This monograph length report, first published in 1970, originated from a program of research at Resources for the Future that dealt with the management of residuals and of environmental quality. It presents some of the broad concepts that the program was based on and represents the effort to break out of the traditional approach in pollution and policy research, which had treated air, water, and solid waste problems as separate categories. This book will be of interest to students of economics and environmental studies.

The purpose of this book is three-fold. The first purpose is to posit that the fundamental substance of the universe is energy, and that energy is required (consumed) for any material transformation, or information transmission. The labor theory of value, articulated by the physiocrats and elaborated by Adam Smith, David Ricardo, J.B. Say and Karl Marx was a rough first approximation of the value creation process, in the 17thand 18thcenturies, but is now obsolete. Labor is now (mostly) performed by machines, not by humans (or animals).The second aim of the book is to argue that the economy is...