Anda di halaman 1dari 44

DeepEconomy

byBillMcKibben

Deep Economy by Bill McKibben

07/12/15

Source: Deep
Economy web site
Professor Wayne Hayes

Purpose
Theintentofthispresentationis
toguidethestudentthrough
DeepEconomybyBillMcKibben.
Theauthorbringsasubtledesigntothebook.
Trytograsphismessages.
Hestartswithavigorouscritiqueofeconomicgrowth
andmovestolocalismandcivilsocietyorganizations
asanalternativetoeconomicglobalization.
07/12/15

Professor Wayne Hayes

These themes
build an eco-economy.
1. Questioning growth derived from exports
2. Development > growth: Do better with less.
3. Promoting local economies around diversity and
within Nature.

07/12/15

Professor Wayne Hayes

Notice the Anthropocene and the Age


of Accelertion.
Chapter 1, After Growth, begins with the steam
engine and the invention of the idea of economic
growth in the late 18th century, which we know as
the Anthropocene.
McKibben introduces the equivalent of the Age of
Acceleration after World War II on page 7.

07/12/15

Professor Wayne Hayes

TINA and its antidotes soon follow.


There is No Alternative (or TINA) was the
prevailing empire of the mind (p. 9, 10). The
response cited included Limits to Growth and
Small is Beautiful.
McKibben summarizes his response on pages
11 and 12. Also see pages 35, 38, and 41.
We will discuss in class.

07/12/15

Professor Wayne Hayes

Not everyone is happy


with the economy.

07/12/15

Professor Wayne Hayes

Not everybody approves of


capitalism, either.

07/12/15

Hayes Economist, 4/7/2011


Source: CapitalismsProfessor
Waning Wayne
Popularity,

Nor is everyone optimistic


about their future.

Pew Research Global Attitudes Project, October 9, 2014


07/12/15

Professor Wayne Hayes

McKibben offers a short course in


ecological economics.
McKibben assails the macro-economics of
growth. Dont confuse Gross Domestic Product
with well-being.
He notes the side-effects not counted in market
transactions, the externalities.

07/12/15

Professor Wayne Hayes

10

Context:CosmopolitanLocalism
TothinkofBillMcKibbenasparochialbecauseheeatslocally,asin
chaptertwo,wouldmisshispoint.HestartsinVermont,butendsup
inAfghanistan,Bangladesh,India,andChina.Hegoesglobalwiththe
simplelessonsoflocaleconomies.Hebringstolifemanyofthe
themesthatcombineecology,economics,community,andethics.
Thatiswhatyoushouldtakeawayhere.
RememberthequotefromWendellBerrythatexplainedthatthework
ofsustainabilityissmallandhumble.McKibbendemonstratesthat
pointanddedicatesthisunpretentiousbooktohisfriend,Wendell
Berry.
McKibbenclaimsthatcommunityandlocalizationprovidethe
antidotetoeconomicgrowthbasedonglobalization.
07/12/15

Professor Wayne Hayes

11

ContextofDeepEconomy
1. Questioningthesystemicimperativetogrowthisfundamentalto
WorldSustainability.Wehavequestionedeconomicgrowthand
identifiedmuchoftheglobalcrisisonthedynamicsofgrowth.
TheLimitstoGrowthimplicitlyprovidesanunderlying
alternativeparadigm.
2. MoreisnotalwaysBetter,apivotbasictoDeepEconomy.We
mustdistinguishbetweenqualitativedevelopmentandphysical
growth,abasictenetoftheeconomicsunderlyingsustainability.
3. McKibbenwillartfullyconnecttheglobalwiththelocalandthe
GlobalNorthwiththeGlobalSouth.Hewillarguestronglyfor
decentralizedeconomicactivitywithinadurableeconomy.
McKibbendoesnotusetheterm,butthisisallaboutworld
sustainability.
07/12/15

Professor Wayne Hayes

12

EconomicAlchemy
"Howcantheeconomybeharnessedtoservesustainability?What
makesthisquestionsoironicisthatthegrowthinthephysicalscale
oftheeconomyundertheprevailingregimeofeconomic
globalizationhasdepletedresources,destroyedecosystems,
overwhelmednaturalwastedisposalsinks,wagedwaronsubsistence
cultures,andproducedshockingmaldistributionofwealthand
income.How,then,cantheeconomybeturnedaroundtoreinforce
sustainabledevelopmentratherthantodestroyecosystems,resource
endowments,andindigenouscultures?Thisalchemymustbe
resolvedtopromotesustainability."

07/12/15

Professor Wayne Hayes

13

EconomicAlchemy(continued)
McKibbencontributestowardthatalchemy.Hechallengeshead
ontheconsensusaroundandtheideologyofeconomicgrowth,the
mantraofeconomicglobalization.Hechartsanotherpath,onebased
onlocaleconomiesandcommunity.
Onlybygettingthroughthebooktoitsconclusionscanthereader
appreciatethevisionandthedeeperanalysisthatlieshiddenby
McKibbeninthisengagingbook.
Keepanopenmindandmakethevitalconnections.

Questioninggrowth
McKibbenoffersthreeobjectionstothestandardeconomistic
treatmentofgrowth,allofwhichshouldbefamiliartoyou:
1. Theallegedgainsofgrowth(totheextentthattheyreallyexist)
notonlygototheelitesbutfailtobenefitthemajority.Thisraises
questionsofinequalityandofinsecurity.
2. Theecologicallimitstogrowtharemounting:resourcesare
beingdepleted,sinksareoverwhelmed(e.g.,CO2),andcarrying
capacityexceeded.Thisdefinestheconditionofovershoot.
3. Significantly,economicwealthdoesnotproducehappinessor
fulfillmentgrowthisoverratedonitsownterms:"growthisno
longermakingushappy"(1).ThisassertionisbasictoDeep
Economyandshouldbeessentialtowhatyoutakeawayfromthis
book.
07/12/15

Professor Wayne Hayes

15

ThemesinDeepEconomy
Notesomeofthecontrastsimpliedinthebook:
Fromglobalizationtolocalization(butwithmarkets)
Frommasssociety,massproduction,massconsumptiontolocal
communitieswithinbioregionsatanappropriatescale
Fromhyperindividualismtocosmopolitancivicengagement
Fromexclusiveemphasisonprivatepropertytowhatisshared,
thecommons
Frompoliticalexclusivitytoinclusivityarounddirectdemocracy,
suchastownmeetings
Fromhighlevelsofexternalitiestolowsocialcoststhrough
communityinvolvementthatnegotiatesbigdecisions
Fromexportmaximizationtoadiverselocalandregional
economythatdirectlyservesthelocalpopulation.
07/12/15

Professor Wayne Hayes

17

ListentoBillMcKibben

07/12/15

Professor Wayne Hayes

18

Discuss:
ThelessonsfromDeepEconomycanbeliberating.McKibben
observesthat"greaterwealthnolongermakesushappier"(2).
Youcanleadasatisfyingandmeaningfullifewithoutcovetingriches.
Youcanlivewellandleadalifeofconsequence.
Thisessentialinsightopensupopportunitiesandpossibilities.
Askyourself:Howdoesthisinsightaffectme?
Letspausetotalkaboutthisinsight.

07/12/15

Professor Wayne Hayes

19

Ch.1:AfterGrowth:mainpoints
1. Growthisahistoricalinventionmadepossiblebycoalandother
fossilfuelsthatweassociatewiththeIndustrialRevolution.We
knowthisastheAnthropocene.GrowthisenshrinedintheWest,
particularlytheUSA.(Actuallyitisthelaw:TheEmploymentAct
of1945nodepressions,please.Theprincipleofeconomic
globalizationwasembeddedintheBrettonWoodsagreement.)
2. Readcarefullytheempiricalcasemadeonpages11and12.
3. Contrastthepositionsofthesetwoeconomists,LarrySummers
(26)andBobCostanza(27),onhowtounderstandgrowth.
4. McKibbengoesinternationalinmakinghiscase,pp.3442.

07/12/15

Professor Wayne Hayes

20

Ch.2:TheYearofEatingLocally
BillMcKibbentellshisstoryofeatinglocalproduceforayearinhis
homestate,Vermont.Alongtheway,hecritiquesthefoodand
agricultureindustries.Helearnsmuchfromtheexperience.
Hemakesasubtlepoint:You,too,canchangeyourlifeforthebetter
byproducingsomeofyourownfood,eatinglocally,andeating
smart.MakessensefortheGardenState.Thinkaboutit.
McKibbenmakesfoodthebasisofrebuildingtheeconomyandthe
culturearoundlocalism.Heenrichesoursenseofplace.
Giveattentiontohisconclusion,p.94.
07/12/15

Professor Wayne Hayes

21

Images of the Intervale CSA,


Burlington, VT

07/12/15

Professor Wayne Hayes

22

Intervale, CSA

07/12/15

Professor Wayne Hayes

23

Calkin family farm

07/12/15

Professor Wayne Hayes

24

Food Day

07/12/15

Professor Wayne Hayes

25

Community Supported Agriculture

07/12/15

Professor Wayne Hayes

26

Food Depot at Intervale CSA

07/12/15

Professor Wayne Hayes

27

Inside Food Depot

07/12/15

Professor Wayne Hayes

28

The economic model:

07/12/15

Professor Wayne Hayes

29

Ch.3:AllforOne,orOneforAll
AgainspeakingasaVermonter,McKibbencritiquestheerosionof
thevaluedanduniquecharacteroflocalculture.Thiscontrastswith
hisstoryoneatinglocally.
Heoffersdatatomakethecaseofthefragmentationandthe
dysfunctionalityofhyperindividualism,pp.101104.
McKibbensmessageissimplyoneofcaringandsharingaround
community.Thisisbasictopromotingsustainabilityfromthe
groundup,fromlocalroots.

07/12/15

Professor Wayne Hayes

30

Theremedy:community,convivialityand
companionship
Contrastthefarmers'marketorCommunitySupportedAgriculture
(CSA)forcommunitybuilding.McKibbenurgesthatweturntothe
localforarichercommunitylifeandculturethatcomplement
nurturingthelocaleconomy.
Toomuchstuffandnotenoughcompanionship,saysMcKibben.Shift
theemphasisfrombeingaconsumertobeingacitizen.Participate.
Leadanactive,engagedlife.Thisisbestdonewhereyouliveand
work.Connect.Starttoday.
McKibbenbasesthischapterontheworkofRichardLayard,an
economist,andhisresearchinhisbook,Happiness.Seepages108
112.
07/12/15

Professor Wayne Hayes

31

Ch.4:TheWealthofCommunities
McKibbenusestheexamplesofClearChannelandWalmartto
illustratehowcommunitiesareeclipsed,withtangiblelossesthatare
noteasytoquantify.
Hisremedy,again,istherestorationofcommunitythroughre
buildinglocaleconomicactivitiesandinstitutions.Hespeaksagainas
aloyalandpatrioticVermonter.
HecitestheNewEnglandtownmeetingandtheintermediatelevelof
scalebetweentheindividualandthecommunity.Scaleandlocalism
resonatethroughoutthischapter.

07/12/15

Professor Wayne Hayes

32

Ch.5:DurableFuture

McKibbengoescosmopolitanhere,takingusallthewayfrom
VermonttoChina.(Whatheseesisconsistentwithandoften
informedbyLesterBrown.)Somepointstoconsider:
1. Everyyear,30millionpeopleleavetheruralareasandmigrateto
overcrowdedcities.
2. Waterhasbecomethelimitofthecarryingcapacitytosupport
growth.Soilis,aswell.
3. Everyyear,Chinaaddstheequivalentofthepopulationof
Californiatoitsenergygeneratingcapacitymostlybyburning
coal.(Wewillseelaterinourcoursethatthisischanging.
4. Chinadevotes10%ofGDPtodealwiththeenvironmentalside
effectsofeconomicgrowthandtopublichealth.
5. Since2005,Chinahasbeenanetimporterofgrain.
McKibbenasksonpage187:"howonearthdoyougrowattherate
theChinesearegrowinganddon'tcollapse?"
07/12/15
Professor Wayne Hayes
33

Dasgupta:WealthasLiquidation
McKibbenquotesfromtheresearchofSirParthaDasgupta,a
UniversityofCambridgeeconomist,thatwealthindeveloping
countriesactuallydeclineswitheconomicgrowththroughoutthe
world,page190.Chinaistheonlyexception.Dasgupta'sresearch
goesfrom19651993,capturingtheheydayoftheeconomicgrowth
oftheWashingtonConsensus.
Thisdramaticpointillustratesthefailureoftheorthodoxeconomistic
growthmodel.
Ofcourse,inequalityincreasessharplywitheconomicgrowth,p195.

07/12/15

Professor Wayne Hayes

34

Othercases
McKibbenquicklyreviewsothercasesinwhicheconomic
globalizationbackfires:
Mexico:corn;
Uganda:coffee;
Iraq:seeds.

07/12/15

Professor Wayne Hayes

35

DeepEconomyisLocallyRooted
McKibbendrawsagainonhisexperienceasacitizenoftheworld.
HiscasestudyofsuccessisfoundintheNayakrishiAndolan(New
Farming)movementinGorasin,Bangladesh.
Hisreport,pages200206,culminateswithatellingexampleoflocal
knowledgeusedtoincreaseproductivitywithecoecologicalmeans.
TechnicallythiscommunitybasedsubsistenceprojectreducesGDP,
sincethefoodandrestorationisnotproducedforthemarket.(No
wonderit'scalledgrosseconomicproduct!)

07/12/15

Professor Wayne Hayes

36

China:HeiferInternational
McKibbenprovidesanothersuccessstory,pages207210.This
comesfromSichuanprovinceinChina,wheretheNGOHeifer
Internationaldonatedrabbitsandtechnicaladvice.Theresultsare
stunning.Histakeawaylesson:
"It'sthattherearewaystomakeworkableeconomiesoutofalmost
anything,ifyouthinksmallandworkthroughcommunities"(207).
McKibbencallsthis"thekeytaskofourtime"(210).

07/12/15

Professor Wayne Hayes

37

FutureGenerations

McKibben'snextcaseisFutureGenerationsanditsdevelopment
expert,DanielTaylor,fromWestVirginia.Tayloradvocatesnot
investingmoney,butmobilizingandinvestingavailablehumantime
andenergythroughacommunitydesignedworkplan.

Thecasestudy,pages211216,occursinAfghanistan,certainlya
contestedandgeopoliticallysignificantcountry,andinHimalya,
India.

HefollowsupwithKerala,India,pages218221.

McKibbenconcludeswithacontrastoftheeconomicmodelofthe
USAversusthatofEurope,oneworthyofsomeconsideration,
especiallyaswestrugglethroughourepicrecessiontoday.
07/12/15

Professor Wayne Hayes

38

Happiness Index

07/12/15

Professor Wayne Hayes

39

Afterword
Theconcludingchapterbeginswithsomeofthethemesfoundearlier
inourcourseinBrown,PlanB4.0:
1. Peakoil;
2. Globalwarming:McKibben'searlierDeathofNaturewasa
harbinger;

07/12/15

Professor Wayne Hayes

40

Conclusion
Thebookmodestlyendswiththeessentialalchemy,theinversion
withintheeconomy:
"Localeconomiescanplayanimportantroleinreducingthese(peak
oilandglobalwarming)problems."
McKibbentellsusthatthepathtoadurableeconomycanbesweet
andaddjoyandfulfillmenttoourlives.Itthreatensandriskslittle.
Hehasaddressedthesystemicfaultsofeconomicgrowth:ecocide,
inequalityandinsecurity,andunhappiness.Smallwonderwhyhe
dedicatesthisinsightfullittlebooktoWendellBerry.

07/12/15

Professor Wayne Hayes

41

What makes you happy?

07/12/15

Professor Wayne Hayes

42

Maslows hierarchy of needs:

07/12/15

Professor Wayne Hayes

43

Sowhatdoyouthink?
DoesMcKibbenworkforyou?
WhatdidyougetfromDeepEconomy?

07/12/15

Professor Wayne Hayes

44