Comment
Comment by Jeff Mowatt on June 16, 2011 at 10:39am David, Thanks for drawing my attention to this discussion. In the comments above I see several points of congruence with our own advocacy. As you may see we make the points about people being central to business and economics in the synopsis of our founding white paoer where attention is drawn for the need to consider those left behind in the transition from an industrial to an information age.
http://www.p-ced.com/1/about/history/
The core argument from this paper, was that money imagined into existence as debt disenfranchised a large number of humans to threaten their existence as debt and that the only true measure of economics would be measured in terms of humans.
i.e. 'Economics, and indeed human civilization, can only be measured and calibrated in terms of human beings. Everything in economics has to be adjusted for people, first, and abandoning the illusory numerical analyses that inevitably put numbers ahead of people, capitalism ahead of democracy, and degradation ahead of compassion.'
http://www.p-ced.com/1/about/background/
Within the synopsis a cause driven business model is described in which at least 50% of profit will be invested in the local community, by agreement of sharholders, that this was the primary purpose of that business. This principle was reflected by subsequent models such as the community interest company and B-Corporations.
P-CED was introduced as a working model to the UK in 2004 after being deployed to source a development initiative in Russia in 2004. The first action in the UK was to develop a business plan for capitalising social enterprise, such that profit was re-invested in local communities via CDFIs to seed new social enterprise.
It is now evident that many of the issues raised in that plan which inclided poverty allevioation, localised economic development, human rights, fair wages and perhaps above all that an alternate form of capitalism should be recognised and supported at government level.
Looking back it seems that we way well at this point have begun to step on the toes of the social enterprise 'establishment' who chose not to include these issues in the community interest company guidelines. Hence we now have the situation where a Transition Enterprise is suggested where traditional social enterprise appears to fall short.
In 2009/2010 Founder Terry Hallman delivered seminars on Economics in Transition to the International Economics for Ecology conferences, where he describes the background events leading to the 2008 crisis and his assertion, which relates back to the core argument from 1996, that sustainability can only be established upon an economic system which is itself sustainable. As we've discovered recently Schumaker college will shortly be starting an MA course in Economics for Transition, which would appear to be along the same lines.
The overall approach which I've attempted to relate briefly in this description for my own community is of a transition from 20th century industrial age economics of production and scarcity, to a 21st local economies which are sharing and people-centered. This much is also advocated by a group known as the Forward Foundation who made contact earlier this year.
An interesting picture of the people-centered model of business comes from Ramla Akhtar in Pakistan who is again quite separate from our own work. She offers the image of a how the financial, social and spiritual needs of the person could be served.
Rob Hopkins just put a spotlight on one who's been contemplating Transition Enterprise.
David Braden wrote:
One glaring limitation to our ability to see these possibilities is the ubiquitous belief that all value can be measured in money - whereas, money does not measure the value of anything that is abundant - therefore, for those things we want to be abundant, production for the "market" will not work.
It would appear, then, that production in the community, by the community and for the community is a way to abundance. That makes a lot of sense to me, especially as it will naturally fit the place and members.
The businesses small and rooted enough to commit to redirect/redeploy some, and steadily more, of their attention, time, energy, know-how and assets to this other kind of production will be important forces for new and improved flows.
Comment by David Braden on December 1, 2010 at 1:34pm TRANSITION IN ACTION SOCIAL NETWORK is a social network
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