David Korten: What economic transformation has to do with building stronger, happier communities

[marmar]

from YES! Magazine:



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David Brancaccio (DB): So our mission here is to fix the future; just give me a sense of how we can get started on this question.

David Korten (DK): Well you know, David, it starts with a very basic question. Do people exist to serve the economy, or should the economy exist to serve people? Now it turns out that we’ve created a whole society with culture and institutions around the idea that people exist to serve the economy. And millions of people are waking up to the reality that that’s a misplaced priority.

DB: Our knee-jerk reaction is to go down to Wall Street to ask questions about how we fix the economy. That’s the usual way of doing things. In fact I think there are entire cable TV channels devoted to asking those people what the solution is. You’re asking us to go not toward Wall Street but where? Just to Main Street, America?

DK: Wall Street is basically dedicated to eliminating jobs or outsourcing jobs in order to increase financial profits of the biggest corporations and to increase the financial assets of the world’s already richest people. Now what we need is a money system that actually is doing what you just said, is connecting real resources with real needs, creating real community wealth at the community level. But that requires a financial system that is rooted in the community and accountable to community interest and that operates by life values rather than financial values.

DB: So if you’re trying to figure out what values an economy or a financial system is displaying, you have a theory about where to look to see where the center of power of the economy is rooted. Tell me about that idea.

DK: The current system is organized around financial values over life values. We need to shift that locus of power down to the community level because the financial markets recognize only money and thereby only financial values. If you’re living in the community and you own your local businesses and you’re engaged in the local economy you have a definite interest in the strength and health of your community, the caring relationships that bind people together. And you have an inherent interest in the health of your environment. So there’s a natural connection between how you make your financial decisions, how you operate your enterprise, and the broader public interest—none of which exists when the power resides in Wall Street. ...........(more)

The complete piece is at: http://www.yesmagazine.org/new-economy/building-community-an-economic-approach