Rebuilding The Economic Model

It is obvious that with the world economy collapsing again amongst the worldwide shut down due to the COVID-19 virus, on top of surviving a lingering depression since 2008, that the current economic model is failing to provide a comfortable sustainable lifestyle for most. The current volatile economic model is based on continued growth and gains emphasizing the creation of new jobs and capital without regard to fair salaries, and job quality and sustainability. Now is the time to rebuild it with a new more Sustainable Circular Local Economy.

A European concept of a Circular Economy has begun a worldwide movement to redefine economic growth and focus on positive society-wide benefits. There would be a network of local green companies that would produce goods to meet local needs with supplies and materials mostly bought from local companies. The locally eco-friendly produced products would durable and have a Cradle-to-Cradle lifecycle.

A total restructuring of our economic system is needed where Small and Medium Businesses (SMB) work together, along with large corporations, with each other without destructive competition. The government should be providing the support to create the infrastructure for the production of locally produced eco-friendly products for local consumption using Barcelona’s local economic development plan as a guide to what should be done.  

The pandemic continues to strain our economy with governments providing financial aid to prevent the collapse of the economy through this global commerce shutdown. Keeping SMBs alive after the pandemic is going to be even a larger challenge. Investment in reviving the economy should include the development of Local Sustainable Economies. Sustainable local commerce will keep the local economy stable even during a global economic downturn.  

For example, the oil and gas industry could limit production and retrain workers in other fields related to the industry. Crude would be sold not at current market value, but with a small profit above the cost to extract it. The retrained workforce would purchase it at a fair price and either refine it for local consumption or produce locally sold products. No matter how crude fluctuates, it will not affect us.    

The economy will recover eventually, however, with the current non-sustainable capitalist business model it is bound to crash again. It is time to fix the system instead of constantly patching it up in times of crisis. Make the M.A.D. Move and help redevelop our economic system towards a more sustainable circular one.