The concept of energy rents was first introduced in 1998 (Energy
and Organization, Growth and Distribution Reexamined), when it was
used to analyze income distribution in U.S. manufacturing in the
post-WWII period. It was argued that rents resulting from the
growing use of electric power in manufacturing were shared by the
owners of labor and capital in the form of higher wages and
profits. In this work, the energy rents approach to income
distribution is examined in greater detail-historically,
theoretically, and empirically. The result is a compelling theory
of income distribution, one that is not only timely given recent
technological developments in the field of smart manufacturing, but
one that is consilient with the pure and applied sciences in
general, and with mechanical engineering in particular. Lastly, an
attempt is made to analyze ancient mythology through the prism of
energy rents, again in the name of consilience.
General
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