[Music] as I’m apparently the last person wow I
as I’m apparently the last person wow I
as I’m apparently the last person wow I can’t see you to speak can we give it up
can’t see you to speak can we give it up
can’t see you to speak can we give it up for the wonderful students all backstage
for the wonderful students all backstage
for the wonderful students all backstage who have put an enormous amount of work
who have put an enormous amount of work
who have put an enormous amount of work [Applause]
[Applause]
[Applause] so I’m going to talk to you about some
so I’m going to talk to you about some
so I’m going to talk to you about some big questions if I may big questions
big questions if I may big questions
big questions if I may big questions that were partly raised by a student of
that were partly raised by a student of
that were partly raised by a student of mine in a class that I teach on the
mine in a class that I teach on the
mine in a class that I teach on the history of capitalism and she asked this
history of capitalism and she asked this
history of capitalism and she asked this very simple question to which i did not
very simple question to which i did not
very simple question to which i did not have an answer which was how do we know
have an answer which was how do we know
have an answer which was how do we know we’re on the right track how did we do
we’re on the right track how did we do
we’re on the right track how did we do we’re doing well so how do we so when
we’re doing well so how do we so when
we’re doing well so how do we so when you look around today wouldn’t be
you look around today wouldn’t be
you look around today wouldn’t be particularly novel to say that we are
particularly novel to say that we are
particularly novel to say that we are facing as Americans and as citizens of
facing as Americans and as citizens of
facing as Americans and as citizens of the world enormous problems and
the world enormous problems and
the world enormous problems and challenges they range from political
challenges they range from political
challenges they range from political divisions to conflict to climate change
divisions to conflict to climate change
divisions to conflict to climate change to inequality and so on and so forth so
to inequality and so on and so forth so
to inequality and so on and so forth so what I’m going to do today is suggest to
what I’m going to do today is suggest to
what I’m going to do today is suggest to you that all of these problems or at
you that all of these problems or at
you that all of these problems or at least many of these problems have in
least many of these problems have in
least many of these problems have in fact a common cause and a common origin
fact a common cause and a common origin
fact a common cause and a common origin so that’s quite a claim so bear with me
so that’s quite a claim so bear with me
so that’s quite a claim so bear with me and I want to try to clarify this at
and I want to try to clarify this at
and I want to try to clarify this at first with a couple of questions so when
first with a couple of questions so when
first with a couple of questions so when you look at this column of very
you look at this column of very
you look at this column of very different things I would argue that they
different things I would argue that they
different things I would argue that they all have something profound in common
all have something profound in common
all have something profound in common what might that be what they have in
what might that be what they have in
what might that be what they have in common is that according to the metrics
common is that according to the metrics
common is that according to the metrics we use to measure success in our society
we use to measure success in our society
we use to measure success in our society they all contribute to well-being now
they all contribute to well-being now
they all contribute to well-being now let me put up another column
let me put up another column
let me put up another column I again a number of very different
I again a number of very different
I again a number of very different things and they too I believe have
things and they too I believe have
things and they too I believe have something profound in common and you
something profound in common and you
something profound in common and you might already into it an answer which is
might already into it an answer which is
might already into it an answer which is of course that they actually contribute
of course that they actually contribute
of course that they actually contribute to well-being but the more troubling
to well-being but the more troubling
to well-being but the more troubling answer is that none of these things are
answer is that none of these things are
answer is that none of these things are measured and the metrics we use in order
measured and the metrics we use in order
measured and the metrics we use in order to define success in our society that is
to define success in our society that is
to define success in our society that is the problem so since that is true i also
the problem so since that is true i also
the problem so since that is true i also would argue that what informs policy
would argue that what informs policy
would argue that what informs policy making politicians business leaders
making politicians business leaders
making politicians business leaders economists in terms of making decisions
economists in terms of making decisions
economists in terms of making decisions from the small to the large about our
from the small to the large about our
from the small to the large about our society is essentially informed by the
society is essentially informed by the
society is essentially informed by the column on the left and not by the column
column on the left and not by the column
column on the left and not by the column on the right so what is the central
on the right so what is the central
on the right so what is the central problem here the central problem is I
problem here the central problem is I
problem here the central problem is I think that our metrics of success are
think that our metrics of success are
think that our metrics of success are defined largely by growth and not by
defined largely by growth and not by
defined largely by growth and not by well-being right we look at transactions
well-being right we look at transactions
well-being right we look at transactions in the market not relations we look at
in the market not relations we look at
in the market not relations we look at quantity not quality we look at output
quantity not quality we look at output
quantity not quality we look at output but we don’t look at outcome that is a
but we don’t look at outcome that is a
but we don’t look at outcome that is a big problem now how do we define growth
big problem now how do we define growth
big problem now how do we define growth what is growth and interestingly enough
what is growth and interestingly enough
what is growth and interestingly enough this is a question that really is asked
this is a question that really is asked
this is a question that really is asked in politics we just know that it’s good
in politics we just know that it’s good
in politics we just know that it’s good so how is it measured and of course many
so how is it measured and of course many
so how is it measured and of course many of you have heard this and many of you
of you have heard this and many of you
of you have heard this and many of you see it every day in the newspapers it is
see it every day in the newspapers it is
see it every day in the newspapers it is measured by GDP which stands for gross
measured by GDP which stands for gross
measured by GDP which stands for gross domestic product
what does that mean it is a particular
what does that mean it is a particular kind of measure that is interesting in
kind of measure that is interesting in
kind of measure that is interesting in part because it is a measure that is now
part because it is a measure that is now
part because it is a measure that is now worldwide every single nation on earth
worldwide every single nation on earth
worldwide every single nation on earth with the possible exception of Bhutan is
with the possible exception of Bhutan is
with the possible exception of Bhutan is measuring its success with GDP it’s the
measuring its success with GDP it’s the
measuring its success with GDP it’s the only ideology I know that is literally
only ideology I know that is literally
only ideology I know that is literally universal independent of whether
universal independent of whether
universal independent of whether countries are large or small rich or
countries are large or small rich or
countries are large or small rich or poor developed or underdeveloped
poor developed or underdeveloped
poor developed or underdeveloped authoritarian or democratic all follow
authoritarian or democratic all follow
authoritarian or democratic all follow this metric why is this a problem this
this metric why is this a problem this
this metric why is this a problem this is a problem I would argue because
is a problem I would argue because
is a problem I would argue because number one it’s a terrible metric for
number one it’s a terrible metric for
number one it’s a terrible metric for wellbeing it is not even a particularly
wellbeing it is not even a particularly
wellbeing it is not even a particularly good economic metric why is that well I
good economic metric why is that well I
good economic metric why is that well I give you some some some examples for
give you some some some examples for
give you some some some examples for that first of all it doesn’t
that first of all it doesn’t
that first of all it doesn’t differentiate between costs and benefits
differentiate between costs and benefits
differentiate between costs and benefits it can’t tell you whether something is
it can’t tell you whether something is
it can’t tell you whether something is good or bad that we’re doing in the
good or bad that we’re doing in the
good or bad that we’re doing in the economy so it doesn’t tell you whether
economy so it doesn’t tell you whether
economy so it doesn’t tell you whether you know buying a pack of cigarettes or
you know buying a pack of cigarettes or
you know buying a pack of cigarettes or buying you know buying a bicycle whether
buying you know buying a bicycle whether
buying you know buying a bicycle whether you build toys or whether you build
you build toys or whether you build
you build toys or whether you build weapons it makes no difference all of it
weapons it makes no difference all of it
weapons it makes no difference all of it is measured equally in GDP it also tells
is measured equally in GDP it also tells
is measured equally in GDP it also tells us nothing about inequality so when you
us nothing about inequality so when you
us nothing about inequality so when you read in the newspaper per capita GDP of
read in the newspaper per capita GDP of
read in the newspaper per capita GDP of our country it doesn’t tell you anything
our country it doesn’t tell you anything
our country it doesn’t tell you anything about how this is differentiated between
about how this is differentiated between
about how this is differentiated between rich and poor in fact as in the United
rich and poor in fact as in the United
rich and poor in fact as in the United States increasingly the top can be very
States increasingly the top can be very
States increasingly the top can be very rich and the bottom makes no gains for a
rich and the bottom makes no gains for a
rich and the bottom makes no gains for a long time and it still looks very good
long time and it still looks very good
long time and it still looks very good so what GDP does one way to capture this
so what GDP does one way to capture this
so what GDP does one way to capture this is to say that it measures the goods
is to say that it measures the goods
is to say that it measures the goods life and not the good life it is what
life and not the good life it is what
life and not the good life it is what Robert Kennedy in 1968 already said when
Robert Kennedy in 1968 already said when
Robert Kennedy in 1968 already said when he said you know GDP in short measures
he said you know GDP in short measures
he said you know GDP in short measures everything except that which makes life
everything except that which makes life
everything except that which makes life worthwhile there’s another problem with
worthwhile there’s another problem with
worthwhile there’s another problem with GDP which is that it doesn’t take into
GDP which is that it doesn’t take into
GDP which is that it doesn’t take into account the future at all it says
account the future at all it says
account the future at all it says absolutely nothing as in terms
absolutely nothing as in terms
absolutely nothing as in terms what we’re leaving behind for future
what we’re leaving behind for future
what we’re leaving behind for future generations a fairly famous entrepreneur
generations a fairly famous entrepreneur
generations a fairly famous entrepreneur by the name of Paul Hawkins once said it
by the name of Paul Hawkins once said it
by the name of Paul Hawkins once said it steals the future sales it in the
steals the future sales it in the
steals the future sales it in the present and calls the GDP so what
present and calls the GDP so what
present and calls the GDP so what everybody advocates here is not just
everybody advocates here is not just
everybody advocates here is not just linear growth it is actually exponential
linear growth it is actually exponential
linear growth it is actually exponential growth which is another problem with GDP
growth which is another problem with GDP
growth which is another problem with GDP so I don’t want to go through all of
so I don’t want to go through all of
so I don’t want to go through all of this but what this just says you know
this but what this just says you know
this but what this just says you know when you start with a base year of 2000
when you start with a base year of 2000
when you start with a base year of 2000 which is the year that many of my
which is the year that many of my
which is the year that many of my students were born when you go to the
students were born when you go to the
students were born when you go to the year in which they will likely retire
year in which they will likely retire
year in which they will likely retire something like that 2070 you would
something like that 2070 you would
something like that 2070 you would already have to have an economy that is
already have to have an economy that is
already have to have an economy that is putting out 16 times as much if you took
putting out 16 times as much if you took
putting out 16 times as much if you took what economy is considered to be a
what economy is considered to be a
what economy is considered to be a healthy growth rate of four percent and
healthy growth rate of four percent and
healthy growth rate of four percent and of course if you go all the way down the
of course if you go all the way down the
of course if you go all the way down the line 200 years after my students were
line 200 years after my students were
line 200 years after my students were born you would already need output that
born you would already need output that
born you would already need output that is 4,000 times as much as we’re
is 4,000 times as much as we’re
is 4,000 times as much as we’re currently producing in this economy now
currently producing in this economy now
currently producing in this economy now if you consider this to be somewhat
if you consider this to be somewhat
if you consider this to be somewhat insane you would be right the problem is
insane you would be right the problem is
insane you would be right the problem is that this is precisely what informs top
that this is precisely what informs top
that this is precisely what informs top decision-making among politicians
decision-making among politicians
decision-making among politicians policymakers economist business leaders
policymakers economist business leaders
policymakers economist business leaders around the world who tell you
around the world who tell you
around the world who tell you essentially that what we need is this
essentially that what we need is this
essentially that what we need is this kind of growth this will solve all of
kind of growth this will solve all of
kind of growth this will solve all of our problems prosperity and progress
our problems prosperity and progress
our problems prosperity and progress will depend on this kind of growth
there’s one way to show what this
there’s one way to show what this actually means this is a really powerful
actually means this is a really powerful
actually means this is a really powerful set of graphs and I’m not going to have
set of graphs and I’m not going to have
set of graphs and I’m not going to have it up very long but you should look at
it up very long but you should look at
it up very long but you should look at it at some point and so what this
it at some point and so what this
it at some point and so what this essentially says is on the left we have
essentially says is on the left we have
essentially says is on the left we have exponentially increasing human activity
exponentially increasing human activity
exponentially increasing human activity and on the right we have increasing Hugh
and on the right we have increasing Hugh
and on the right we have increasing Hugh echo system destruction and what it
echo system destruction and what it
echo system destruction and what it essentially says is that the two are
essentially says is that the two are
essentially says is that the two are correlated right we can’t have one
correlated right we can’t have one
correlated right we can’t have one without the other and so one of the
without the other and so one of the
without the other and so one of the things that happens is of course that we
things that happens is of course that we
things that happens is of course that we are undermining the very natural
are undermining the very natural
are undermining the very natural foundations of our lives of our future a
economic growth is now pushing us to the
economic growth is now pushing us to the edge of the cliff when while it might
edge of the cliff when while it might
edge of the cliff when while it might have been a good thing in the past it no
have been a good thing in the past it no
have been a good thing in the past it no longer is it is an anachronistic thing
longer is it is an anachronistic thing
longer is it is an anachronistic thing now this personally I personally think
now this personally I personally think
now this personally I personally think that nothing in dangers the future
that nothing in dangers the future
that nothing in dangers the future well-being of young people more than
well-being of young people more than
well-being of young people more than this and I’m not even talking about the
this and I’m not even talking about the
this and I’m not even talking about the planet the planet will be fine with or
planet the planet will be fine with or
planet the planet will be fine with or without us and I’m not also talking
without us and I’m not also talking
without us and I’m not also talking about the politics of it all and our
about the politics of it all and our
about the politics of it all and our proclivity to elect people into power
proclivity to elect people into power
proclivity to elect people into power who may not always be particularly
who may not always be particularly
who may not always be particularly competent I am just simply talking about
competent I am just simply talking about
competent I am just simply talking about the survival the our survival as a
the survival the our survival as a
the survival the our survival as a species on this planet this keeps me up
species on this planet this keeps me up
species on this planet this keeps me up at night I am I have four children I
at night I am I have four children I
at night I am I have four children I love my students and yet we’re all
love my students and yet we’re all
love my students and yet we’re all they’re all we’re all making them
they’re all we’re all making them
they’re all we’re all making them passengers on the train racing towards
passengers on the train racing towards
passengers on the train racing towards the cliff in fact we teach them and
the cliff in fact we teach them and
the cliff in fact we teach them and educate them to be good passengers on
educate them to be good passengers on
educate them to be good passengers on the cliff on the train we tell them that
the cliff on the train we tell them that
the cliff on the train we tell them that their success will be measured by their
their success will be measured by their
their success will be measured by their contribution to speeding up the Train
contribution to speeding up the Train
contribution to speeding up the Train literally and very often we don’t tell
literally and very often we don’t tell
literally and very often we don’t tell them about the cliff in fact we as
them about the cliff in fact we as
them about the cliff in fact we as Americans today have the dubious
Americans today have the dubious
Americans today have the dubious distinction to be gone
distinction to be gone
distinction to be gone by the only major party in any developed
by the only major party in any developed
by the only major party in any developed nation on earth that effectively denies
nation on earth that effectively denies
nation on earth that effectively denies the very existence of the cliff so what
the very existence of the cliff so what
the very existence of the cliff so what do we need to do we need to
do we need to do we need to
do we need to do we need to fundamentally stop the train and we need
fundamentally stop the train and we need
fundamentally stop the train and we need to lay new tracks we need to focus on
to lay new tracks we need to focus on
to lay new tracks we need to focus on development rather than growth we need
development rather than growth we need
development rather than growth we need to focus on better not more now this is
to focus on better not more now this is
to focus on better not more now this is not to say to clarify that i am against
not to say to clarify that i am against
not to say to clarify that i am against development in fact i am very much for
development in fact i am very much for
development in fact i am very much for development rather than growth
development rather than growth
development rather than growth development that takes into account the
development that takes into account the
development that takes into account the satisfaction of human needs of actual
satisfaction of human needs of actual
satisfaction of human needs of actual human needs and i also realize fully
human needs and i also realize fully
human needs and i also realize fully that there are lots of people in this
that there are lots of people in this
that there are lots of people in this world still who need growth who need
world still who need growth who need
world still who need growth who need more opportunities more jobs more
more opportunities more jobs more
more opportunities more jobs more education in fact one of the saddest
education in fact one of the saddest
education in fact one of the saddest statements of this growth regime is that
statements of this growth regime is that
statements of this growth regime is that we live in a world in which two billion
we live in a world in which two billion
we live in a world in which two billion people are still living in dire poverty
people are still living in dire poverty
people are still living in dire poverty which in absolute numbers may well be
which in absolute numbers may well be
which in absolute numbers may well be more than ever before so for young
more than ever before so for young
more than ever before so for young people in particular I think it is time
people in particular I think it is time
people in particular I think it is time to retire whoops GDP as grandpa’s
to retire whoops GDP as grandpa’s
to retire whoops GDP as grandpa’s definition of prosperity it is time to
definition of prosperity it is time to
definition of prosperity it is time to let go of it and the reason is very
let go of it and the reason is very
let go of it and the reason is very simple the reason is that it is our the
simple the reason is that it is our the
simple the reason is that it is our the moral imperative for all of us to leave
moral imperative for all of us to leave
moral imperative for all of us to leave behind a world that allows young people
behind a world that allows young people
behind a world that allows young people to prosper not just us the analogy with
to prosper not just us the analogy with
to prosper not just us the analogy with your bodies is by the way quite good
your bodies is by the way quite good
your bodies is by the way quite good because obviously we all grow until
because obviously we all grow until
because obviously we all grow until we’re about 20 but if somebody told you
we’re about 20 but if somebody told you
we’re about 20 but if somebody told you at 20 that you needed to take hormones
at 20 that you needed to take hormones
at 20 that you needed to take hormones and calories in order to continue to
and calories in order to continue to
and calories in order to continue to grow in both size and height you would
grow in both size and height you would
grow in both size and height you would probably think that person is a little
probably think that person is a little
probably think that person is a little crazy but if you lived in a society in
crazy but if you lived in a society in
crazy but if you lived in a society in which the entire health care system was
which the entire health care system was
which the entire health care system was premised on the idea that you could only
premised on the idea that you could only
premised on the idea that you could only be healthy if you kept growing you would
be healthy if you kept growing you would
be healthy if you kept growing you would probably be right to think about moving
probably be right to think about moving
probably be right to think about moving to
but that’s exactly where we are with our
but that’s exactly where we are with our economy that’s exactly what is happening
economy that’s exactly what is happening
economy that’s exactly what is happening we are being told that we need to keep
we are being told that we need to keep
we are being told that we need to keep growing even though we know we live in a
growing even though we know we live in a
growing even though we know we live in a finite planet and even though we know
finite planet and even though we know
finite planet and even though we know this is not going to change not not
this is not going to change not not
this is not going to change not not possible the climate change of course is
possible the climate change of course is
possible the climate change of course is just one of the many ways in which we
just one of the many ways in which we
just one of the many ways in which we can see that we’re running out of time
can see that we’re running out of time
can see that we’re running out of time but here’s my central argument this
but here’s my central argument this
but here’s my central argument this regime of growth while it has created
regime of growth while it has created
regime of growth while it has created unprecedented dangers also has created
unprecedented dangers also has created
unprecedented dangers also has created unprecedented opportunities we can stop
unprecedented opportunities we can stop
unprecedented opportunities we can stop that train and we can redirect it and we
that train and we can redirect it and we
that train and we can redirect it and we can start focusing on actually
can start focusing on actually
can start focusing on actually satisfying human needs now the great
satisfying human needs now the great
satisfying human needs now the great thing is we already know a lot about how
thing is we already know a lot about how
thing is we already know a lot about how to do this the great thing is also that
to do this the great thing is also that
to do this the great thing is also that everybody can contribute because there
everybody can contribute because there
everybody can contribute because there are more meaningful ways to engage in
are more meaningful ways to engage in
are more meaningful ways to engage in economics and in public policy making
economics and in public policy making
economics and in public policy making and in engineering and in biology in
and in engineering and in biology in
and in engineering and in biology in order to create things like closed-loop
order to create things like closed-loop
order to create things like closed-loop production or renewable energy centers
production or renewable energy centers
production or renewable energy centers and so on and so forth so in the end I
and so on and so forth so in the end I
and so on and so forth so in the end I would say that this there’s a lot of
would say that this there’s a lot of
would say that this there’s a lot of good rewarding things good good
good rewarding things good good
good rewarding things good good rewarding things that we can do and I
rewarding things that we can do and I
rewarding things that we can do and I would suggest that it’s probably better
would suggest that it’s probably better
would suggest that it’s probably better than just simply being a quiet passenger
than just simply being a quiet passenger
than just simply being a quiet passenger on a train racing towards the cliff so
on a train racing towards the cliff so
on a train racing towards the cliff so let’s just go do it thank
let’s just go do it thank
let’s just go do it thank [Applause]
”
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