. According to Brazilian President da Silva, “Brazil went from a second-class country to a first-class country, and today we begin to receive the respect we deserve.” Another Brazilian ebulliently sums it up, “My Brazil is solid. We have it all.”

Since the economic benefits of hosting an Olympics are few — it is mainly a spectacle — this is truly Maslow Window-style ebullience on display from Brazil.

Brazil’s 1960s-style ebullience — its Olympic glow — extends beyond just the Olympics to being an economic powerhouse as well as a growing global space power; it’s what we’d expect of a major player in the approaching 2015 Maslow Window. For example, its economy recently dramatically exited the recession with a 1.9% GDP increase in the 2nd quarter over the first (WSJ, 9/12/09).

Quoting from my 5/20/08 Brazil post:

Brazil has Latin America’s most prominent space program including their own launch vehicles, environmental and communication satellites (some in cooperation with China), and their enviable Alcantara launch site (within 2 degrees of the equator)! In 2006, the first Brazilian astronaut — Marcos Pontes — after training with NASA, ascended on a Russian Soyuz rocket for a $ 10.5 M, week-long stay on the International Space Station. Colonel Pontes’ instant celebrity power exceeded even the best soccer stars that Brazil has to offer, and gave him access to the Brazilian president and a prominent association with Brazilian comic books and toys! …

In 1992 writing in Space Policy, I suggested that Rio de Janeiro would be an ideal headquarters city for a new global space organization that we forecast will form by 2014. Today it seems even more appropriate considering Brazil’s likely pivotal role in the rapidly approaching international race to space.

RUSSIA and the International Space Station
The European Space Agency reported this morninig that ESA astronaut Frank De Winne became the first European commander of the ISS; he took over from Russian cosmonaut Gennady Padalka who had been ISS commander since April. Prior to this morning, only Russian cosmonauts and U.S. Astronauts had filled this role.

Russia’s continuing leadership in space is complicated by the global recession. Stratfor reports that the Russian GDP is expected to shrink by 7.5% in 2009, somewhat less than the 8% forecast previously. (For comparison, Reuters recently reported that the U.S. economy is expected to decline by only 2.5 % in 2009 (and rebound by the same amount in 2010) according to private economists polled October 5-6 for the Blue Chip Economic Indicators October survey.) President Dmitri Medvedev admitted that, “As soon as the crisis occurred, we collapsed. And we collapsed more than many other countries.”

According to Richard Pipes (Wall Street Journal, 8/22/09), former professor of history at Harvard and member of Reagan’s National Security Council, “Russia is obsessed with being recognized as a ‘Great Power’…” This is partly due to their victory over Germany in World War II and “the success in sending the first human in space.” But Russia’s veering in the direction of a new cold war hasn’t helped them economically; “Russian aggression against Georgia has cost it dearly in terms of capital flight.” And Russia’s dependence on the global price of energy caused their exports to drop by 47% in first half of 2009.

Although most Russians do not see themselves as European (and they are not Asian either), Pipes believes it is essential to convince them that “they belong to the West and should adopt Western institutions and values: democracy, multi-party system, rule of law, freedom of speech and press, respect for private property…” This is especially important in a world repeating many key trends of one long wave ago, including a new Cold War (e.g., their apparent involvement in the Iran nuclear program) and the international build-up toward large-scale space activities (including proposed joint Russia-U.S. manned Mars missions) in the 2015 Maslow Window. The obvious twist this time is a strong Russia/U.S. alliance in ISS, and the fact that they may serve as our ticket to ISS after the Shuttle is retired.

INDIA’s Ebullient Space Program
India’s space program is among the most ebullient and aggressive in the world. The recent spectacular success of their first mission to the Moon — Chandrayaan-1 — in detecting small amounts of water on the Moon is indicative of many even greater things to come as we approach and enter the 2015 Maslow Window.

For example, the Indian Space Research Organization (ISRO) is contemplating its own robotic mission to Mars between 2013 and 2015 (as the next Maslow Window opens). ISRO anticipates using their Geosychronous Satellite Launch Venicle (GSLV) and either “ion thrusters, liquid engines or nculear power” to thrust their spacecraft to Mars. India also envisions its own Earth orbital human spaceflight program in the 2014-2015 timeframe. In support of this goal is the Space Capsule Recovery Experiment, a new astronaut training center in Bangalore by 2012, and the development of a 3-person crew orbital vehicle capable of orbiting the Earth for 7 days.

India’s economy has slowed from 2007 growth rates approaching 10%, but Prime Minister Manmohan Singh emphasized recently, “There is no economic crisis in India. It is certainly true that as a sequel to the global economic crisis our exports have suffered … but even then our economy is growing at a rate of six and half per cent. Therefore there is no crisis, as such in India.”

Although India naturally feels a competition with China’s impressive space program, Indian leaders also want to enhance the development of high technology, share in space science discoveries, and excite young people. According to Indian President A.P.J. Abdul Kalam, a rocket scientist who is known as the father of India’s missile program, the Indian space program will “electrify” the spirit of young scientists. This is clear evidence of early and growing ebullience in the Indian space and technology communities — exactly what we’d expect, based on international events one long wave ago, as we surge toward the 2015 Maslow Window.

CHINA’s 60th Anniversary
China recently celebrated one long wave of the People’s Republic, or “60 years of chinese communism,” says Gordon Chang in the Wall Street Journal (10/1/09). “The Chinese state will try to project strength … fearsome weapons … 200,000 soldiers … a grand procession in the center of Beijing.” And they did. Self-described “panda hugger” Thomas Barnett felt the parades showed a “lack of confidence … I see a celebration of everything that’s stood in the way of China’s return to growth and prosperity.”

From the perspective of 21stCenturyWaves.com, it’s especially intriguing that the celebration of 1 long wave of Chinese communist rule featured — in addition to massive military might — a float emphasizing Chinese success in space. The military display was intended to help the Chinese feel “a sense of security, a sense of pride,” according to one Chinese observer, whose restaurant was shut down for the celebration. However, perhaps the space float was an invitation to China’s future during the 2015 Maslow Window as a global leader in the commercial and scientific development of near-Earth space, the Moon, and beyond.

Over a year ago in “10 Reasons Why China is Good for Space,” I acknowledged Mao Zedong’s call to action in response to the Soviet launch of Sputnik in 1957, the rapid growth of China’s space infrastructure including its capability of launching humans into orbit (first manned orbit mission in 2003), and the international prestige and growth of Chinese nationalism (due to its popularity in China) which space has created. And although China’s economy has featured 10% pre-crisis growth, since 2008 its economy has taken big hits. Ironically, The Economist (10/10/09) is now warning that China’s recent GDP rebound might result in a bubble economy unless China adopts an independent monetary policy that frees the yuan from the dollar.

Chang laments that “the Party is increasingly out of step with the dynamic people it governs,” and despite the paranoid parade, Barnett awaits “the truly confident China to someday appear,” while former prime minister of Great Britain, Tony Blair (WSJ, 10/9/09) suggests that when we consider China’s last 60 years, “reflect on how far they have to go. But spare a thought for how far they have come.”

China’s interest in space — the technology, the exploration and science, the international prestige — is very “1960s”, as it is for all the other BRICs — and that’s intended as a high compliment to their capabilities and aspirations. It’s a clear international signal that we’re approaching the 2015 Maslow Window — the next Golden Age of Prosperity, Exploration, and Technology.

However, this time — because of our knowledge of 200+ years of Maslow Windows — we’re smarter, and we may even have a choice. I vote that we have a “Grand Alliance for Space“, featuring a unified, global approach to human settlement of the solar system. But I have to admit that the history of the Cold War space race, the exploration of Earth’s polar regions, and even the Lewis and Clark expedition suggest it will be otherwise.

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Sep 24 2009

How President Obama is Creating the New Space Age

Fear not. The Augustine Commission and Congress notwithstanding, President Obama is setting the stage for the next Space Age. And below I examine 2 specific, well-constrained scenarios, and their dynamics, showing how this is likely to occur.

Norman Augustine, former Lockheed Martin CEO, states we need $ 3 billion more per year to have a viable Moon program. Click augustine.jpg.

It is true that chair Norman Augustine — who’s becoming known as “the 3 billion dollar man” — insists, “The current program that’s being pursued is not executable,” because a return to the Moon requires $ 3 B more annually. It’s also true that in response to an Arizona Congressman (who’s married to an astronaut) who accused Augustine of presenting “a set of alternatives that look almost like cartoons,” Augustine retorted, “I respect your feelings, but I must question your facts.”

But this is all just the usual short-term political stuff.

In reality — as the last 200+ years have shown — extraordinary pulses of activity in exploration and engineering are enabled by reliable, long-term business cycles. And all indicators suggest we’re sneaking up on the edge of another Golden Age of Prosperity, Exploration, and Technology(GAPET).

Typically, during the twice-per-century upswings of the long economic wave and within a decade after a major financial panic (such as the Panic of 2008) and its major recession, we emerge into an ebullient, transformative decade known as a Maslow Window. Perhaps the most ebullient one followed the Panic of 1893 and was led by Theodore Roosevelt: the Peary/Panama Maslow Window from 1903 to 1913. But before that the mid-19th century Dr. Livingstone/Suez Maslow Window produced the “technological jewel of the 18th century,” the Suez Canal, and the famous Lewis and Clark Maslow Window opened the Great Northwest to the world in 1805.

Our most recent Maslow Window — the stunning 1960s Apollo Moon decade — was unique in the last 200+ years in that it wasn’t immediately preceded by a financial panic or great recession. But the approaching Maslow Window, expected to open near 2015, resumed the much more “normal” sequence of the last 200+ years when the Panic of 2008 heralded its impending arrival.

So one key lesson of the last 200 years is: The Panic of 2008 supports our expectation that the next Maslow Window — the next Golden Age of Prosperity, Exploration, and Technology — will open near 2015.

And President Obama is playing a key role in triggering GAPET, although there is understandably a lot of confusion about that, especially among those unaware of the long-term forces that govern the ebullient, large-scale human affairs of Maslow Windows.

For example, shortly after the Panic of 2008, Reagan economist Arthur (“Laffer Curve”) Laffer complained that President George W. Bush “will be remembered like Herbert Hoover…(and that) the age of prosperity is over,” (WSJ, 10/27/08). And others — including Obama — have compared Obama to Franklin D. Roosevelt who was president during the Great Depression. Surprisingly, Keynesian economists George Akerloff (a Nobel-winner) and Robert Shiller don’t think FDR (or Hoover) went far enough:

“Confidence — and the economy itself — was not restored until World War II completely changed the dominant story of people’s lives, transforming the economy.”

In reality, 21stCenturyWaves.com has identified the Great Depression as an example of panic/recessions that occur 16-18 years after a Maslow Window (another is the Great Victorian Depression of 1873); they tend to be very long and severe as the long wave descends. Conversely, the Panic of 2008 is typical of upswings in the long wave that precede, by less than a decade, the transformative GAPET of Maslow Windows. While still an economic crisis characterized by major suffering, the Panic of 2008 had only a small chance (e.g., WSJ, 9/1/09; Allan Meltzer) of ever evolving into a true 1930s-style Depression (e.g., 25% unemployment).

Given the high likelihood of our next Maslow Window materializing near 2015, the key question is: How will Obama create the exceptional prosperity that is the hallmark of such Camelot-like times?

There are basically 2 options:

OPTION I: Obama becomes a 2-term President: He becomes the new John F. Kennedy without the Vietnam-style baggage of LBJ.
Historical/Economic Model: The 1960s Apollo Maslow Window.

Three ways Obama could trigger prosperity are:

a) The recession will end naturally and prosperity will follow.
Post-War recessions have averaged 11.3 months in length (with the longest 16 months) and the current one is 22 months old. Most economists think the economy hit bottom recently and is currently recovering.

b) Obama will “reset” his presidency resulting in prosperity.
Ted Van Dyk, a long-time Democrat and formerly Vice President Hubert Humphery’s assistant in the LBJ Whitehouse, advises Obama to cut back his proposals and expectations (WSJ, 7/17/09):

“You made promises about jobs that would be ‘created and saved’ by the stimulus package. Those promises have not held up. You continue to engage in hyperbole by claiming that your health-care and energy plans will save tax dollars. Congressional Budget Office analysis indicates otherwise.”

c) The Keynesians are right and major government spending and deficits result in prosperity.
For example, according to British Prime Minister Gordon Brown, the idea of slowing major stimulus spending would be an “error of historical proportions,” (WSJ, 9/22/09; B. Stephens). And George Akerloff and Robert Shiller (WSJ, 4/24/09) believe that,

An understanding of animal spirits — the human psychology and culture at the heart of economic activity — confirms the need for restoring the role of regulators as guiding hands in a healthy, productive free-enterprise system. History — including recent history — shows that without regulation, animal spirits will drive economic activity to extremes.

Importantly, an especially intense version of animal spirits (called “ebullience” here) is apparently responsible for the extraordinary exploration and engineering activities during Maslow Windows.

Bottom Line for Option I:
It appears that combinations of b and c are unlikely, but various combinations of a and b or a and c could occur.

In either case, Obama becomes the new JFK. He continues the brilliant, transformative lagacy of Theodore Roosevelt and the Panama Canal, that began with Thomas Jefferson and the Lewis and Clark expedition.

OPTION II: Obama becomes a 1-term president: He becomes the new Grover Cleveland (and possibly LBJ), and leads to a pro-prosperity Republican presidency.
Historical/Economic Model: The Peary/Panama Maslow Window (1903-13).

The New York Times (9/6/09; Richard Stevenson) observed that,

Nearly eight months after the inauguration, the economy … has stabilized sufficiently that the nation is no longer gripped by the sense of urgency that allowed Mr. Obama, almost without challenge, to carry out an audacious act of industrial engineering: reshaping the automobile industry from the Oval Office in a matter of weeks … On health care, he is getting no such philosophical pass … The most relevant political framework instead appears to be a more problematic one inherited from his predecesser: a general loss of faith in government.

On August 21, the Wall Street Journal (8/25/09; William McGurn) reported that,

White House spokesman Robert Gibbs said his boss was “quite comforrtable” with the idea that sticking to his agenda may well mean “he only lives in this house” for one term.

Indeed, if unemployment remains high into 2012, reelection will be a challenge for Obama.

Three things that could hinder Obama’s reelection are:

a) The Stimulus has not worked.
The Wall Street Journal (9/17/09; Cogan,Taylor,Wieland) reports that,

The data show government transfers and rebates have not increased consumption at all … and that the resilience of the private sector following the fall 2008 panic — not the fiscal stimulus program — deserves the lion’s share of the credit for the impressive growth improvement from the first to the second quarter.

And as unempoyment heads toward 10%, Obama’s promise that rapid passage of the stimulus package would keep unemployment below 8% has not been realized.

b) Obama’s economic policy may be fundamentally flawed.

Published economic research by the current head of President Obama’s Council of Economic Advisors — Christina Romer — raises doubts about Obama’s policy of major government spending to end the recession. The Wall Street Journal (8/21/09; Alan Reynolds) quotes Professor Romer’s 1999 study (J. Econ. Perspect.) that between the pre-WW I era and the era of big government (post-WW II), “recessions have become only slightly less severe…and recessions have not become noticeably shorter,” in fact post-WW II recessions are one month longer. WSJ concludes that, based on economic history since 1887, “bigger government appears to produce only bigger and longer recessions.”

If this is true, Obama’s large stimulus/bailout packages and large federal budgets will not stimulate the economy in his first term.

According to William Gale of Brookings,

The budget outlook at every horizon is troubling: the fiscal-year 2009 budget is enormous; the ten-year projection is clearly unsustainable; and the long-term outlook is dire and increasingly urgent.

Add to this White House projections of a 10-year record federal deficit of $ 9 T, and by next decade’s end the national debt will be 75% of GDP, and it’s easy to see why Obama’s job approval ratings have settled into the low 50s.

c) Afghanistan turns into Vietnam.

The New York Times (8/23/09; Peter Baker) has focused on the dangers a protracted conflict in Afghanistan could have on Obama, “The LBJ model — a president who aspired to reshape America at home while fighting a losing war abroad — is one that haunts Mr. Obama’s White House as it seeks to salvage Afghanistan while enacting an expansive domestic program.”

And despite considerable personal popularity around the world, “All that good will so far has translated into limited tangible plicy benefits for Mr. Obama … foreign leaders have not gone out of their way to give him what he has sought,” (NYT, 9/20/09; Peter Baker)

An interesting bottomline emerges:

Re: Prospects for the New Space Age Near 2015:
Based on patterns in macroeconomic data and historical trends over the last 200 years, all realistic roads lead to a 2015 Maslow Window featuring a Golden Age of Prosperity, Exploration, and Technology, although wildcards are possible.

Re: Mr. Obama’s Prospects:
Despite the fact that Mr. Obama is currently setting the stage for a robust, transformative new Space Age within the next 3-5 years, his presidential prospects remain uncertain.

Obama’s long wave timing and election circumstances (i.e., panic/recession) have more parallels with the 1893-1913 Peary/Panama Maslow Window — in which a 1-term Democrat (Grover Cleveland) was replaced by a pro-prosperity Republican — than with the 1949-1969 Apollo Maslow Window of John F. Kennedy. And Obama’s continuing challenges with high unemployment, record deficits, huge budgets, and Afghanistan, pose real dangers for him.

As the New York Times noted and as evidenced by Obama’s descending poll numbers, many Americans are again expressing skepticism about big government and the economy. Obama will have to create prosperity — the cornerstone of the 2015 Maslow Window — and given Obama’s popularity and flexibility, he’s quite capable of doing it.

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