Information, order and knowledge in economic and ecological systems: implications for material and energy use

Abstract Ecological and economic systems are open systems that require energy to change the thermodynamic states of materials from naturally occurring to more valued forms. These changes are accompanied by information flows and changes in the order of systems and their surroundings. In this paper, thermodynamics is used to assess these system changes and relate them to the knowledge present in a system. Particular emphasis is given to (1) the fundamental relationships among material, energy and information flows, and changes in order and knowledge, (2) the role of equilibrium and non-equilibrium thermodynamics in assessing system change, (3) the increasing role of material and energy flows through economic systems, and (4) the necessity for improved societal valuation of these flows.

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