I disagree that the only pathway is A or B. We can minimize resource depletion by building better infrastructure, consumer products and change the culture around consumption. People would be happier, healthier and might have to give up some comforts for more fulfilling lives. This might introduce some inefficiency in the economy but our current countries are already terribly inefficient from diversity, giant bureaucracies and predatory capitalism.

It is a false dilemma that we must allow every technological advancement to exist unrestricted. We can allow technology to advance unimpeded if it is in the national interest like AI and weapons technology while restricting or outright banning technology that harms the people. Banning high fructose corn syrup and multinational social media platforms can be done without banning the use of industrialized farming and fiber optic internet. In a ideal nationalist state, the leaders would manage the complexity of the state and control the adoption of new technology and restrict technology that is harming the people in the present or will in the future. They are still competitive in trade but there are strong families, vibrant culture, etc. The liberal fait accompli mentality needs to end, you can always steer the ship in any direction if people are determined and persevere.