planetary boundaries – P2P Foundation https://blog.p2pfoundation.net Researching, documenting and promoting peer to peer practices Wed, 28 Mar 2018 07:42:09 +0000 en-US hourly 1 https://wordpress.org/?v=5.5.15 62076519 Better Technology Isn’t The Solution To Ecological Collapse https://blog.p2pfoundation.net/better-technology-isnt-the-solution-to-ecological-collapse/2018/04/04 https://blog.p2pfoundation.net/better-technology-isnt-the-solution-to-ecological-collapse/2018/04/04#comments Wed, 04 Apr 2018 08:00:00 +0000 https://blog.p2pfoundation.net/?p=70278 Jason Hickel: It’s hard to ignore the headlines these days, with all their warnings about ecological breakdown. Last year brought troubling news on everything from plastic pollution to soil depletion to the collapse of insect populations. These crises are worsening as our demands on the Earth intensify. Right now, virtually every government in the world is committed to pursuing economic growth:... Continue reading

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Jason Hickel: It’s hard to ignore the headlines these days, with all their warnings about ecological breakdown. Last year brought troubling news on everything from plastic pollution to soil depletion to the collapse of insect populations. These crises are worsening as our demands on the Earth intensify. Right now, virtually every government in the world is committed to pursuing economic growth: ever-expanding levels of extraction and consumption year on year.

And the more we grow, the more we eat away at the web of life on which we all depend.

We have known about this problem for decades now, but we’ve been told not to worry: As technology improves and becomes more efficient, we’ll be able to keep growing the economy while nonetheless reducing our impact on the natural world. The technical term for this is “green growth,” which requires absolute decoupling of GDP from material use. According to the theory, we can speed this process along by incentivizing innovation; if we tax carbon emissions and material extraction, we can spur companies to invest in more efficient tech.

It sounds great, it’s promoted at the highest levels by tech billionaires like Elon Musk and international organizations like the World Bank and the United Nations, and it sits right at the center of big global plans like the Paris Climate Accord and the Sustainable Development Goals. We’re all hanging our collective future on this hope. But is it really possible?

Here’s the magic number: 50 billion tons. That’s how much of the Earth’s materials and life forms we can safely use each year. That includes everything from wood to plastic, fish to livestock, minerals to metals: all the physical stuff that we consume. Right now, we’re using about 80 billion tons each year–way over the limit. So for growth to be green, we need to somehow get back down to 50 billion tons despite expanding the GDP.

When green growth theory was first proposed, there was no evidence on whether it would actually work–it was purely speculative. But over the past few years, three major studies have set out to examine this question. All have arrived at the same rather troubling conclusion: Even under best-case scenario conditions, absolute decoupling of GDP growth from material use is not possible on a global scale.

It was a team of scientists led by Monika Dittrich that first pointed this out. They ran a model showing that under business-as-usual conditions, growth will drive global resource use to a staggering 180 billion tons per year by 2050. At more than three times the safe limit, that means game over for human civilization as we know it.

Then the team ran the model with the optimistic assumption that every nation on Earth immediately adopts best practice in efficiency, with all the best available technology. The results were a bit better: We would end up hitting 93 billion tons per year by 2050. But that’s not absolute decoupling, and it’s a far cry from anything approaching green growth.

A second team of scientists tested the same question again in 2016, and found that even aggressive measures like a carbon price as high as $250 per ton and a doubling of technological efficiency don’t do the trick. If we keep growing the global economy by 3% each year, they found, we’ll still hit about 95 billion tons by 2050. No absolute decoupling. No green growth.

Finally, last year the United Nations itself weighed in on the debate, hoping to settle the matter once and for all. It modelled a carbon price rising to a whopping $573 per ton, added a material extraction tax, and assumed rapid tech innovation spurred by strong government policy. The results? We hit 132 billion tons by 2050–even worse than the two previous studies found. Worse because this time the scientists included the “rebound effect”in their model. As gains in efficiency reduce the cost of commodities, demand for those commodities goes up, cancelling out some of the reductions in material use.

And let’s not forget: All three of these models use radically optimistic assumptions. We’re a long way from even testing a global carbon tax, much less a tax of $573 per ton; and we’re not on track to double our efficiency. In fact, quite the opposite: Right now our efficiency is getting worse, not better.Why the bad news? The main reason is that tech innovation just doesn’t work the way most of us assume. We know that Moore’s law says that chip performance doubles about every two years–but this doesn’t apply to material use. There are physical limits to material efficiency, and once we start to reach them then the scale effect of growth drives material use back up in the long run. For instance you might be able to produce a wooden table more efficiently, but you can’t produce a table out of nothing. In the end you’ll need a minimum amount of wood, and once you reach that limit, then any growth in table production is going to come along with a corresponding growth in wood use.

It would be hard to overstate the impact of these results. Right now, our only plan for dealing with the ecological emergency that’s staring us in the face is to hope that tech innovation and green growth will mitigate the coming disaster. Yes, we’re going to need all the wizardry we can get–but that alone is not going to be enough. The only real option is in fact much simpler and more obvious: We need to start consuming less.

The tricky bit is that our existing economic operating system–capitalism–has a design flaw at its core. It requires that we produce and consume more and more stuff each year. If we don’t, then firms collapse and people lose their jobs and livelihoods. So it’s time to make room for new systems to emerge–systems that don’t require endless exponential growth just to stay afloat. This is where we need to focus our creative energy, rather than clinging to the false hope of “green growth” fantasies.

There are lots of ways to get there. We could start by ditching GDP as an indicator of success in favor of a more balanced measure like the Genuine Progress Indicator, which accounts for negative “externalities” like pollution and material depletion. We could roll out a new money system that doesn’t pump our system full of interest-bearing debt. And we could start thinking about putting caps on material use, so that we never extract more than the Earth can regenerate.

The old generation of innovators believed that tech would allow us to subdue nature and bend it to our will. Our generation is waking up to a more hopeful truth: that our survival depends not on domination, but on harmony.


Jason Hickel is an anthropologist at the University of London who works on international development and global political economy, with an ethnographic focus on southern Africa. He writes for the Guardian and Al Jazeera English. His most recent book, The Divide: Global Inequality from Conquest to Free Markets, is available now.

Photo by eelke dekker

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Can We Trust ‘Green Growth’? DIY Fact Check https://blog.p2pfoundation.net/can-we-trust-green-growth-diy-fact-check/2018/03/28 https://blog.p2pfoundation.net/can-we-trust-green-growth-diy-fact-check/2018/03/28#respond Wed, 28 Mar 2018 07:00:00 +0000 https://blog.p2pfoundation.net/?p=70254 Here’s the magic number: 50 billion tons. That’s how much of the Earth’s materials and life forms we can safely use each year, without destroying the web of life.  That includes everything from wood to plastic, fish to livestock, minerals to metals: all the physical stuff that we consume. Right now, we’re using about 80 billion tons... Continue reading

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Here’s the magic number: 50 billion tons.

That’s how much of the Earth’s materials and life forms we can safely use each year, without destroying the web of life.  That includes everything from wood to plastic, fish to livestock, minerals to metals: all the physical stuff that we consume.

Right now, we’re using about 80 billion tons each year – way over the limit.  So for growth to be green, we need to somehow get back down to 50 billion tons despite expanding GDP.

When green growth theory was first mooted, there was no evidence on whether it would actually work – it was purely speculative.  But over the past few years, three major studies have set out to examine this question.

A team of scientists led by Monika Dittrich ran a model showing that under business-as-usual conditions, growth will drive global resource use to a staggering 180 billion tons per year by 2050.  At well over three times the safe limit, that means game over for human civilization as we know it.

Then the team ran the model with the optimistic assumption that every nation on Earth immediately adopts best practice in efficiency, with all the best available technology.  The results were a bit better: we would end up hitting 93 billion tons per year by 2050. But that’s not absolute decoupling, and it’s a far cry from anything approaching green growth.

A second team of scientists tested the same question again in 2016.  They chose a different approach: they put a price on carbon rising to $250 per ton, and assumed that we double our efficiency with rapid tech innovation.  The results were almost exactly the same. If we keep growing the global economy by 3% each year – which is what the World Bank and IMP say is required to stop this economic house of cards from collapsing  – they found that we’ll still hit about 95 billion tons by 2050. No absolute decoupling. No green growth.

Finally, last year the UN Environment Program itself – one of the main cheerleaders of green growth theory – weighed in on the debate, hoping to settle the matter once and for all.   They modelled a carbon price rising to a whopping $573 per ton, slapped on a material extraction tax, and assumed rapid tech innovation spurred by strong government policy.  The results? We hit 132 billion tons by 2050 – even worse than the two previous studies found. Worse because this time the scientists included the “rebound effect” in their model.  As gains in efficiency reduce the cost of commodities, demand for those commodities goes up, cancelling out some of the reductions in material use.

And let’s not forget: all three of these models use radically optimistic assumptions.  We’re a long way from even testing a global carbon tax, much less a tax of $573 per ton; and we’re not on track to double our efficiency.  In fact, quite the opposite: right now our efficiency is getting worse, not better.

We cannot rely on the myth of ‘green growth’. It’s trustworthy as ‘healthy cigarettes’ or ‘clean coal’.

So it’s time to make room for new systems to emerge – systems that don’t require endless exponential growth just to stay afloat.

There are lots of ways to get there.

We could start by ditching GDP as an indicator of success in favor of a more balanced measure like the Genuine Progress Indicator, which accounts for negative “externalities” like pollution and material depletion.   We could roll out a new money system that doesn’t pump our system full of interest-bearing debt. And we could start thinking about putting caps on material use, so that we never extract more than the Earth can regenerate.

The old generation of innovators believed that tech would allow us to subdue nature and bend it to our will.  Our generation is waking up to a more hopeful truth: that our survival depends not on domination, but on harmony.

More information on post-growth economics

The Post-Growth Institute – https://www.postgrowth.org/post-growth-economics

Culture Hackers towards #PostGrowth: share, remix, create your own content.

Cross-posted from The Rules. 

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Our Economy is a Degenerative System https://blog.p2pfoundation.net/our-economy-is-a-degenerative-system/2018/03/21 https://blog.p2pfoundation.net/our-economy-is-a-degenerative-system/2018/03/21#comments Wed, 21 Mar 2018 09:00:00 +0000 https://blog.p2pfoundation.net/?p=70204 Impacts of resource hungry exploitative economies “What is 120 times the size of London? The answer: the land or ecological footprint required to supply London’s needs.” — Herbert Giradet Our ecological footprint exceeds the Earth’s capacity to regenerate. A number of useful indicators and frameworks have been developed to measure the ecological impact that humanity and its... Continue reading

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Impacts of resource hungry exploitative economies

“What is 120 times the size of London? The answer: the land or ecological footprint required to supply London’s needs.” — Herbert Giradet

Our ecological footprint exceeds the Earth’s capacity to regenerate. A number of useful indicators and frameworks have been developed to measure the ecological impact that humanity and its dominant economic system with its patterns of production, consumption and waste-disposal are having on the planet and its ecosystems. The measure and methodology for ecological footprinting translates the resource use and the generation of waste of a given population (eg: community, city, or nation) into the common denominator of bio-productive land per person, measured in Global Hectares (Gha), that are needed to provide these resources and absorb those wastes.

Much of the educational power of this tool is its capacity to compare between how much bio-productive land exists on the planet with how much bio-productive land would be needed to sustain current levels of consumption. In addition it also helps us to highlight the stark inequalities in ecological impact that exists between different countries.

Source: Global Footprint Network

Ecological Footprinting is basically an accounting tool that compares how much nature we have and how much nature we use. He are currently using about 50% more ecological resources than nature is regenerating naturally every year.

This point of spending more than is coming in every year — or living of the capital rather than the interest — was reached by humanity in the late-1960s. It is called Ecological Overshoot and every year since Earth Overshoot Day — the day when humanity as a whole has already used up the bio-productivity of Earth in that year — is a little earlier. Here is a little video (3:30 min.) to explain the concepts of ecological overshoot and footprint.

Source: Global Footprint Network

The first Earth Overshoot Day (also referred to as Ecological Debt Day) fell on December 31st of 1968 and by the mid-1970s it was already reached at the end of November. Rapidly rising population numbers and rates of material and energy consumption, along with the accelerating erosion of ecosystems everywhere have resulted in the decline of the planet’s annual ‘bioproductivity’ and a reduction in ecosystems services each year since. Thus, the day on which we overstep the limits of Earth’s annual productivity is occurring earlier and earlier. By 1995 it was on October 10th, in 2005 we reached overshoot by September 3rd, in 2013 on August 20th, and in 2015 on August 13th, and by 2017 on August 2nd!

While agricultural inputs (fossil fuel based fertilizers), irrigation and technological advances have artificially raised the bioproductivity of agricultural land, the continued degradation of ecosystems everywhere leads to a drop in planetary bioproductivity every year. At the same time — the number of humans keeps rising, the average — or fair share — of bioproductive global hectares (gha) available per person has dropped from 3.2 to 1.7 gha from the early 1960s to today.

Source: Living Planet Report 2014

The global average ecological footprint per person is 2.7gha and therefore almost 50% more than would be sustainable (WWF, 2014). Averages are deceiving, as you can see in the graphic above, the five countries with the highest demand on the world’s bioproductivity and resources are consuming nearly half, leaving the other half to be shared among the remaining 190+ nations. We live in a world with extreme economic and ecological inequality!

Source: WWF 2016 Living Planet Report

Metaphorically speaking, if we think of global ecosystems as an apple tree, we can say that globally, until the late 1960s, we limited ourselves to harvesting the apple crop. Since 1968, we have started to eat into the wood of the tree, diminishing the crop that the tree is able to yield. In this way, we are eroding the habitats of other species as well as the bequest that we leave to future generations.

Finding an answer to this challenge through a shift away from fossil fuel and materials sources — a strategy that is moving towards the top of the agenda for today’s political and economic elites — will hardly address the core problem. Our numbers and the levels at which we are consuming are eating into the planet’s natural capital.

WWF’s Living Planet Index, that tracks populations of 3,038 vertebrate species — fish, amphibians, reptiles, birds, mammals — from all around the world, has found that the Index has dropped by 52% between 1970 and 2010 (WWF, 2014, p.16). During only 40 years of unbridled consumption and exploitative economics the planet has lost natural capital, bio-diversity and resilience at a catastrophic rate.

Meanwhile, regular reports on fish stocks, the health of soils, rivers and lakes, depletion of aquifers, and rates of deforestation leave us in no doubt that the ecosystems on which we are dependent are under serious stress (see Brown 2008). Lester Brown’s Earth Policy Institute has a data centre that publishes up-to-date research on these developments.

Staying within ‘Planetary Boundaries’

Another way of looking at the ecological impact of our current industrial growth society is the planetary boundaries framework that as first developed by Johann Rockström (video, 4 min.), director of the Stockholm Resilience Centre, and an international group of researchers in 2009 (download paper). It has been revised in 2015 and the graphic above the heading illustrates the levels to which we are already outside ‘humanity’s safe operating space’ on planet Earth.

There are nine planetary boundaries:

  1. Climate change
  2. Change in biosphere integrity (biodiversity loss and species extinction)
  3. Stratospheric ozone depletion
  4. Ocean acidification
  5. Biogeochemical flows (phosphorus and nitrogen cycles)
  6. Land-system change (for example deforestation)
  7. Freshwater use
  8. Atmospheric aerosol loading (microscopic particles in the atmosphere that affect climate and living organisms)
  9. Introduction of novel entities (e.g. organic pollutants, radioactive materials, nanomaterials, and micro-plastics).

Source: Stockholm Resilience Centre (Steffen et al. 2015)

We — as humanity — have already crossed four of these nine boundaries (climate change, loss of biosphere integrity, land systems change, and altered biogeochemical cycles). This transgression is directly linked to the cumulative effects of human activity on the planetary system and many of the processes that lead us to crossing these boundaries are linked to our systems of resource exploitation, production and consumption. To address this issue we need a fundamental redesign of how we think about and do economics on a finite and increasingly fragile planet.

NOTE: this is an (edited) excerpt from the Economic Design Dimension of Gaia Education’s online course in Design for Sustainability. The first version of this dimension was written in 2008 by my friend Jonathan Dawson, now Head of Economics of Transition at Schumacher College. In 2015–2016, I revised the Design for Sustainability course substantially and rewrote this dimension with more up-to-date information and the research that I had done for my book Designing Regenerative Cultures.

The next installment of the Economic Design Dimension starts on March 19th, 2018 and runs for 8 weeks online. You can join the Design for Sustainability course at any point during the year.

Source: Stockholm Resilience Centre on Planetary Boundaries

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Predatory Delay and the Rights of Future Generations https://blog.p2pfoundation.net/predatory-delay-rights-future-generations/2018/02/15 https://blog.p2pfoundation.net/predatory-delay-rights-future-generations/2018/02/15#respond Thu, 15 Feb 2018 08:00:00 +0000 https://blog.p2pfoundation.net/?p=69685 Alex Steffen addresses a crucial issue in the context of the changes and transitioning we need to make our societes and economies environmentally acceptable and compatible with climate change requirements. Sure, we can all see change, but we can also see that the change is not nearly fast enough to avoid clear catastrophes. One of... Continue reading

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Alex Steffen addresses a crucial issue in the context of the changes and transitioning we need to make our societes and economies environmentally acceptable and compatible with climate change requirements. Sure, we can all see change, but we can also see that the change is not nearly fast enough to avoid clear catastrophes. One of the reasons is that stakeholder that could change more radically, are manoeuvering for delays, in order to protect their profits and legacy systems. They are doing this at the cost of the whole ecosystem. Originally published in Medium.

Alex Steffen: We owe the future.

People who will be alive in the future can make ethical claims on us. We have duties to them. They have rights.

Some people seem to have a hard time even understanding the concept of the rights of future generations. The idea that people who do not yet exist have the right to assert their needs in our lives is one that seems to be hard to fully grasp.

Think of this example: If someone sets a bomb to go off in a public square a year from now, is he committing a crime? Should he be stopped? Almost everyone would say yes. Should he be tried before a court of law and prevented from doing further harm? Most of us would agree that he should. What about ten years? What about 100? When does our obligation to avoid serious, predictable harm to others end?

Now, here’s the tricky part: climate emissions (and huge array of other unsustainable practices) are the bomb, and your grandkids and great-grandkids are the victims.

By transgressing planetary boundaries, we are seriously (and in human timescales, permanently) undermining the ability of the planet to provide the kind of climate stability, natural bounty and renewable resources that future generations will need to maintain their own societies. If we continue business as usual, we are in fact dooming millions of them to extreme suffering and early death. Life on a hotter, dangerous and destabilized planet is not something we would wish to have inflicted on ourselves.

We don’t really have the ethical right to inflict it on our descendants. There is no legitimate basis for thinking that we have the right to use the planet up, that the property rights of current generations trump the human rights of the next 100 generations to come.

Put it another way: ethically, with riches come responsibilities. Much of the wealth around us was handed down as a legacy by our ancestors, and we hold the planet itself in trust, as stewards.

As long as we don’t use more of the planet’s bounty than can be sustainably provided in perpetuity, we have the ethical right to enjoy the best lives we can create. But the minute we stray into unsustainable levels of consumption, we’re not in fact spending our own riches, but those of future people, by setting in motion disasters that will greatly diminish their possibilities. Unfortunately, nearly everyone living a middle class or wealthier lifestyle now enriches their lives at the cost of future generations. As Paul Hawken says, “We have an economy where we steal the future, sell it in the present, and call it G.D.P.”

Now, obviously, most of us did not intend to find ourselves in this situation, and so for a couple decades we had a legitimate argument that we needed a reasonable amount of time to change our ecological impact. It’s become clear that many of our leaders’ definition of a reasonable amount of time, though, is for things to change sometime after they’re dead.

This is what I mean when I say that we have a politics of “predatory delay.” Many wealthy people understand that their profits are extracted through destructively unsustainable practices, and they’ve known it for decades. By and large, they no

This allows them to been seen as responsible and caring. They want change, they claim; they just think we need prudent, appropriately paced change, mindful of economic trade-offs and judiciously studied — by which they mean cosmetic change for the foreseeable future. In the meantime, they fight like hell to delay change of any real magnitude, attacking not only the prospects of our kids and kin in the future, but increasingly of our society in the present. Their delay has real, serious human consequences, across generations. They’re taking, not creating; the harm they cause is measurable.

Tim O’Reilly, in 2012, turned this nice phrase: “Policy should protect the future from the past, not the past from the future.” Yet in every country on Earth, policies made at the top are still overwhelmingly designed not to meet our planetary crisis at the scale and speed it demands, but to protect the institutions, companies and systems causing that crisis from disruptive change. This is true at every scale, from large incumbent industries unfairly undermining newer, more sustainable competitors to wealthy NIMBY property owners blocking new housing in cities around the world so that they can benefit from the housing crisis by pushing real estate prices as high as possible before they sell.

The next time you hear a powerful person arguing against needed action in the name of prudence or process or tradition, ask yourself, “Am I hearing the voice of predatory delay?

We owe it to the future to call it what it is.


A very different version of this piece was originally published on September 9th, 2009 at Worldchanging.com. Read the original here.

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Photo by DTRSY

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Doughnut economics: an economic model for the future https://blog.p2pfoundation.net/doughnut-economics-an-economic-model-for-the-future/2018/01/08 https://blog.p2pfoundation.net/doughnut-economics-an-economic-model-for-the-future/2018/01/08#respond Mon, 08 Jan 2018 08:00:00 +0000 https://blog.p2pfoundation.net/?p=69174 The distributive concept of the 21st century is not about redistribution, but about sharing the sources of wealth from the start. An interview with Kate Raworth, by Triodos bank. Kate Raworth recognises that a dramatic new mindset is needed if we’re going to address the economic challenges of the 21st century. Her iconic book, Doughnut... Continue reading

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The distributive concept of the 21st century is not about redistribution, but about sharing the sources of wealth from the start. An interview with Kate Raworth, by Triodos bank.

Kate Raworth recognises that a dramatic new mindset is needed if we’re going to address the economic challenges of the 21st century. Her iconic book, Doughnut Economics: seven ways to think like a 21st-century economist, argues that our economic activity should operate in a space that’s above a social foundation, and below an ecological ceiling. What this means in practice is that essential human rights and quality of life are delivered to everyone, but within the means and resources we have available on the planet. The doughnut of Kate’s analogy is a playful metaphor for a serious and urgent challenge being faced by the world’s population. Triodos Bank caught up with Kate to ask more about her perspective on modern economics, and how we can create a system that works within the limits of her theory.

Sharing instead of redistributing

Your economic model is now six years old. Have we made any progress?

We have. I consider the Sustainable Development Goals (SDG’s) to be an essential step. They are much more ambitious than their predecessors, the Millennium Goals. They compromise the systems that sustain life on earth and are designed for all countries, not just the South. The SDG’s are a positive development, but I think we should be able to break through the ceiling of our imagination. The question is: can we design a system to improve things? That, in my opinion, should be our ambition: to develop activities that are distributive and generative from the start.

What exactly do you mean by ‘distributive by design’?

We usually talk about redistributing the wealth that is initially in the hands of a small group of people. That is the core of the 20th century model: redistribution of income afterwards, through e.g. progressive taxes and other means. This means that certain groups can keep questioning this redistribution over and over again. The distributive concept of the 21st century is about choosing to design our activities in such a way that they share the value from the start, instead of redistributing it afterwards.

Distributive by design starts with the question: who owns the wealth? The 21st century is not about redistribution but about sharing the sources of wealth from the start. And it is not just about the money, but also about land, companies, the ability to create money. What about the ownership of technology, who will own our robots? How do we treat our knowledge? Does it not make sense that innovative ideas originating from publicly funded research should be accessible to everyone?

The core of the challenge, then, is in reinventing the way we create value in our economy and share it from the start. You can do this with alternative forms of ownership of companies, like employee-owned companies or co-operations. Or you could anchor it as a target in the company’s Articles. Another way of integrating the sharing of value in the design is not to freeze them in patents but instead let them circulate freely among the commons. That way they travel through society, research communities can use them and develop them further. Another way still is to work with local currencies that connect and empower new initiatives.

Money with patience

The economy should not just share value. It should also be generative?

Yes. We seem to find it normal that a company focuses on realizing but one kind of value – financial profit – and in addition, keeps it for itself and its shareholder. It is very much the mentality of the 20th century: how much money is in it for me? You could describe it as an extractive economy, as over-exploitation taking away valuable resources from the community.

The 21st century, generative model has a different baseline. The question now is: how many kinds of value can I integrate in my company’s design to make sure that I can give value back to society and the environment? I keep meeting entrepreneurs, designers, urban developers, etc. who adhere to this new mentality with such vigor! As social entrepreneurs they want to create value that flows back to the community, forms of value that are easier to share. As a company, why would you strive to only reducing your negative impact on the environment when you can just as easily generate a positive impact? So instead of reducing emission of greenhouse gases, you start generating renewable energy and you share it with your surroundings. The same goes for the social domain, whereby companies actively contribute to the wellbeing of their neighbourhood or community.

What role do you see for the financial world?

That is the million-dollar question. First, we should investigate how to collect money in a 21st century way. That leads us to ethical banks, money with patience, and at first even philanthropy, to get things going. All of those are important sources for money because their values are in line with those of the companies they are supporting. Within the existing 20th century money industry we could do this through our pension funds. Could we restructure them so that they become value-driven? Can we enable people to change to such ethical pension funds? Besides that, we obviously need clear legislation. But I focus mostly on finding new forms of financing that are suited for 21st century businesses.

And that is where Triodos Bank comes in. The bank pays attention to these new kinds of entrepreneurship that are essential for the future. Triodos consciously uses money to create positive social, ecological and cultural change. It is an excellent example of a company with a lively target, aimed at distributive and generative companies whose values go way beyond the financial profit that stays within the company.

Between the markets and the commons

How would you rate the potential of our digital networks?

We underestimate their power. They enable citizens to get organized on different levels and at minimal costs. Take Wikipedia, the citizens’ encyclopedia. Or Linux, an open source operating system used by organizations all over the globe. These are tools which allow citizens to build their own networks.

At the moment, a few companies hold monopolies, like Facebook and Amazon, but it does not necessarily have to stay that way. People can be active in different networks. We can be on Facebook, but at the same time join local networks and exchange information and knowledge about our city. I foresee a big increase in open-source networks for specific cities and communities. We underestimate what these networks could mean for citizens who want to collaborate and connect.

The new possibilities to work digitally and open source are leading to a whole new generation of innovative entrepreneurs who have begun to operate on the border between the markets and the commons. Your company may be small, but if you share your ideas with the commons, you will have access to a global research team. New business models will see the light. And they are successful precisely because they are open source. We are looking at an immense quest for alternatives, which might explain why my book was so well received. More and more people are looking for an alternative concept of what our economy should look like and which purpose it should serve.


Kate Raworth is a renegade economist focused on exploring the economic mindset needed to address the 21st century’s social and ecological challenges, and is the creator of the Doughnut of social and planetary boundaries. She is a Senior Visiting Research Associate at Oxford University’s Environmental Change Institute, where she teaches on the Masters in Environmental Change and Management. She is also a Senior Associate at the Cambridge Institute for Sustainability Leadership.

Original source: Triodos Bank

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Book of the day: The Safe Operating Space Treaty https://blog.p2pfoundation.net/book-day-safe-operating-space-treaty/2017/03/23 https://blog.p2pfoundation.net/book-day-safe-operating-space-treaty/2017/03/23#respond Thu, 23 Mar 2017 10:03:28 +0000 https://blog.p2pfoundation.net/?p=64451 Full title – The Safe Operating Space Treaty: A New Approach to Managing Our Use of the Earth System Editor(s): Paulo Magalhães, Will Steffen, Klaus Bosselmann, Alexandra Aragão, Viriato Soromenho-Marques Book description from the publisher’s site: It is clear that international law is not yet equipped to handle the “ecological goods and services” that exist... Continue reading

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Full title – The Safe Operating Space Treaty: A New Approach to Managing Our Use of the Earth System

Editor(s): Paulo Magalhães, Will Steffen, Klaus Bosselmann, Alexandra Aragão, Viriato Soromenho-Marques

Book description from the publisher’s site:

It is clear that international law is not yet equipped to handle the “ecological goods and services” that exist simultaneously within and outside of all states. The global commons have always been understood as geographical spaces that exist only outside the political borders of states. A vital good such as a stable climate exists both within and outside all states, and shows traditional legal approaches to be ecological nonsense. With the recent possibility of measuring and monitoring the state and functioning of the Earth System through the Planetary Boundaries framework, it is now possible to define a “Safe Operating Space of Humankind” corresponding to a biogeophysical state of Earth.

In this sense, the Common Home of Humanity is not a planet with 510 million square kilometres, but is a specific favourable state of the Earth System. Recent major scientific advances anticipate a legal paradigm shift that could overcome the disconnection between ecological realities and existing legal frameworks. If we recognize this qualitative and non-geographic space as a Common Natural Intangible Heritage of Humankind, all positive and negative “externalities” end up being included within a new maintenance system of the Common Home.

Extract available in PDF here
Photo by NASA Goddard Photo and Video

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