The AD-AS model of macroeconomic activity is a work-horse for economists because it allows to blend many perspectives, such as the Keynesian view (to some degree) and the Classical view. However, the model implies that more growth is always better, as long as it does not bring inflation. This implication has enormous consequences for the environment and green house gas production, which suffer from non-monetized secondary output.

How can we reconcile the macroeconomic preference for growth with the natural limits of the planet we live on?