Category Archives: Local

Does the Church Need to Build Alternative Economies?

Excellent and challenging article that questions our assumptions about economics in the church while also offering some alternatives that we can begin to live out in our churches and communities. I’m proud to say that our community (though imperfectly) is already practicing these alternatives. I would add the sharing economy to the list of alternatives.

stewardship-1-225x300With the most recent down­turn in the US econ­omy, a veneer has been ripped away from the illu­sion that cap­i­tal­ism has a moral cen­ter. Ardent activists who had pre­vi­ously looked toward reform­ing capitalism’s abuses have awak­ened from a stu­por and are now peek­ing into the system’s unequal profit mech­a­nisms. It will take sig­nif­i­cant denial to con­tinue to affirm the moral­ity of our cur­rent system.

via Does the Church Need to Build Alternative Economies? | Unbound.

Welcome to Commonomics

This is a really great and in-depth article on some ideas for a new economics and stronger local economies.

Commonomics will focus on the gatherers, those who are working to foster economic growth from within. We’ll be asking what’s working, what isn’t, and by what standard are our local economies to be judged?

“The goal is having community-led, community-controlled economies where the decision-making is by those who are feeling the effects of the decisions that are made. [We need] humanly scaled systems both in economics and politics.”

“You need to think regionally. What does your region support ecologically and where are the markets? The hyper-local focus, within five or 100 miles is foolish. Most goods travel 2,000 miles. If you can build something [to substitute] within 500 miles you’ve made a major impact.”

Here’s an infographic on How Local Dollars Stay Put.

And another on how local businesses strengthen local economies.

via Welcome to Commonomics: How to Build Local Economies Strong Enough for Everyone by Laura Flanders — YES! Magazine.

The solution to America’s food waste problem: Feed people

Hamilton and Morgan belong to a new food recovery organization called Gather Baltimore. Every week — under the direction of the energetic, foul-mouthed Morgan — volunteers collect some 15 tons of fresh produce that would otherwise end up in the compost, or more likely, the landfill. Then they give it away to people who need it. Hamilton, a development director who volunteers with the organization, articulates it thus: “The thing I love is it’s such a simple idea. It’s one of those ideas that when you see it, you think, How is this not happening already? How did we miss it?”

http://grist.org/food/the-solution-to-americas-food-waste-problem-feed-people/

Toward A Living Economy: Managed Boundaries

This is a continuation of a series exploring some ideas about what a living economy based on the rules of nature might look like. David Korten points to three rules or principles from nature that would shape such an economy: 1) Cooperative Self-Organization, 2) Self-Reliant Local Adaptation and 3) Managed Boundaries. This post will consider the third.

The third rule is “Managed Boundaries”which recognizes the exchanges at work in the interdependence of a healthy ecosystem.

Because of the way life manages energy, each living entity must maintain an active flow of energy within itself and in continuous exchange with its neighbors. Life requires permeable managed membranes at every level of organization—the cell, the organ, the multi-celled organism, and the multi-species ecosystem—to manage these flows and as a defense against parasitic predators. If the membrane of the cell or organism is breached, the continuously flowing embodied energy that sustains its living internal structures dissipates into the surrounding environment, and it dies. It also dies, however, if the membrane becomes impermeable, thus isolating the entity and cutting off its needed energy exchange with its neighbors. Managed boundaries are not only essential to life’s good health; they are essential to its very existence.

This is exactly what the current economic system cannot account for, energy flows. We can’t see what resources are flowing out of our bioregion and into others and likewise we don’t see the flows from other bioregions into our own in the form of food, products, labor, etc. The current system masks these flows with layers of trade, corporate entities, regulation, nation-states and various governing authorities. You can look at most products and find a “Made in…” label, but how much does that really tell you?

Reorganizing our human economies to function as locally self-reliant subsystems of our local ecosystems will require segmenting the borderless global economy into a planetary system of interlinked self-reliant regional economies. This does not mean shutting out the world. Vital living economies exchange their surplus goods for the surplus goods of their neighbors and freely share ideas, technology, and culture in a spirit of mutual respect for the needs and values of all players.

When I mentioned in the last post that this might sound like a scary form of tribalism to some, this point is what I had in mind. It’s as if our imaginations are held captive to two possibilities, which ultimately keeps us captive to one possibility for organizing the world, either some form of strong central control (which includes both capitalism, marxism, socialism, communism, etc.) or isolationist groups fighting with each other in a neo-tribalism or balkanization of the world. It seems to me that the problems we face are usually created in some part by our lack of ability to get outside of the status quo and paradigm that shapes our picture of the world and how it works. This exercise in imagining a living economy is an attempt to imagine an alternative beyond the two possibilities mentioned above, strong central control or tribalism.

Korten helpfully points out that the living economy he imagines is not local and regional tribes that isolate themselves from each other (Has this ever really been the case entirely?). He isn’t ranting about dismantling the global economy. Instead he seems to envision a global economy that more closely mirrors the global ecology. There are global exchanges that take place but not the kind of top-down centrally managed enterprise that currently exists with asymmetrical power relationships between nations, peoples and sectors within economies of nations and regions.

Ecological health does not depend on global institutions to regulate it. There is no IMF that lends some energy, trees, animals or pollinators to an ecosystem to maintain its health. If a species goes extinct (whether naturally or because of human intervention), there is no way to take out a loan with structural adjustments from a hypothetical institution of ecological resources that will somehow correct the health of the ecosystem. A greater degree of autonomy for local and regional economies would be necessary to mimic the health of ecosystems.

It also means that local and regional economies would have to be primarily based on their bioregions and then negotiate the management of the boundaries of that bioregion in terms of exchange with other localities. This seems to imply that the global system which makes it normal to have high-need and short season crops, like asparagus, and crops with a very small growing region, like quinoa, out of season in regions far from the point of production may no longer be feasible. Producing non-agriculture products in overseas factories may likewise also be less desirable with a shift in focus toward regional sufficiency and dependency on the local bioregion.

Each of the elements of Korten’s suggestions for a living economy shift the primary economic focus from a system abstracted from the natural resources on which it depends to one that begins with the soil that sustains us and only gradually, and in a limited way, expands from there. The question that looms over the act of imagining such a system is how in the world we could ever get there from here. I hope to explore some thoughts about that question in the final post in this series.

Toward A Living Economy: Self-Reliant Local Adaptation

I am exploring the tension between the conservation of natural systems and the need for development to improve the lives of people in poverty. Out of this tension arises the need to transition from our current model which pits these two against each other to another economic system that is not in contradiction to these systems. I am using some ideas from an article by David Korten in which he points to three rules or principles from nature that would shape such an economy: 1) Cooperative Self-Organization, 2) Self-Reliant Local Adaptation and 3) Managed Boundaries. This post will consider the second.

The second rule, “Self-Reliant Local Adaptation”, values adaptation and local wisdom and knowledge.

The biosphere’s cooperatively self-organizing fractal structure supports a constant process of adaptation to the intricate features of Earth’s distinctive local microenvironments to optimize the capture, sharing, use, and storage of available energy. Local self-reliance is a key to the system’s ability to absorb and contain most system disturbance locally with minimum overall system disruption. So long as each local subsystem balances its consumption and reproduction with local resource availability, the biosphere remains healthy and dynamic.”

This is one of the major implications of Darwinian theory. It’s not just that species adapt, but that they are adapted to very specific local conditions. It’s about the interaction between species and the environment in which they survive and thrive. An economy based on this principle would have to be decentralized, relying on the expertise of local people to make decisions about how they are organized, what changes to make and how to implement them.

Rather than attempting to control the economy from the top down, monkeying with interest rates at the Fed or passing federal legislation, this approach means that the rules must be made in a way that encourages innovation, adaptation, flexibility and change. Unfortunately history seems to say that this runs counter to the whole project of human civilization. The Founding Fathers of the United States wrote into founding documents the idea that the people should get rid of the government and/or change the system when it no longer functioned or served the people. We pretend that we do that every two or four years when we press buttons on a touchscreen or punch a ballot, but the truth seems obvious that rather than change, or revolution, the bureaucratic behemoth continues to gorge itself on the system we maintain by passing the political buck at the ballot box.

I think this principle is best summed up by the word “empowerment” which I have discussed at length in terms of development and my work in Bolivia. Empowerment has some problematic connotations of asymmetrical power relationships, but the idea is still right. If there exists an inequality of power, then those with more power must find ways, not only to relinquish it, but help others learn the proper exercise of it. The knowledge of local and indigenous people that has been devalued in practice for so long must become the most highly prized and important form of knowledge.

This is a major shift in values for the current system. When we begin to truly value local and indigenous knowledge, we will shift our priorities and rewrite the rules to reflect this. In order to live out this principle local communities need autonomy. They must have the power to make decisions for themselves without the intervention of outside forces. This sounds like a new form of tribalism, which is scary for some and hopeful for others.

Outside of the most dire collapse scenario (which I admit could still happen) we will not simply go back to the jungle and hunter-gatherer lifestyle. We will, however, be forced to learn, or re-learn, what they knew about how to live in balance with their environment. The reason these kind of communities were and will be stable and secure is their close relationship with their bioregion which makes local adaptation possible. For a civilization used to central control this shift toward decentralization take a huge amount of trust, because we have been sold the narrative that the strong central authority is the only way to hold it all together. The other option, which is what I’ve been describing here, is to stop trying to hold it all together and trust people and communities to know what’s best for them.