By Peter G Brown
Our present financial system is unsustainable. Its basic elementsunlimited progress and never-ending wealth accumulationfly within the face of the truth that the Earths assets are truly finite. The damaging results of this denial of truth are wreaking havoc on our ecological and social structures. yet what's the substitute? we have to transcend easily solving difficulties as they come up, or maybe as we count on them, and provide a finished new financial version. it's a ethical relevant.
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Additional resources for Right Relationship: Building a Whole Earth Economy
What's the Economy For? 27 During the course of that century, the economy broke away more and more from its ties to communities, the local environment, and the social order. Land ownership became a more powerful basis for asserting economic might, industry and manufacturing began to take off as a result of technical innovation, a larger and increasingly wealthy elite started accumulating enormous financial power, and long-distance trade expanded significantly. Although banks have existed for thousands of years, the era of modern banking began only in the late eighteenth century.
It receives a continuous flow of energy from outside the system in the form of sunlight, and it 12 Right Relationship radiates roughly the same amount of heat back into space. This flow of heat from the sun is a key factor in making life on the earth not only possible, but abundant. The energy from past sunlight is stored in coal, oil, and natural gas. These are called stocks. 7 Both stocks and flows of sunlight are finite, and this inescapable fact places limits on the earth’s life-support capacity.
Introduction 11 Question #2: How does the economy work? The prevailing way of thinking about how the economy works is to imagine that the economy is the box in which social interactions, ecosystems, and their resources are contained. The current economic order has a wrong relationship with how the real economy of this planet works. First, it assumes that the earth is subsidiary to the economy. Second, it mistakes a measure of wealth—money— for wealth itself. Third, it does not know how to think intelligently about the by-products of economic activity that are not the desired outputs—what we typically call waste.