Saturday, August 19, 2006

Sustainable Wealth Creation

Wealth creation? Sustainable?

Some of our most pressing needs in society: clean air, healthy food, educated children, informed adults, living vibrant ecosystems.

Wealth Creation for so much of our modern history has been at the expense of the aforementioned basic necessities of life.

So, what can be done to create money which will produce "clean air", "healthy food", "vibrant ecosystems" etc? Well, until relatively recently in our history, these things were not scarce commodities... now they are becoming so.

In the "Natural Capitalism" - Hawken and Lovins point out that nature provides essential "services" to us which are the backbone of our economy. i.e. forests - clean air and water, provide habitat for insects that pollinate our crops, and spawning grounds for our wild fish stocks, oceans - food, carbon sink, etc. the list goes on.

Since we are now at the point where we can no longer simply take for granted that these services are available, there indeed are 'wealth creation' opportunities for entrepreneurs involved with restoring nature's ability to provide these "services."

Challenge, of course, is how are such entrepreneurs going to generate money - as who will actually pay for the restoration of a forest, or cleaning of a river, etc.

Well, therein lies the problem, no?

The challenge is our economic assumptions. These "services" provided by nature have always been assumed to be free and always available. And problems like pollution, ecosystem damage, unhealthy workers, etc. have always been considered "externalities" in the corporate equation.

What are some examples of innovation in the marketplace?

Carbon credit exchanges to create money by limiting pollution incentivizing

- reforestation - improve breeding and cultivation of wild tree species customers: logging and forest management companies
- pollinator insect breeding. beekeepers, and others customers: organic farms
- biodiversity - heirloom seed companies
- ocean health -

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