As Ayres noted, economics does not only lack any systematic awareness of energy’s importance for the physical process of production, but it assumes “that energy doesn’t matter (much) because the cost share of energy in the economy is so small that it can be ignored . . . as if output could be produced by labor and capital alone—or as if energy is merely a form of man-made capital that can be produced (as opposed to extracted) by labor and capital.”[25]
