Next to the oxygen in the atmosphere, climate is the most important factor in human life because climate determines food availability, clean water and favourable temperatures upon which all healthy bio-systems depend. It determines the proportion of the planet which will support human life.
Energy is the most critical building block of modern societies because of the work it allows us to do. For commercial purposes, energy is measured in fiat currency per unit of energy ie $ per litre of gas or cents per kWatt hour of electricity.
But on a national policy basis, energy must be measured in its own terms. Currency can be printed whereas energy cannot. So, to measure the real cost of producing energy, the ratio of EROI Energy Return on Energy Invested was developed.
Generational transfer is the passing down of assets, rights and privileges from one generation to another.
Everything can be thought of as part of the transfer including:
- All personal goods
- Public infrastructure
- Natural capital
- Debt or savings
- Social cohesion