Who knew economics could be so tasty?

For anyone curious and/or confused about why the world seems to be creaking at the edges while we’re also being told that everything is fine, you might enjoy Kate Raworth’s work.

The centrepiece is her doughnut: A starting point for an alternative framework for thinking about economics.

I really like it.

At it’s most basic, it sets out what we all know to be true, which is that the long-term viability of human life lies with a lifestyle somewhere between annihilating the planet, and devaluing human life.

Or to frame it in the positive: We need to find a way of living (and systems to support this way of life) that both acknowledges the value of all human life, and sustains all other life on the planet.

Raworth calls these the frames for our life the social foundation (from minimums social standards) and the planetary boundaries (beyond which we unacceptably degrade the planet). She says that:

Between social and planetary boundaries lies an environmentally safe and socially just space in which humanity can thrive.

And the space in between, looks like a doughnut. Check it out.

Tasty.

Money doesn't grow on trees, so someone's got to give

Moving to a more equal system of property ownership is likely to require some financial involvement on a goodwill basis. Setting aside the mystery of why people give their money away to anything, we have to ask...

... is it fair or reasonable to attempt to build an alternative system that requires some form of philanthropy to create?

It's not only fair and reasonable, it's necessary.

We're dealing with fundamentals.

1. There's an issue with the distribution of wealth, especially capital tied up in property.
2. Rebalancing requires shifting the existing wealth.
3. We can't simply create wealth out of nowhere and bring everyone up level. 

If you're not convinced, just take a step back to think about how we got here. In particular, consider the role of property speculation and mortgage interest in shifting the wealth of future and distant people to those with capital.

For an interesting twenty minutes on broken economic systems, watch this video.

It pays to be nice

Although the payments might not affect your bank account.

More than likely however, is that you'll be receiving payment in the form of:

• Friendships
• Connection
• Job security
• A good reputation
• Stable relationships

The traditional economic framework based on the concept of all of us action as rational self-centred actors on a global stage misses this fundamental fact that we all know to be true.

It pays to be nice.