Is Free Market Capitalism inherently wasteful and unable to adapt to environmental change?

[JS57]

Free Market Capitalism seems to be a "slash and burn" model, great at opening out new resources and exploiting natural resources and working people. However, as resources diminish - it's not just oil, metals, water and biological resources are going, it doesn't seem able to adapt. The old habit of pushing consumers into buying stuff they don't need (or at the start want) to fabulously enrich the few, seems to be inbuilt.

Will we have to adapt the limited market approach of the Scandinavian countries, (which have some of the best standards of living in the world) in order to survive?