In all such changes energy is dissipated. What exactly does this mean? It means that, generally speaking, the potential energy of chemical compounds tends to transform into kinetic energy; while differences in the intensity factor of the kinetic energy of the bodies forming a system tend to become minimal. In a mixture of oxygen and hydrogen there is energy of two kinds, (1) potential energy due to the position of the molecules (O and H molecules are separated); and (2) kinetic energy of the molecules (which are moving about in the masses of gas). After the explosion the potential energy acquired in the separation of the molecules of O and H has disappeared (the molecules having combined to form water), but the kinetic energy has greatly increased, since the explosion results in the formation of steam at high temperature. But now this steam radiates off heat to adjacent bodies, or becomes cooled by direct contact with the envelope which contains it. The energy of the explosion is therefore distributed to the adjoining bodies, and the temperature of the latter becomes raised. But these again radiate and conduct heat to other bodies, and in this way the heat generated becomes indefinitely diffused. The general effect of all physico-chemical changes is therefore the generation of heat, and then this heat tends to distribute itself throughout the whole system of bodies in which the physico-chemical changes occur. The energy passes into the state of kinetic energy, that is, the motion of the molecules of the bodies to which the heat is communicated. This molecular motion is least in solids, greater in liquids, and greatest in gases. If solids, liquids, and gases are in contact, forming complex systems, the kinetic energy of their molecules becomes distributed in definite ways, depending on the constants of the systems. After this redistribution the kinetic energy of these molecules is unavailable for further energy transformations, so that phenomena or change in the system ceases. There is no longer effective physical diversity among the parts of the system. We find that this conception of dissipation of energy cannot be applied to the organism, at least not with the generality in which it applies to physical systems. Why? Not because the conception is unsound, or because the physico-chemical reactions that occur in material of the organism are of a different order from those that occur in inorganic systems--they are of the same order. The second law of energetics is subject to limitations, and it is because it is applied to organic happenings without regard to these limitations that it does not describe the activities of the organism as well as it describes those of inorganic nature.