SSE

Ecological tax reform (Daly)

"Tax bads, not goods." Shifting taxes off of labor, capital, and exchange, and onto the entropic throughput of resources extracted from nature (depletion), through the economy, and back to nature (pollution). Would internalize environmental externalities and price the scarce, but previously unpriced, contribution of nature.

What is the expected population in 2050

- By 2050 the global population is expected to reach 9.5 billion with 3 billion people expected to join the middle class (FAO, 2009). Our finite planet cannot physically or biologically sustain current patterns of linear consumption.

How much of what we make is discarded after one use?

80% of what we produce is discarded after one single use (Potočnik, 2011).

Daly, 1991 definiton

A SSE is maintained at some desired, sufficient level by low rates of maintenance

Efficient allocation of resources

Allocation of resources in such a way that it is possible to increase the production of one good only by decreasing the production of another. Neoclassical economics is based on market forces of marginal utility. It is essential to first achieve a sustainable scale and just distribution.

Capitalism

An economic system based on private ownership of capital. Capitalist system places great importance on accumulation of profit and growth it is argued that a steady-state economy would require institutional change.

Circular Economy

An economy model in which resources remain in use for as long as possible, from which maximum value is extracted while in use, and the products and materials are recovered and regenerated at the end of the product life cycle.

Example of ecological tax reform

Germany taxed uses of fossil fuels (UN, 1999)

"No economic growth will lead to unemployment and poverty"

In current system growth is a necessity to keep up with increases in labour productivity, but if negative growth occurs then there is a rise in unemployment and recession currently structured for growth. eliminates turbulent boom/bust cycles

Conclusions

J.S.Mill argument of equilibrium. Neoclassical driven by consumerism. SSE values resources. stabilising pop working week - 21 hour week gradual transition circular economy more--- enough

Change in work day length.

NZ 24% increase in work life balance (Lufkin, 2018)

What is the current system?

Neoclassical economics is an approach to economics that relates supply and demand to an individual's rationality and his ability to maximize utility or profit (Kenton, 2018).

Stabilized Population

Populations that hover around carrying capacity. With increasing population there is increasing consumption of resources. Currently in the UK has a bio-capacity of 1.34 ha per person, but each citizen takes 4.71 Ha per person, creating an ecological debt (Williams, 2013).

J. S.Mill 1848

Reduction in economic growth as not seen as a long term sustainable option was first suggested by

steady state Manchester

Steady State Manchester was set up in June 2012, ecologically safe economy that delivers the kind of 'frugal prosperity' implied by the ecological emergency we are living in (Williams, 2013)

How much of the global bio-capacity are we using?

We are currently using ~30% more bio capacity than the global ecosystem can sustainably support (Reid et al, 2005; WWF, 2008)

Just Distribution

a distribution of goods and services that is considered fair and equitable. sufficiency over efficiency. steady-state economy concentrates on qualitative development and increasing genuine prosperity. Just distribution would mean greater equality and a happier society.

Localization

increased jobs security and resilience. less susceptible to outside disruptions IE recession prosperity generated locally.

problem with global free market capitalism?

linear economic model drive the dramatic degradation of the planets resources and vital ecosystem services.

What does the use do

lowest amount of matter and energy is required and shift to a natural economic equilibrium not growth.

Sustainable scale

using resources at a renewable rate in order to ensure the continuation of future generations.

CASSE definiton

stable or mildly fluctuating size. To be sustainable, a steady state economy may not exceed ecological limits." - Center for the Advancement of the Steady State (CASSE)

entrenched neoclassical system

economy was part of the ecostemt rather than the ecosystem a part of the economy diagram