23rd September 2025
The economic systems that predominate globally with their focus on growth (of GDP) and determined by the pursuit of profit (for the share holders) is a cause of growing inequality and with that (as outlined over the last few weeks) come problems such as climate change, biodiversity loss, social injustice etc.
The economic theory that underpins this is flawed. There is no trickle down effect by which one can justify growing wealth for the already wealthy. The economist Kate Raworth has proposed an alternative model known as Doughnut Economics. Its basic premise is that there is on the one hand an outer limit to our economic activity which is determined by the limitedness of the Earth’s resources – planetary boundaries. And on the other hand a lower limit determined by what is needed to ensure the needs of each individual – food, water, housing, healthcare, education, mental well being. These inner and outer boundaries thus encasing the doughnut of economic activity.
In other words we would ensure consumption levels stayed within the boundary of what the Earth can provide – and than would include not putting more waste/ pollutants, including carbon dioxide , into the Earth’s systems than can be absorbed. It would mean reining in total consumption to that which one planet can sustain – ie bringing back Earth overshoot day back to 31st December.
And it would mean ensuring a fair and equitable distribution of resources so that everyone has enough – reining in the excessive levels of income and wealth currently accruing to a minority – and by so doing this will enable everyone contribute from the their full potential rather than being constrained by the limits of poverty, ill health etc.
The Green Tau 