What are your thoughts on the "doughnut economy"?

[TheGreenCarrots]

A while ago I listened to the podcast The Urban Monk interviewing Kate Raworth, the founder of the doughnut economy model.

To summarize the model in a few word, it is a economic model that cares about inequality and the environment.

Other than the old “endless growth” the GDP in this model can grow but is not the main focus.



The main focus of the new model is that humans live an equal life and care about the resources that our planet provides us.

Kate Raworth invented this model as she was frustrated from the endless money making model that doesn’t care about humans.

Here is the sustainable economy future model: (A doughnut shape)



Overshot:

Outer red the Overshot: We used too much already on the planetary boundaries climate change, biodiversity loss, land conversion and nitrogen use.

Shortfall:

Inner red the Shortfall: We lack on peace and justice, political voice, health,…

Save space:

Inner green Doughnut ring: Between this social foundation and the environmental ceiling lies a space. A space for humanity such as water, food, health, education, income and work, peace, political voice, social equity, gender equality, housing, networks and energy.

Why didn’t they teach me this at university?

If my professors would have ever presented me this model at university I would have started my business studies from a very different point of view. I would have known about the environmental limits of human activity and the social foundation of humans. And maybe I would have sooner found out about the responsibility of an economist:

To design policies, regulations, and markets that bring humanity between the boundaries and enable us all to thrive there and care about the overshoots and shortfalls.

My Conclusion:

The doughnut model is a sustainable economy future model.

It doesn’t focus on endless growth.

In this new model people help other people, we take care of mother earth and we take care of each other.

We become more independent from big companies, start producing with the help of others our own goods and are able to thrive us.

That system clearly teaches us that we are all in one boat and have to act now before it is too late for us and our future generation.

This model can generate new jobs or open up a completely new perspective on having a paid job while cutting down environmental risks.

More about the topic and suggestions on how to live or have a business according to the doughnut economy model.

Super interested if you think that this model has a future and if economy can exist without endless growth.

More resources:

More from the founder of the Doughnut economy model, Kate Raworth:

Kate Raworth Website

Comparison traditional economic system vs. new Doughnut Economy

TedX Talk Athens: Why it’s time for ‘Doughnut Economics‘

I am a big fan of podcasts so I suggest the following for you: The Urban Monk “Doughnut Economics with Guest Kate Raworth”