MEMO TO THE #OCCUPY MOVEMENT (A Post Growth Economy)

Here’s a fact that’s hard for most Americans to swallow: economic growth is over. Given the finite nature of our planet and its resources, the recent trend of global economic expansion was destined to end. No stimulus package or slashing of social programs is going to flip the economy back to an expansionary trajectory. We’ve hit the proverbial wall, and this will be the defining reality of our lives from now on.

The growth-seeking political-economic system has failed us. Today that system is dominated by Wall Street. “Goldman Sachs rules the world,” trader Alessio Rastani told us in a now-viral BBC interview. I met people like Rastani in researching my book, The End of Growth. At one lavish conference, 800 global investors packed a hotel ballroom to consider climate change. There was no talk of how to avert or mitigate floods and droughts. Instead, the discussion focused on profiting from warming with — no joke — weather derivatives. These folks were just doing their job, despite any private feelings of concern, remorse, or dread. And each was getting paid enough to single-handedly fund a midsize school district.

Both Wall Street and Washington are trying to do something impossible: grow human consumption forever in a world of limited energy, minerals, water, topsoil, and biodiversity, all while protecting and expanding the riches of the top one percent. If economic growth is over, that means we can no longer count on a rising tide to lift all boats. Under these conditions, extreme income inequality is not just unfair, it is socially unsustainable.

It’s strategic to bring protest to Wall Street rather than Washington. We must go directly to the crime scene — not with a request for reforms, but with an arrest warrant from the people.

You courageous people in the #occupy movement are absolutely right in saying the system is broken, greedy, and unfair. But when our discussion turns to replacing the current system, we’ve got to embrace a bigger view of reality than the one held by stock traders and politicians. It’s not just our wealth they want to control, it’s our vision for what is both possible and necessary. We need a post-growth economy that works both for people (all of them) and for the rest of nature: a localized economy based on renewable resources harvested at nature’s rates of replenishment, not a fossil-fueled global economy driven by the imperative of ever-higher returns on investment.

There will be life after growth — and it can be a better life if our nation’s priority is the quality of life of our people and the integrity of the biosphere, rather than stock prices and corporate profits.

With support,
Richard Heinberg
Senior Fellow, Post Carbon Institute
www.postcarbon.org

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  • http://criosphynx.blogspot.com/ Crystal

    It frustrates me in so many ways. Part of my frustration is there is so much people can do on their own, with just a bit of land and ingenuity. I’m dabbling in growing my own food, with great success. My nieghbors water their grass, wasteful. I don’t feel we should go back to caves and horses, but we def as a society need to simplify and think about what we NEED

  • Theresa

    I agree Crystal. We can do this and it turns out that it is very enjoyable and meditative. There’s nothing more that I enjoy doing than to spend my whole day outside working in the yard and garden, enjoying the beauty of nature. Once we all gain an appreciation of this, maybe we will begin to learn how to care for the land.

  • http://www.occupyboise.org Kelly Schutt

    Richard,

    Have you considered the role of the monetary system in a post-growth economy? Positive interest rates demand economic growth. All money is created as debt with exponentially compounding interest, and you can’t get a business loan unless you can make a good case for providing return on investment. Fiduciary duty is a reflection of this fundamental economic reality. Modern monetary theory and negative interest rates offer sustainable alternatives.

    Fellow Occupiers here in Boise have read your books. Keep up the great work!