Jeremy Rifkin Gives Nuggets of Knowledge to First-Year Smith Students

Friday, September 15, Jeremy Rifkin, founder and president of The Foundation on Economic Trends, spoke to first-year MBA students about new economic models and the hydrogen economy. Rifkin has written books on both subjects, respectively titled The Age of Accessand The Hydrogen Economy.

Part one of Rifkin's speech focused on new economic models that are changing how people around the world conduct business. Rifkin argues that commercial life is changing for three reasons: products are now services or experiences that one accesses rather than a good that one acquires; e-commerce makes financial transactions cheap and easy; and new technology allows for a continuous flow of economic activity. Rifkin sees the traditional marketplace transforming into a network of buyers and sellers connected by memberships, leases, and subscriptions.

Rifkin illustrated his point with the example of leasing or renting a car versus owning a car. He believes that in the near future most people will lease cars rather than own cars because they would rather have the experience of driving a car without the hassle and expense of owning a car. Flexcar, for example, is one such car rental network.

During the second half of his speech, Rifkin detailed his theories on the hydrogen economy. As an energy advisor to Italian Prime Minister Romano Prodi and Chancellor of Germany Angela Merkel, Rifkin has real world experience in hydrogen infrastructure implementation. He believes that hydrogen will replace oil as the new energy fueling the world economy. This energy substitution could result in many benefits, including reduced carbon dioxide emissions, slowed global warming, and empowered citizens in poor countries who currently have little access to electricity.

Rifkin's lecture lived up to the praise his theories have received. Chris Lehmann of The Washington Postwrote that "Rifkin is arguing that the hydrogen economy revolution will produce something far larger than the sum of its parts. By making the scarce resource of fuel suddenly plentiful, cheap, and democratic, we will upend the presently uneven pattern of globalization." And Peter Coy of Business Week called Rifkin a marquee spokesman for the hydrogen movement.

Smith students enjoyed listening to Rifkin's ideas, and his lecture resulted in hallway debates outside the auditorium. Whether students agreed with Rifkin or not, his lecture provided new ideas to consider. Learn more about Jeremy Rifkin at http://www.foet.org/index.html.

▓ Camille Hoff, MBA Candidate 2008, Smith Media Group