Economic science has dominated public policy since the 20th century. Debates have raged between “Keynesian” economists and “Friedman” economists: between “welfarists” who see the need for a government hand in the economy and “monetarists” who want governments out of the way to let private entrepreneurs loose and let an “invisible hand” produce good outcomes for all. Both sides agree that growth in GDP — the size of the economy measured in money terms — is essential.
Need for a shift
Far-sighted systems thinkers in the Club of Rome gave a wake-up call in 1972. They showed that pursuit of GDP growth was destroying the earth’s capacity to renew itself and provide resources for unbridled economic growth. They introduced the health of the planet into calculations of profit and growth. Meanwhile, economists continue to treat the natural environment as external to the economy. Pleas by communities to protect it are dismissed as impediments to “ease of doing business” and GDP growth.
