Category Archives: Natural Economy

how economies can work comfortably within ecologies

The fit with Alexander – and clearer escape from our traps

Our oil addiction, like all addictions, became a physical trap, and shaped our ways of life to fit its temporary needs.

Needing to consume ever more of the remaining affordable oil supplies also has pollution effects that will permanently disrupt the earth’s climate.

We do it to achieve an evidently false image of “economic stability”.

The design of our environment, our spaces and uses, will change adaptively as some parts of what we built find new lasting uses and others don’t.  Christopher Alexander is an architect whose “Pattern Language” explores how the natural processes of reshaping the spaces we live in over time has created urban spaces perfectly fitting their use as a form of natural environmental design.

The patterns of space as an image of their uses

One can discover how we fell into the trap of dependence on an ever growing use of oil with no future.  That won’t quickly change the world we built around it though.  As we respond, the natural forces and our responsive thinking will reshape our space, likely leading us to follow nature’s paths to finding opportunity and harmony. Continue reading The fit with Alexander – and clearer escape from our traps

Simple facts… and hard memes, why greening doesn’t work

Dan Ariely gave a recent talk on some of his new “Predictably Irrational” research. It stimulated my thinking to ask, using his approach, “What beliefs do people not dare check?”.

Oops... my mistake!

The example below suggests that is a problem for the green movement, regarding why it has been ineffective in slowing the growth of economic impacts. Dan replied “force yourself to do a systematic analysis and listen to the analysis”.

That’s good advice, to “listen to the analysis”.  Aren’t we ALWAYS supposed to listen to your own analysis??   There seem to be regularly reoccurring ways in which we don’t, making a big difference in our impacts on the earth. Continue reading Simple facts… and hard memes, why greening doesn’t work

A new idea for Investment in Deep Ecology

Deep ecology is a natural philosophy that recognizes the nature and its parts as living systems that have their own worth, independent of the services they provide for humans. It was named by and perhaps best described in the work of Norwegian philosopher Arne Næss. As a practical approach to life it involves systems thinking, to understand healthy relationships and the roles between parts of living networks.

That’s more like understanding how characters create the themes of a play than “cause and effect”. Since all ecologies develop by building and maintaining their energy using processes there are also observable boundary conditions one can use to help understand the more complex relationships. That traditional paradigm of science would examine living systems as chains of deterministic effects, the way logic and computers work. So those metaphors are less useful even if they are the dominant way of explaining things in our culture.

How money can take care of our world

The idea grew out of conversations with John Fullerton, Hazel Henderson, Leland Lehrman and Kenneth Davies, looking for new ways to define ethical investing that could be defined and implemented as the world searches for what’s wrong with money. At a conference I had asked a question about how investors could avoid the main cause of our pressing environmental impact problems. Continue reading A new idea for Investment in Deep Ecology

The very same script pulled from the drawer

Leland, Thanks for forwarding Christine Harper’s (Bloomberg Jan 31) notes on “The lonliest man in Davos…” reporting from the meeting of the World Economic Forum.

It all sounds like the very same script pulled from the drawer at every stage of history, as the next greater ecological or financial bubble emerges,

people running about madly trying to patch the weak points in the containment,

…hoping against hope that each greater failure isn’t leading to the inevitable for financial systems designed to ‘stabilize’ growing expectations for results from physical systems not providing them.

When I first noticed that problem long ago I quickly narrowed it down to that deep error of intent, and then to how our accounting system keeps records of it on the faint hope that the impossible will someday be fulfilled. It treats the physical world as a “black box” of unknowns, relied on to multiply returns that can’t be confirmed or contested. So I say, why not “look in the box”, see what you really have!  Continue reading The very same script pulled from the drawer

“The big Crunch” natural limits and the food crisis

The published article that followed from this is A decisive moment for Investing in Sustainability, published in New European Economy in Apr 2011.   Back when I saw this particular event emerging I told people “We’ll definitely notice this one”.   There’s much more to come people still don’t expect at all.

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John, your new post on the food crisis, “As Goes Egypt”, is great. To me how to connect economic theory with the natural world starts with learning how to read the behaviors of the system as a whole, looking for things no one has any theory for.

the food crisis from 2010

That includes strains that are not supposed to be there, like hitting the hard global limits of affordable food, fuel and water, etc. My research method basically rests on emerging growth systems being invariably unstudied, because growth indicates nature doing something new. Continue reading “The big Crunch” natural limits and the food crisis

Why finance has a bigger appetite than the earth

New graphics and update for Concept$.htm

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Don't Fit?

The ideal investment …. for people think of investment only for the money is one that assures that putting money in will let you take more out, and let you add that gain to your investments over and over and over. One can only imagine that to be sustainable, though, when considering nature as a concept rather than an environment. Continue reading Why finance has a bigger appetite than the earth

Competing Dashboard Options: Measures for saving the Earth & Economy

Designing a “dashboard” of “Outcomes and Metrics” for guiding worldwide efforts for our pulling back from the brink of of environmental catastrophe, to begin healing our relationship with the earth, is of some considerable importance, and a fascinating task. Below is one email exchange and links.

Applying the transformational vision of Four Years Go a work group developed a draft plan and resources for a comprehensive transformational approach you can find linked to our draft 4YG Dashboard (image below). We wanted to use a wiki to develop key indicators of essential changes in direction, of material, political and spiritual transformation, within 4 years.

Our starting points had been other models, like the Ursula Project’s metrics of sustainability and the European Commission’s MDG Goals Dashboard. We also looked at different PES (Payment for Environmental Services) approaches, and found them objectionable, and CSR (comprehensive sustainability reporting) models, but found them nebulous for our purpose, of defining concrete achievement goals. We ended up having difficulty deciding what to include, not understanding each other’s definitions, and with other 4YG work groups getting more attention.   We seem to have accomplished a lot in terms of the conceptual design, though.

The draft 4YG World Transformational Dashboard

Mark,

You’re right, there still is a need for a more ethical ‘dashboard’ than the approach the financial community seems to be taking with “Payment for Environmental Services” (PES) instruments, and “Sustainable Performance Indicators” seemingly for monetizing all of nature for trading in new commodities markets, like repackaged mortgages are!

The Ursula Project model does show considerable effort in constructing a holistic measurement system.   Their metrics are interesting too.   They seem to rely on consensus value judgments, though, and not to identify physical boundaries or thresholds.

key indicators of essential changes in direction, of material, political and spiritual transformation, within 4 years.    Continue reading Competing Dashboard Options: Measures for saving the Earth & Economy

Why fixing what failed before always led to the next

The journal Nature published an insightful research article on Systemic risk in banking ecosystems that added valuable insight into what went wrong in the 2008 financial collapse. Invited comments on a forum page Financial systems: Ecology and economics added other insights on what did or could go wrong.

My comment pointed out that trying to fix what went wrong in prior financial system failures to prevent the next, is what led to the next not the solution, for a curiously visible reason. A link to Dmitri Orlov’s new video on what happens if these kinds of systemic contradictions are not attended to, and my comment, are below as well.

 

Nature Forum,

The curious omission by Haldane and May, as well as by Johnson and Lux in their critiques, is not considering the place of this financial collapse in history.

This was only the biggest and most recent instance of extreme over-inflated financial expectations collapsing the environment they were part of.

It was just one of a great many self-similar panics and collapses, large and small throughout history.  It’s been an interest of mine for over 30 years. Continue reading Why fixing what failed before always led to the next

A New Year’s wish, for the true celebration

I wish we could talk about it, in the dark somewhere preferably, to avoid being vilified by the bullying that mysteriously appears to enforce the silence,… and prevent our true celebration of life on an interconnected planet…

new year's celebration

There’s a remarkable pattern of historic scientific breakthroughs concerning how we fit into earth’s energy budget, that were deliberately discredited by social attacks. Pejorative gossip has been used to fight otherwise clear and valuable insights, over and over.

It’s useful to look why it is socially unacceptable to see how we fit into earth’s energy budget. It seems to point to exactly what people, mistakenly, think they’re avoiding, and find so objectionable. Continue reading A New Year’s wish, for the true celebration

Complexity too great to follow what’s happening… ??

I’ve been discussing since the 70’d how and why growth creates growing complexity and so growing difficulty of problem solving, as a natural physical limit of growth for systems with physical working parts of any kind.  A a discussion of the signs to look)  It’s both a real concern as a threat to the health of an economic growth system, and good proof that the natural world functions very differently than a conceptual model.  It led to my proposing a whole new set of scientific methods for how science can study natural systems in their own form, as forms of natural organization not concepts.

1970 marked the sudden end of steadily growing  US wages, and the start of ever growing wealth inequity. “Information overload” as a threat to societal resilience was becoming a key topic of discussion as computers emerged as our premiere business tools

Was that how the economy changed behavior, as humans began to be replaced by technology as things got too complex?

Below this discussion of the general problem is the blog comment from 9/3/2012 observing the strangely logical connection of the emergence of computers as a (false) solution for the ever more numbing complexity of our lives.

A follow-up Sept 7 2012 post Computers taking over our jobs and our pay? explores a fairly reasonable cause for the systemic decline in demand for the products people produce, that the computers making them don’t buy them…

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Here’s a graph of the use of the word “complex“, as found in books scanned by Google. It seems to show a distinct end to the long historic growth of interest in complexity, apparently in pace with the increasing complexity of the economy.   The complexity of all our life issues, as well as demands of education, etc. have similarly increased with the growth of the economy, but only up to ~1963.

growing complexity, then shrinking interest

Google’s Ngram tool shows steady exponential growth in the use “complex” beginning in ~1840 and continuing to ~1963, where there’s a distinct growth “inflection point” (curvature reversal) in the trend.  The clear end of increasing use of the word is a little mysterious.

The 1960’s, of course, coincided with the actual time when the complexity of the economy’s environmental conflicts, the emergence of computer use, and the rise of true globalization were noticeably exploding the complexity of things…  That is also directly implied by the continuing explosive growth in real GDP, as shown in the combined graph below.

That divergence between the two trends would seem to imply that a very large gap, between the real complexity of our experience and our cultural awareness of it, began for some reason to grow faster and faster at that time.  It seems to have starting in the early 1960’s and to continue!

Is that really “the mark” of information overload?

The combined data implies a subculture developed increasingly intense awareness of what was going on, as the rest of the culture stopped being able to focus on it. Continue reading Complexity too great to follow what’s happening… ??