The Value Revolution in Economics Wealth, Indicators & Accounting.

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The Value Revolution in Economics Wealth, Indicators & Accounting.

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Presentation transcript:

The Value Revolution in Economics Wealth, Indicators & Accounting

Redefining Wealth Quantitative: Money & Material Accumulation Qualitative: Well-being Regeneration

Industrialism River Economy: Linear Flows Divided Economy: Production / Consumption Formal / Informal Workplace / Home Resource-intensive / people displacing/deskilling Concentrated production / energy forms

Green / Postindustrial Lake Economy: --cycling / waste-as-food / biomimicry Integration of production & consumption --home / workplace People-intensive / Knowledge-culture-based --resource-displacing Decentralized / distributed

Historical Trends Dematerialization Detoxification (& decarbonization) Decentralization

Waste, Demand & Artificial Scarcity Permanent War Economy The Suburb Economy: Oil / Autos / Subdivisions

Indicators [If it is to be achieved, the new economic system] will result from our becoming better ecological accountants at the community level. If we must as a future necessity recycle essentially all materials and run on sunlight, then our future will depend on accounting as the most important and interesting discipline. Wes Jackson, Becoming Native to This Place

Indicators & real wealth Qualitative Wealth is far more complex: requires more quantification Qualitative Wealth is place-based or specific to circumstances Qualitative Wealth is needs-based, requiring examination of consumption.

Genuine Wealth Assessment Life-cycle

Business Applications Internal accounts Natural Step, ISO 14000, Eco-footprint, Sustainability Reporting Government Regulation Alternative Industry Standards --LEED green bldg.; FSC wood ; B Corporation ; Innovative Business Models: -- B Corporation -- McDonough/Braungart Protocol --Local Food Plus

Business Applications -II Builds external costs into firm decisions Essential to Triple Bottom Line SBLS: can be translated into financial bottom line Crucial to Stakeholder relationships Made easier by network support: --market transformation

LCA and Product life-cycles: Environmental Lock-in over a Products Development Cycle