Appropriate Economics for the 21st Century

argaiv1818

 A 2010-1957 Guide to Relevant Books, Reports, and Articles        

Compiled by Michael Marien, director, Global Foresight Books

Outmoded Economics Questioned

2010-2009 New Economic Thinking 

2008-1957 Decades of Foresight Complaints

Index of Authors and Institutions

  
See GFB Update newsletter, 2:9, Sept 2012, for an updated version in biblio-essay form
 
 
  
  

 Outmoded Economics Questioned

 

New economic thinking is a major example of a needed paradigm break.  Arguably,  replacement to conventional 20th century economic thought is the most important and central of all needed paradigm changes

The world economy and world environment have been gravely damaged by bad economic ideas in high places.  Complaints are mounting about simplistic and idealized “free market” economics that brought on The Great Recession, and equally simplistic measures of GNP that omit many fundamental components of wealth, such as the value of natural and human capital.  These outmoded paradigms of the early 20th century ought to be replaced by an economics appropriate to 21st century conditions of environmental crisis, scarce financial and natural resources, and aging-yet-still-expanding human populations.  A “contextual economics” is needed (#95, #94).  Why not?

Transition to appropriate economic thinking appears to be accelerating as a result of the Great Recession, although the process may take decades, as “zombie economics” still walks among us (#97).  This ongoing bibliography seeks to hasten the process by pointing to recent critiques of mainstream economics--both “free market” and Keynesian.  It also points to older critiques, most of which are more relevant than ever today.  Many of these critical books and reports have been authored by futurists and futures-relevant groups such as the Club of Rome (#47, #5), which saw the problems of conventional economic thinking long ago.  Indeed, the famous French futurist and political thinker, Bertrand de Jouvenel, published a still-relevant complaint about narrow-minded economic accounting in 1957 (#1).

The earlier titles listed here (items #2-73) were abstracted in Future Survey, a monthly publication of the World Future Society that I edited in the 1979-2008 period. The original FS  numbers are provided for those who still have copies of FS and wish to have access to the longer abstracts.

 
 

2010-2009 New Economic Thinking

 

99.  The Changing Wealth of Nations: Lessons for Sustainable Development.  The World Bank.  Washington: World Bank, Oct 2010/270p/$35.  Estimates “comprehensive wealth”—including produced, natural, and human/institutional assets—for over 100 countries.  Wealth accounts are presented for 1995, 2000, and 2005, permitting the first long-term assessment of global, regional, and country performance in building wealth.

*98.  Free Trade Doesn’t Work: Why America Needs a Tariff.  Ian Fletcher (Adjunct Fellow, US Business and Industry Council, San Francisco).  Foreword by Edward Luttwak.  Washington: US Business and Industry Council, Jan 2010/327p/$24.95.   Theories that favor free trade assume perfect efficiency of markets and are mathematically neat.  But the US trde deficit of $688 billion in 2008 is not healthy.  Fairly open trade most of the time is justified; absolutely free trade all of the time is an extremist position.  Discusses bad arguments for free trade, the US rise of income inequality due to free trade, trade solutions that won’t work, critiques of free trade to avoid, flaws in the theory of comparative advantage, and the need for a “natural strategic tariff.”  [NOTE: Clearly written and well-argued.  See longer abstract among regular GFB listings under “Fletcher.”]       

**97.  Zombie Economics: How Dead Ideas Still Walk among Us.  John Quiggin (Prof of Economics, U of Queensland).  Princeton NJ: Princeton U Press, Nov 2010/216p/$24.95 (e-book, Feb 2011; $24.95).  In the graveyard of economic ideology, dead ideas still stalk the land.  The recent financial crisis laid bare many assumptions behind market liberalism—the theory that market-based solutions are always best.  The crisis seems to have killed off tehse ideas, but they still live on in the minds of many economists, politicians, and commentators.  To avoid an even bigger financial crisis in the future, we must find a way to kill these dead ideas once and for all.  However, a return to traditional Keynesian economics and the politics of the welfare state will not be enough.

*96.  Cents and Sustainability: Securing Our Common Future by Decoupling Economic Growth from Environmental Pressures.  Michael H. Smith, Karlson ‘Charlie’ Hargroves, and Cheryl Desha (www.naturaledgeproject.net).   Forewords by Gro Harlem Brundtland, Rajendra Pachauri, and Kenneth Rushing.  London & Washington: Earthscan, Sept 2010/405p/$39.95.  Follow-up to the 1987 Bruntland Report Our Common Future, one of the first books to argue that economic growth and sustainability can be reconciled--a notion rejected by conventional economics.  Extensive attention is paid here to decoupling.  [See longer abstract among regular GFB listings.]

**95.  Macroeconomics in Context.  Neva Goodwin, Julie A. Nelson, and Jonathan Harris (all Global Development and Environment Institute, Tufts U).  Armonk NY: M. E. Sharpe, 2009/437p/$49.95pb.  An introductory textbook covering both standard topics and the broader contextual approach, covering such topics as macroeconomic goals (decent living standards, security, sustainability), macroeconomics for the 21C, macroeconomics in a global context, economic tradeoffs, the three spheres of economic activity (the core sphere of households and community, the public purpose sphere, the business sphere), macroeconomic measurement (GDP vs. environmental and social dimensions reflecting 21C concerns), employment and unemployment, fiscal and monetary policy, pros and cons of “free trade,” how economies grow and develop, and macroeconomics challenges for the 21C (human development, ecological sustainability, problems of discounting the future).  [NOTE: The best textbook by far for “appropriate economics.”]

**94.  Microeconomics in Context (Second Edition).  Neva Goodwin (Co-director, Global Development and Environment Institute, Tufts U) , Julie A. Nelson (GDAE), Frank Ackerman (GDAE), and Thomas Weisskopf (Prof of Economics, U of Michigan).  Armonk NY: M. E. Sharpe, 2009/522p/$49.95pb.  An introductory companion textbook that encourages engaged and critical thinking about topics in economics, with a focus on human well-being and the broader context of economic activity.  Chapters cover such topics as spheres of economic activity, economic actors, market institutions, the five forms of capital (natural, manufactured, human, social, and financial), production costs, distribution, consumption, markets for labor and other resources, and “free market” economics vs. “contextual economics” illustrated herein.

93.  Towards a New Economy and a New Politics, Gus Speth (Prof of Environmental Policy, Yale U), Solutions: For a Sustainable and Desirable Future, Issue #5, 28 May 2010 (http://thesolutionsjournal.com/node/619).  Founder of World Resources Institute and author of The Bridge at the End of the World (item #73) views the US political economy as “failing across a broad front,” and calls for deep and systemic change to a new economy where the main priority is to sustain human and natural communities while improving quality of life.  A new politics is needed that unifies progressive communities and challenges rampant consumerism and growthmania.  Three linked projects are needed: The Values Project, The Transformation Project, and The Synthesis Project.

92.  Economic Thought and U.S. Climate Change Policy.  Edited by David M. Driesen (University Prof, Syracuse U College of Law).  Cambridge MA: MIT Press, June 2010/356p/$24pb.  The US has failed to address the most pressing environmental issue of the age because of an unyielding neoliberal ideological stance that embraced free markets and saw government action as anathema.  Of special interest are chapters by Frank Ackerman on the many errors of cost-benefit analysis of climate change (notably in the DICE model of William Nordhaus) and Thomas McGarity’s discussion of calculatiing the cost of greenhouse gas reductions, and why these techniques have tended to overestimate the cost of abating pollution (analysts need to make their premises transparent and avoid unrealistic assumptions).

*91.  Natural Capitalism: The Next Industrial Revolution (10th Anniversary Edition). Paul Hawkin (Natural Capital Institute, Sausalito CA), Amory B. Lovins (Chair and Chief Scientist, Rocky Mountain Institute, Old Snowmass CO), and L. Hunter Lovins (Prof of Sustaianble Management, Presidio Graduate School).  London & Washington, Earthscan, June 2010/416p/$14.99pb.  First published by Little, Brown in 1999 [see item #51], this important book on radical resource productivity and biomimicry has chapters on the next industrial revolution, reinventing the auto industry with ultra-efficient hypercars, reducing waste, ecosystem services and natural capital, reconfiguring agriculture, free market fantasies that assume perfect information, and regulatory failures.  The new 14-page introduction argues that protecting the environment is not costly, as many assume, but profitable, because saving energy costs less than buying it.

90.  The State of Society: Measuring Economic Success and Human Well-Being.  Erwin de Leon and Elizabeth T. Boris (director, UI/CIP).  Washington: Urban Institute Center for Nonprofits and Philanthropy, May 2010/81p/free pdf (www.urban.org/publications/412101.html).  A report commissioned by the Center for Partnership Studies and Riane Eisler (see Eisler, The Real Wealth of Nations, B-K, 2007; item #68), exploring a broad range of measures that go beyond GDP to offer a more complete and accurate picture of society.  Identifies 14 categories of national well-being (poverty, health, education, employment, shelter, natural environment, human rights, family and personal well-being, etc.), and synthesizes hundreds of indicators from 28 reports into 79 indicators organized under these categories.

**89.  The Economic Crisis and the Crisis in Economics.  Institute for New Economic Thinking (www.ineteconomics.org), April 2010.  Proceedings (both papers and videos) of the inaugural conference of INET (a project funded by financier/thinker George Soros), held at King’s College (Cambridge U) April 8-11, 2010, the site where John Maynard Keynes did his thinking about the Great Depression of the 1930s.  Sessions and presentations are devoted to the Greek debt crisis, deficits and global financial stability, economic theory and policy in the past 30 years, the “efficient market hypothesis” and the crisis, networks and systemic risks, theory to guide reform and restructuring, toward a new global financial architecture, empirical evidence and economic thinking, consequences of inequality, and what government can and will do

*88.  The Rise and Fall of the G.D.P., Jon Gertner, The New York Times Magazine, 16 May 2010, 60-71.  The Gross Domestic Product measure of progress has not only failed to capture the well-being of 21C society, but has skewed global political objectives toward the single-minded pursuit of economic growth.  In this popularized introduction, contributing writer Gertner contrasts “High-GDP Man” vs. “Low GDP Man,” explains how GDP is calculated, and describes the UN’s Human Development Index (now 20 years old and planning a revision for fall 2010), the Canadian Index of Well-Being (making its debut in 2010 as a counterweight to GDP), the State of the USA key national indicators system to be run by the National Academy of Sciences (it will go live online in summer 2010), the Stiglitz-Sen-Fitoussi Commission on the Measurement of Economic Performance and Social Progress [see item #77, below], and problems of environmental accounting.

87.  Happiness: A Revolution in Economics.  Bruno S. Frey (Prof of Economics, U of Zurich).  Cambridge MA: MIT Press, 2008; pb. edition Sept 2010/256p/$19.  Co-editor of Economics and Psychology: A Promising New Cross-Disciplinary Field (MIT, 2007) describes how government can provide the conditions for well-being based on happiness research, which has “the potential to change economics substantially” by measuring subjective well-being, how humans value goods and services, and non-material values.

86.  Microeconomic Theory Old and New: A Student’s Guide.  John M. Gowdy (Prof of Humanities and Social Science, RPI; President, Intl Society for Ecological Economics).  Palo Alto CA: Stanford U Press, Jan 2010/208p/$29.95pb.  Seeks to provide an understanding of the core model of economics (Walrasian general equilibrium theory), and to present contemporary extensions and emerging alternatives to the Walrasian model, based on findings in behavioral economics and evolutionary game theory.

85.  Green Economics: How We Can Afford to Tackle Climate Change, Paul Krugman (Prof of Economics, Princeton U; NYT columnist), The New York Times Magazine (Cover Feature), 11 April 2010, 34-41ff.  A very clear survey of “the economics of lessening climate change,” describing the high credibility of climate modelers, cap-and-trade vs. an emissions tax (the latter is not any better and wouldn’t make it through Congress), the cost of taking action (it would reduce the annual rate of GDP growth from 2010 to 2050 by only 0.03% to0.09%, and these costs are probably overstated), the possibility of carbon tariffs if China refuses to reduce emissions, the costs of inaction, and slowly ramping up the price of carbon emissions vs. quick and aggressive action advocated by Nicholas Stern (or “climate policy big bang,” which Krugman favors).  However, “the immediate prospects for climate action do not look promising.”  [NOTE: Does not describe “Green Economics” (article title) nor “Building a Green Economy” (cover title), but does provide an excellent introduction to the narrower but not unimportant concern of climate economics.]

84.  Beyond the Financial Crisis: The Oxford Scenarios.  Angela Wilkinson (Director, Futures Research and Scenario Planning, U of Oxford) and the Financial Crisis Scenarios Group.  Oxford UK: Said Business School and James Martin 21st Century School, March 2010/81p (www.sbs.oxford.edu/financial-scenarios).  Questions three “foundational assumptions” that formed the basis of our financial system before the recent crisis caused by “socially constructed ignorance”: 1) the standard model of economics (especially the Efficient Market Hypothesis); 2) the standard toolset of financial markets (which hollowed out financial system resilience by outsourcing human intelligence to models and tools); 3) the standard moral set of financial markets (viewing economic growth as a good apart from environmental health).  Two scenarios are described in detail: Growth (which sees the financial crisis as a unique problem and puts the system back on track) and Health (which focuses on coping with complexity in a more interdependent world, rethinking of many concepts, and sustainability as opportunity).

83.  Valuing the Environment: Economics for a Sustainable Future.  David Glover (International Development Research Centre, Ottawa).  Ottawa: IDRC (dist. by Stylus), May 2010/120p/$20pb.  Shows how poorly functioning markets, incomplete property rights, and misguided policies are harmful to the environment and future generations, and looks at the future of environmental economics in the developing world.

82. The Economics Anti-Textbook: A Guide to Critical Thinking.  Rod Hill and Tony Myatt (both U of New Brunswick).  London & NY: Zed Books (dist. by Palgrave), May 2010/224p/$35.95pb.

81.  The Skeptical Economist.  Jonathan Aldred (Director of Studies In Economics, Emmanuel College, Cambridge U).  London & Sterling VA: Earthscan, May 2009/272p/$35.  Shows that economics is not an agreed body of knowledge or an objective science.  Rather, it is built on ethical foundations and controversial views about what we value and how we ought to live.  These hidden assumptions are exposed, revealing that the conventional wisdom has hoodwinked us.

**80.  Ecological Economics: Principles and Applications (Second Edition).  Herman F. Daly (U of Maryland) and Joshua Farley (Gund Institute of Ecological Economics, U of Vermont).  Washington: Island Press, April 2010/488p/$75.  [See item #58 for abstract of first 2004 edition.]

*79. “Some Elements of the Next Global Economic System over the Next 20 Years,” Chapter 3 in 2009 State of the Future, by Jerome C. Glenn, Theodore J. Gordon, and Elizabeth Florescu (www.StateOfTheFuture.org) .  Washington: The Millennium Project, Aug 2009/90p (+ 6,700p. CD).  The 13th annual edition of SOTF present results of an on-line questionnaire, with 217 participants from 35 countries rank-ordering economic elements for improving the human condition.  The top three were ethics as a key in economic exchanges and work relations, new GNP/GDP definitions that include all forms of national wealth, and a small “Tobin tax” on international transactions to support the global commons.  Other elements include greatly increased public disclosure of tax havens and secret accounts, a redefinition of wealth, new economic theory that accommodates many new “goods” such as information, new financial rules, and a global minimum living wage applied per local conditions.

*78. Our Choice: A Plan to Solve the Climate Crisis.  Al Gore.  Rodale Press, Nov 2009/416p.  A synthesis of 30 “Solutions Summits” convened by the former Vice President, with chapters on global warming pollutants, various sources of energy, living systems (forests, soil, population), energy efficiency, and the “obstacles we need to overcome,” including changing the way we think and considering the true cost of carbon, with comments on the system of national accounts as “dangerously imprecise in its ability to account for natural and human resources,” although the economists who created GDP in the 1930s “never intended for it to become widely used as a measure of general well-being.”  Gore illustrates rising GDP per capita in the 1950-2002 period, as contrasted to the Genuine Progress Indicator per capita, which has leveled off since the late 1970s.  He also notes that several trillion dollars’ worth of “subprime carbon assets” depend for their valuation on a zero price for carbon emissions, and that “owners of these assets will soon face a reckoning in the marketplace,” which represents “a serious problem for our economy.”

**77. Rapport de la Commission sur la mesure des performances economiques et du progres social.  Joseph E. Stiglitz (Columbia U), Amartya Sen (Harvard U), and Jean-Paul Fitoussi.  Paris: Ministere de l’Economie, de l’Industrie et de l’Emploi, Sept 2009/324p.  On quality of life, sustainable development, and the need for new indicators to measure wealth and social progress. 

76. Twenty-First Century Macroeconomics: Responding to the Climate Challenge.  Edited by Jonathan M. Harris (Director, Theory and Education Program, Tufts U) and Neva R. Goodwin (Co-Director, Global Development and Environment Institute, Tufts U).  Northhampton MA: Edward Elgar, June 2009/352p/$140.  Challenges conventional concepts and assumptions about economic growth, and suggests elements of a reoriented macroeconomics that takes account of environmental impacts, social equity, and generational impacts of climate change.  Policies such as carbon trading and reorientation of public and private investment underlie new economic development paths with flat or negative carbon emissions.

*75. Prosperity Without Growth: Economics for a Finite Planet.  Tim Jackson (Prof of Sustainable Development, Univ. of Surrey, UK).  London & Sterling VA: Earthscan, Dec 2009/264p/$22.  An updated version of Jackson’s Redefining Prosperity report to the UK Sustainable Development Commission (2003), challenging unquestioned assumptions of the global policy of growth, arguing that continuing growth is not possible.  “In pursuit of the good life today, we are systematically eroding the basis for well-being tomorrow.”  True prosperity transcends material concerns.  Explores “a different kind of macro-economics” where stability no long relies on ever-increasing consumption growth, and “”economic activity remains within ecological scale.”  Good bibliography of some 300 items.

74. The New Economics: A Bigger Picture.  David Boyle (fellow, New Economics Foundation, London) and Andrew Simms (policy director, NEF).  London & Sterling VA: Earthscan, Oct 2009/192p/$24.95.  Collapse of financial markets is only a small part of the problem of a world driven by economic assumptions that no longer works.  The bundle of “new economics” approaches values real wealth and puts people and planet first.  It calls for reorganizing the measure of success in economics so that prices reflect full costs and decisions are based on human well-being and environmental sustainability.

 
 

 
 
**73. The Bridge at the End of the World: Capitalism, the Environment, and Crossing from Crisis to Sustainability.  James Gustav Speth (Dean, School of Forestry and Environmental Studies, Yale U).  Yale U Press, March 2008/295p.  The vast expansion of  economic activity is the major cause of environmental decline, but our market economy operates on wildly wrong market signals and lacks correcting mechanisms.  Advocates the polluter pays principle, increased resource productivity, getting the prices right, principles of ecological economics (“not the end of the world but the beginning of a new one”), real growth that promotes the well-being of people and nature (as measured by ISEW), advancing a nonsocialist alternative to today’s capitalism, and a new consciousness. (FS 30:11/402)
 
72. Costs of Inaction on Key Environmental Challenges.  OECD, Sept 2008/213p.  In April 2004, OECD environment ministers called for more analysis of costs of inaction, including direct financial costs (expenditures on health, remediation and restoration, private defensive expenditures), indirect costs related to resource depletion and environmental degradation, costs associated with loss of environmental use (aesthetics, visibility), and costs to biodiversity. (FS 30:11/406)
 
**71. The Economics of Climate Change: The Stern Review.  Sir Nicholas Stern (Head, UK Govt Economic Service; former Chief Economist, World Bank).  Cambridge U Press, Jan 2007/712p.  “Climate change is the greatest market failure the world has even seen.”  All evidence shows that it will have serious impacts of world output, human life, and the environment.  All countries will be affected, with the poorest suffering earliest and most.  The earlier effective action is taken (a pro-growth strategy for the long term), the less costly it will be.  Strong action must be taken by all countries, and must be viewed as an investment.  Policy must promote strong market signals, and overcome market failures. (FS 29:1/001)
 
*70.  State of the World 2008: Innovations for a Sustainable Economy.  Edited by Gary Gardner and Thomas Prugh (Project Directors).  W. W. Norton, Jan 2008.  First chapter by Gardner & Prugh calls for conceptual reform in economics in seven areas: adjusting economic scale, shifting focus from growth to development that improves well-being, making prices tell the ecological truth, accounting for nature’s contribution, applying the precautionary principle, revitalizing commons management, and valuing women’s work.  Chapter 2 by John Talberth (Redefining Progress) explains the Genuine Progress Indicator. (FS 29:12/474)
 
69. The Law and Policy of Ecosystem Services.  J.B. Ruhl (Florida State U), Steven E. Kraft (Southern Illinois U), and Christopher L. Lant (SIU).  Island Press, 2007/345p.  Ecosystms provide value to humans, but expression of these benefits is at best implicit in law.  Markets underrepresent these values to pricing and resource allocation decisions.  Natural capital is no longer generally in surplus, so its conversion into other goods and services has a rising ecological opportunity cost; the economic playing field must be readjusted into an ecological-economic playing field, and government must regulate natural capital and view ecosystem services as public goods. (FS 29:9/305)
 
68. The Real Wealth of Nations: Creating a Caring Economics.  Riane Eisler.  Berrett-Koehler, April 2007/318p.  Economics fails to recognize that caring and caregiving are integral to the future.  A new economic model must include six elements: household production, unpaid community work, the market economy, the illegal economy (defined by lack of caring), government (that makes the rules governing the other economies) and the natural economy.  Need inclusive and accurate indicators for all six sectors, and policies that reward caring and caregiving.  (FS 29:8/297)
 
67. Economics for Humans.  Julie A. Nelson (Senior Research Associate, Global Development and Environment Institute, Tufts U).  U of Chicago Press, Sept 2006/154p.  Academic economics is built around a whole structure of biased beliefs.  Mathematical sophistication is held in undisputed high regard, while issues of human need and caring are considered nonrigorous.  The economy-as-machine metaphor blinds us to real-world qualities that make humans work and care. (FS 29:8/298)
 
66. The Meaning of the 21st Century: A Vital Blueprint for Ensuring Our Future.  James Martin.  Riverhead Books (Penguin), Aug 2006/400p.  Charts many perils of the 21C “canyon” through which we are taking a white-water raft trip, including underestimating the fragility of nature, false accounting of the GDP measure that ignores natural capital, perverse subsidies by governments, etc.  The meaning of the 21C is that evolution is now largely in human hands.  We must learn the rules, and learn how to control technology.  (FS 28:6/251)
 
65. Why the Economy Is a Lot Stronger Than You Think: In a Knowledge-Based World, Traditional Measures Don’t Tell the Story, Michael Mandel (BW Chief Economist), Business Week Cover Feature, 13 Feb 2006, 62-70.  The shadow economy of intangibles: innovation, product deign, employee training, brand-building; e.g., household outlays for education (est. at $215 billion in FY 2005) are incorrectly labeled as consumption rather than investment; we need a knowledge-adjusted GDP to track the spending so crucial for global competitiveness.  (FS 28:2/060)
 
*64. Unseen Wealth: Report of the Brookings Task Force on Intangibles.  Margaret M. Blair (Georgetown U Law Center) and Steven M.J. Wallman (former SEC commissioner).  Brookings Institution Press, 2001/124p.  As developed economies move into the 21C, the factors that have become most important to economic growth and societal wealth are intangible: intellectual capital, R&D, brand names, human capital, etc.  But these intangibles do not appear on the balance sheets of corporations or in national accounts, and are often treated more like consumption rather than additions to net worth.  Barriers to better information include conservative approaches to accounting, and resistance to changing paradigms by securities analysts who focus on “quants”,   (FS 23:9/439)
      
63. Capitalism as if the World Matters.  Jonathon Porritt (co-founder, UK Forum for the Future; chair, UK Sustainable Development Commission).  Earthscan, Dec 2005.  A new convergence is beginning to emerge around the twin concepts of sustainability and wellbeing; need to show new opportunities for responsible wealth creation, rather than threatening people with more ecological coom and gloom.  The Five Capitals Framework is proposed: need to consider natural capital, human capital, social capital, manufactured capital, and financial capital.  Must also change the metrics of the GDP measure, which fails to account for natural capital. (FS 28:1/004)
 
62. Sustainable Capitalism: A Matter of Common Sense.  John Ikerd.  Kumarian Press, Aug 2005/211p.  Retired neoclassical economist at North Carolina State U argues that capitalism has become cancerous.  Neoclassical economics has misused the principles of capitalism to support exploitative approaches to economic development; the legitimate principle of private property rights has been used to deny an equally legitimate principle of common property rights; the principles of economic growth have been used to replace principles of happiness and quality of life. (FS 28:1/047)
 
**61.  Beyond the Market: Designing Nonmarket Accounts for the United States.  National Research Council.  National Academies Press, 2005/209p.  National Income and Product Accounts, constructed for the US in the 1930s, omit a large part of the nation’s product, revealing little about production in the home and other nonmarket settings.  High priority should be given to five areas: 1) household production; 2) investments in formal education and human capital; 3) investments in health; 4) government and non-profit sectors providing public goods and services (notably volunteer labor); 5) environmental assets and services (value changes in stocks of natural resources, externalities associated with pollution).  (FS 27:7/348)
 
60. A Guide to What’s Wrong with Economics.  Edited by Edward Fullbrook (U of the West of England).  Anthem Press (dist. by Stylus), Dec 2004/323p.  “Neoclassical economists shed light on an ever-smaller proportion of economic reality.”  Essays on micro nonsense, macro nonsense, ethical voids, neoclassical economics as ideology, misuse of mathematics, the need for ecological economics (by Robert Costanza), and ecological economics and uneconomic growth (by Herman Daly).(FS 27:2/068)
 
*59.  The Changing Face of Economics: Conversations with Cutting Edge Economists.  David Colander (Middlebury College), J. Barkley Rosser Jr (James Madison U), and Richard P.F. Holt (Southern Oregon U).  Univ. of Michigan Press, Nov 2004/358p.  Economics is moving from strict adherence to the holy trinity of rationality, greed, and equilibrium to a more eclectic trinity of purposeful behavior, enlightened self-interest, and sustainability.  This is a modification of the standard view of paradigm shifts—cumulative evolutionary changes that will ultimately be seen as a revolutionary change.  Distinguishes between mainstream economics, orthodox economics, and heterodox economics.  Complexity is a defining factor at the edge of economics, involving ecological economics, psychological economics, nonlinear dynamics, etc.  (FS 27:2/067)
 
 
**58.  Ecological Economics: Principles and Applications.  Herman E. Daly (Prof of Public Affairs, U of Maryland) and Joshua Farley (Gund Institute of Ecological Economics, U of Vermont).  Island Press, Jan 2004/454p.  The disciplinary structure of knowledge suffers from fragmentation; EE is a “transdiscipline” that seeks to overcome this difficulty.  This textbook discusses open and closed systems, types of resources, market failures, why public goods are important, GNP vs. the Index of Sustainable Economic Welfare, international trade, negative consequences of globalization, six general policy design principles, the crucial importance of just distribution, redefining efficiency, sustainable scale, pricing and valuing non-market goods and services, etc. Also see item #80 for 2010 Second Edition. (FS 25:12/579)
 
57. The Wealth of Nature: How Mainstream Economics Has Failed the Environment.  Robert L. Nadeau (George Mason U).  Columbia U Press, Aug 2003/253p.  [NOT SEEN]
 
56. Harnessing Markets for Biodiversity: Towards Conservation and Sustainable Use.  OECD, June 2003/137p.  In May 2001, OECD Environment Ministers, stressing the need for incentives to protect biodiversity, adopted the “OECD Environmental Strategy of the First Decade of the 21st Century.”  This report provides a conceptual framework, arguing that the first step toward market-based sustainable use requires that economic values be made explicit.  Once undervalued biodiversity goods and services are valued, rational decisions can be made regarding use or conservation.  Discusses the need for clear property rights to create markets, financial mechanisms for market enhancers (e.g., venture capital funds, community management with NGO support) and the importance of eco-certification. (FS 25:12/580)
 
55. The New Economy of Nature: The Quest to Make Conservation Profitable.  Gretchen C. Daily (Stanford U) and Katherine Ellison (Knight Ridder Newspapers).  Island Press/Shearwater Books, 2002/260p.  For most of humankind’s existence, ecosystem capital was available in abundance and human activities limited; it was thus reasonable to think of ecosystem services as free.  Today, nature everywhere is under siege and crucial thresholds have been reached, inspiring a shift in thinking from dismissing externalities to internalizing them through a system of fair pricing and fair payments.  Major innovations are needed to capture economic value in ecosystem services.  (FS 24:4/160)
 
54. Economic Reasons for Conserving Wild Nature, Andrew Balmford (U of Cambridge), Robert Costanza (U of Maryland), Norman Myers (Oxford UK) and 16 others, Science, Vol 297, 9 Aug 2002, 950-953.  Humans benefit from wild nature in many ways, but evaluation is difficult because they are not captured by conventional economics.  The planet continues to lose natural ecosystems because of frequent failures of information, and the fundamental role of market failures in driving habitat loss.  The 19 authors calculate the cost of a global reserve program at some $45 billion/year—a strikingly good bargain. (FS 24:10/457)
 
53.  The Economics of Nature and the Nature of Economics.  Edited by Cutler J.  Cleveland (Boston U), David I. Stern (Australian National U), and Robert Costanza (U of Maryland).  Edward Elgar, 2001/293p.  Essays on the evolution of ecological economics, attempts to construct a “green” GNP, formation of the ISEE in 1987, the need for a new growth paradigm, green national accounting, etc. (FS 23:9/441)
 
52. You Can’t Eat GNP: Economics As If Ecology Mattered.  Eric A. Davidson (Senior Scientist, Woods Hole Research Center).  Perseus Books, 2000/247p.  Semi-popularized attempt to displace outmoded GNP thinking that ignores the value of natural resources. (FS 22:9/412)
 
*51.  Natural Capitalism: Creating the Next Industrial Revolution.  Paul Hawken (Sausalito CA), Amory Lovins (Snowmass CO), and L. Hunter Lovins.  Little, Brown, 1999/396p.  The two great intellectual shifts of the late 20C are the fall of communism and, now quietly emerging, the end of the war against life on earth.  Industrial capitalism is a nonsustainable aberration, failing to assign value to the largest stocks of capital it employs: natural capital and human capital.  Four key strategies: radical resource productivity, reducing wasteful throughput through biomimicry, a service and flow economy (entailing a new perception of value), and investing in natural capital to reverse planetary destruction.  (Also see #91 for 10th Anniversary Edition.) (FS 21:11/503)
 
**50. Turning Point: An End to the Growth Paradigm.  Robert U. Ayres (Prof of Management and Environment, INSEAD, Fontainebleau, France).  NY: St. Martin’s Press, 1998/258p.  Expresses “deep misgivings” about economic growth as currently defined and measured, and about world trade as an instrument to achieve it.  Discusses the growing share of GNP growth attributed to costs associated with employment (transport, child care), living on capital by depleting natural resource stocks, economic mismanagement due to basic flaws in economic theory, irrational belief in the power of the free market to adjust, econometric models as “very sophisticated trend extrapolation machines,” the statistical illusion of GDP, the need to eliminate obsolete subsidies, a new growth paradigm emphasizing value added and measuring welfare, etc. (FS 20:10/462)
 
49. The Natural Wealth of Nations: Harnessing the Market for the Environment.  David Malin Roodman (Senior Researcher, Worldwatch Institute).  WW Environmental Alert Series.  W. W. Norton, 1998/303p.  The many costs of industrial activity are not incorporated into markets, and thus prices do not tell the ecological truth.  The most direct way to create an environmentally sustainable economy is to shift taxation to activities that hurt the environment.  Governments can also auction off permits for pollution and resource depletion, and allow trading of permits.  Also discusses subsidy reform and effects of tax shifting to “polluter pays.” 
49. The Natural Wealth of Nations: Harnessing the Market for the Environment.  David Malin Roodman (Senior Researcher, Worldwatch Institute).  WW Environmental Alert Series.  W. W. Norton, 1998/303p.  The many costs of industrial activity are not incorporated into markets, and thus prices do not tell the ecological truth.  The most direct way to create an environmentally sustainable economy is to shift taxation to activities that hurt the environment.  Governments can also auction off permits for pollution and resource depletion, and allow trading of permits.  Also discusses subsidy reform and effects of tax shifting to “polluter pays.”  (FS 20:12/567)
 
 
48. An Introduction to Ecological Economics.  Robert Costanza (Institute for Ecological Economics, U of Maryland), John Cumberland (IEE), Herman Daly (IEE), Robert Goodland (World Bank), and Richard Norgaard (UC-Berkeley).  Boca Raton FL: St. Lucie Press/ISEE, Dec 1997/275p.  An overview of humanity’s current dilemmas (as economic growth affects the ecological life-support system), the historical development of economics and ecology, principles of ecological economics, and policies, institutions, and instruments (e.g., the need for a shared and coherent vision of a sustainable society).  (FS 20:12/566)
 
**47.  Taking Nature Into Account: Toward a Sustainable National Income.  A Report to the Club of Rome.  Edited by Wouter van Dieren (Director, Institute for Env. and Systems Analysis, Netherlands).  NY: Copernicus/Springer-Verlag, 1995/332p.  The main thrust of opposition to “Limits to Growth” lies in the belief that economic growth and the invisible hand are laws of nature.  But there are no laws of economic ordination: economics is not a science but a set of theories and choices.  We must rid our economies of hypocrisy, the main hypocrisy being the System of National Accounts employed for nearly half a century.  More comprehensive measures of progress, such as Sustainable National Income, would subtract depletion of resources from income. (FS 18:1/048)
 
46. Real Value for Nature: An Overview of Global Efforts to Achieve True Measures of Economic Progress.  Fulai Sheng (WWF).  Gland, Switzerland: WWF International, 1995/158p.  The UN System of National Accounts is a flawed information system that fails to account for the cost of economic activities that use natural resources and environmental services, while including costs of reparative measures.  “Green national accounts” or “true national accounts” would better reflect costs and benefits of economic activities. (FS 18:1/047)
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*45. The Genuine Progress Indicator: Summary of Data and Methodology.  Clifford Cobb, Ted Halstead, and Jonathan Rowe.  San Francisco: Redefining Progress, 1995 (brief version in Atlantic Monthly, Oct 1995 Cover Feature, pp59-78).  Much of what economists call economic growth is really fixing blunders and social decay from the past.  GDP ignores contributions of families, communities, and the environment.  The GPI is a pilot measure expanding on the Index of Sustainable Economic Welfare proposed by Herman Daly and John B. Cobb Jr.  Concludes that “honest national accounting would inject a large dose of accountability to the political process.” (FS 18:6/290)
 
44. The Death of Economics.  Paul Ormerod (London).  Faber and Faber, 1994; St. Martin’s Press, 1995.  Former head of economic assessment at The Economist views the orthodoxy of conventional economics as “trapped in an idealized, mechanistic view of the world.”  Chapters on problems of measuring prosperity by GDP, the roots of economic orthodoxy, mechanistic modeling, and the core model of theoretical economics—that of competitive general equilibrium—premised upon “an entirely faulty view of the modern world.”  (FS 18:6/289)
 
 
43. Economic Evolution and Structure: The Impact of Complexity on the U.S. Economic System.  Frederic L. Pryor (Swarthmore College).  Cambridge UP, 1996/399p.  Our economy, society, and personal lives are becoming more complex—a crucial concept for understanding the evolution of the US economic system.  Four scenarios of alternate capitalism: General Exhaustion, Finance Capitalism (institutional owners exercise major decision-making power), Atomic Capitalism (the antithesis of finance capitalism, with production in relatively small enterprises), and Remodeled Capitalism (adaptation to increased structural complexity through enhanced valuation of human capital).  [NOTE: No mention of natural capital, but otherwise important.](FS 18:6/288)
 
42. Environmental Economics: An Elementary Introduction.  R. Kerry Turner, David Pearce, and Ian Bateman.  Johns Hopkins, 1993.  Textbook on sustainable development, how markets and governments fail, valuing nature, trading environmental permits, etc. (96/13554)
 
41. Investing in Natural Capital: The Ecological Economics Approach to Sustainability.  Edited by Ann-Mari Jansson, Monica Hammer, Carl Folke, and Robert Costanza.   Island Press, 1994/504p.  Derived from a 1992 workshop at the ISEE second conference in Stockholm.  Topics include natural capital vs. human-made capital, investing in cultural capital for sustainable use of natural capital, the economic value of natural ecosystems, mitigation strategies for sea-level rise, a natural capital depletion tax, etc.(96/13555)
 
40. The Green National Product: A Proposed Index of Sustainable Economic Welfare.  Clifford W. Cobb and John B. Cobb Jr.  Univ. Press of America, 1994/343p.  Mostly devoted to eight invited critiques of ISEW by leading thinkers on the measurement of economic welfare, e.g: Robert Eisner on the exclusion of human capital, inadequate treatment of government capital, and costs of urbanization.(96/13557)
 
39. Economics Explained: Everything You Need to Know About How the Economy Works and Where It’s Going (Revised and Updated).  Robert Heilbroner and Lester Thurow.  Simon & Schuster/Touchstone, 1994/285p.  Chapters on capitalism, weaknesses of the GNP measure, saving and investing, what money is and how it works, the banking systems, MNCs, how markets work and where they fail, etc.  (96/13684)
 
38. Understanding American Economic Decline.  Edited by Michael A. Bernstein (Chair of History, UC-San Diego) and David E. Adler.  Foreword by Robert Heilbroner.  Cambridge UP, 1994/403p.  US economic deterioration has deep structural, historical, and institutional roots rarely addressed by mainstream economic theory.  Roots of the crisis involve such issues as the US financial system, government-business relations and labor-business relations.  Chapters on the changed landscape of financial institutions, changes in global competitiveness, the failure of right-wing economics in the 1980s, and the need for substantive reforms. (96/13685)
 
*37. For the Common Good: Redirecting the Economy Toward Community, the Environment, and a Sustainable Future (Second Edition).  Herman E. Daly (U of Maryland) and John B. Cobb (Claremont Grad School).  Beacon Press, March 1994/534p.  First published in 1989, the authors critique the failings of economics as an academic discipline and propose a real-world approach to the economy and steps for getting there such as the ISEW to replace GNP and university reform.  This new edition adds a 36-page Afterword on “Money, Debt, and Wealth,” proposing reform to restore honesty and accuracy to the function of money in the economic system. (95/12928)
 
36. The End of Economics?  Ethics and the Disorder of Progress.  Christovam Buarque (U of Brasilia).  Zed Books, 1993/172p.  Calls for ethics in economics, valuing nature and culture, rethinking “progress,” and an ecological economics that includes all relations of life. (95/12928AS)
 
35. Environmental Economics.  Clem Tisdell (U of Queensland).  Edward Elgar, 1993.  Chapters on externalities, pollution control policies, risk taking, project evaluation, cost-benefit analysis, intergenerational economic welfare, etc. (95/12931)
 
34. Economic Values and the Natural World.  David W. Pearce (University College, London).  MIT Press, 1993/129p.  On applying economic valuation to project appraisal, setting national priorities, modifying GNP to reflect depreciating of natural capital and damage to human well-being, etc. (95/12934)
 
33. World Without End: Economics, Environment, and Sustainable Development.  David W. Pearce and Jeremy J. Warford (World Bank).  Oxford UP/World Bank, 1993/440p.  On environmental economics, sustainability, the choice of discount rate, environmental accounting, evaluating environmental damage and benefits, carrying capacity, market failure, pricing for cost recovery, etc.  (95/12935)
 
32. The Misunderstood Economy: What Counts and How to Count It.  Robert Eisner (Northwestern U).  Harvard Business School Press, 1994.  Past president of the AEA on appropriate measures of the economy and of people’s suffering and well-being, failures of the GDP measure (it does not consider household work and other nonmarket activity), the full value of government output, environmental deterioration, distinctions between investment and consumption, intergenerational transfers, etc. (95/13072)
 
31. Real-Life Economics: Understanding Wealth Creation.  Edited by Paul Ekins (U of London) and Manfred Max-Neef (Development Alternatives Center, Santiago).  Routledge, 1992/460p  Economics in its mainstream neoclassical form fails to provide a coherent explanation of reality, especially environmental degradation, the nature of markets, persistent poverty, and household production.  The 37 essays sponsored by London’s Living Economy Network discuss humanistic economics, the household in the total economy, the four-capital model of wealth creation, etc.
(94/12331)
 
30. Valuing the Earth: Economics, Ecology, Ethics.  Edited by Herman E. Daly (World Bank) and Kenneth N. Townsend.  MIT Press, 1993/387p.  Reprinted essays, most of which occurred in Daly’s Toward a Steady-State Economy (1973).  Includes Kenneth Boulding on the economics of the coming spaceship earth (1966), E. F. Schumacher on Buddhist economics, and Nicholas Georgescu-Roegen on the entropy law and economic myths. (94/12332)
 
*29. Choosing a Sustainable Future: The Report of the National Commission on the Environment.  Chaired by Russell E. Train.  Island Press, 1993/180p.  The nine chapters include “The Goal of Sustainable Development” (which should be the primary goal of economic policy) and “Economics” (advocating an end to price-distorting subsidies, taxing environmentally harmful activities, and revising the GNP measure to incorporate resource and environmental factors). (94/12340)
 
28. The Future of American Banking.  James R. Barth (Auburn U), R. Dan Brumbaugh Jr (Federal Home Loan Bank Board), and Robert E. Litan (Brookings Inst.).  M.E. Sharpe, 1992.  Many of the largest US banks are on or over the edge of insolvency, and are highly exposed to further deterioration, due to significant involvement in high-risk lending.  Fundamental structural changes in the banking industry will impel those institutions that survive to take greater risks in the future, due to an expanding number of financial services firms.(93/11904)
 
27. Ecological Economics: The Science and Management of Sustainability.  Edited by Robert Costanza.  Columbia UP, 1991/525p.  Essays from a workshop following the first meeting of ISEE in 1990 in Washington, arguing that EE “takes a wider and longer view in terms of space, time, and parts of the system to be studied.”  Contributors include Kenneth Boulding, Herman E. Daly, Garrett Hardin, Mary E. Clark, and Juan Martinez-Alier.(93/11912)
 
*26. The Gaia Atlas of Green Economics.  Paul Ekins, Mayer Hillman, and Robert Hutchison.  Foreword by Robert Hielbroner.  Anchor Books/Doubleday, 1992.  Topics include the need for green economics, the economy as only one of four essentials of the human condition (the others being society, ecology, and ethics), the four-capital model of wealth creation (ecological, human, manufactured, and social), the Adjusted National Product as superior to GNP, economic accounting for the environment, creating eco-capital, etc.(93/11913)
 
25. Alternative Economic Indicators.  Victor Anderson (New Economics Foundation, London).  Routledge, 1991.  Chapters on the problems of national income accounting, an enlarged economics, three types of economic process (monetary flows, humans organized in particular ways, relations between humans and the natural world), and promoting better indicators.(93/11914)
 
*24. Socio-Economics: Toward a New Synthesis.  Edited by Amitai Etzioni (GWU) and Paul R. Lawrence (Harvard Business School).  M.E. Sharpe, 1991/359p.  Papers from a 1989 conference at HBS leading to formation of the Society for the Advancement of Socio-Economics, which promotes a more complex image of economic reality where people serve themselves and others.  Also see The Moral Dimension: Toward a New Economics by Etzioni (Free Press, 1988). (93/11915)
 
23. Morality, Rationality, and Efficiency: New Perspectives on Socio-Economics.  Edited by Richard M. Coughlin (Prof of Soc, U of New Mexico).  M.E. Sharpe, 1991/411p.  Papers from the second SASE conference held in 1990, criticizing neoclassical economics for neglecting morality, treating rationality as simple self-interest, and assuming that efficiency means individuals freely seeking to maximize their utilities.(93/11916)
 
*22. The Market Experience.  Robert E. Lane (Yale U).  Cambridge UP, 1991/630p.  Former president of APSA argues that the market should be judged by satisfactions people receive, rather than efficiency in producing and distributing goods and services, thus shifting the axis of debate toward how economic life contributes toward happiness or human development.  This challenge to microeconomics and its concepts of utility, rationality, wants and wanting, and the desire for more money, is seen as fundamental. (In a blurb, Amitai Etzioni says “this will surely be one of the most important social science books of the 1990s and beyond.”) (93/11917)
 
21. Generational Accounting: Knowing Who Pays, and When, for What We Spend.  Laurence J. Kotlikoff (Boston U).  Free Press, 1992.  Worries that the baby boom generation has inherited major fiscal liabilities, and obligations of future generations will be larger.  A new way of thinking about and measuring economic policy would lead to policies that are fair to each generation, shift the focus from short-term to long-term, eliminate the current bias against government spending on infrastructure, and give individuals a much clearer sense of their own future treatment by government.
(93/11919)
 
20. A Future for the American Economy: The Social Market.    Severyn T. Bruyn (Prof of Sociology, Boston College).  Stanford UP, 1991/424p.  On the many contradictions of the US economy, arguing that social factors need more consideration and that key economic concepts need redefinition: broadening wealth to include human resources, judging productivity by social as well as economic criteria, etc. (92/11234)
 
19. Steady-State Economics (Second Edition with New Essays).  Herman E. Daly.  Island Press, 1991.  First published in 1977, the steady-state economy is seen as a necessary and desirable future state of affairs, based on the axiom that “enough is best.”  Criticizes the “more is better” growth paradigm, the evasion of ethical issues in the Keynesian-neoclassical synthesis, and the failure of economists to seriously consider “management of the household.” (92/11236)
 
18.  Future Wealth.  James Robertson (UK).  London: Cassell, 1989/178p.  Conventional economics is based on primitive assumptions.  Three key principles for a new economic order geared to creating wealth and wellbeing for people and the Earth: it must be enabling, conserving, and organized as a multi-level one-world system.
 
*17. If Women Counted: A New Feminist Economics.  Marilyn Waring (New Zealand Parliament).  Harper & Row, 1988/386p.  On how women’s work is counted out of the labor force (whereas nonproductive military expense is counted), the economics of reproduction, the value of caring services, flaws of the GNP measure, etc. (90/9935)
 
*16. The Moral Dimension: Toward a New Economics.  Amatai Etzioni (GWU).  Free Press, 1988.  Criticizes the paradigm of neoclassical economics that sees free-standing individuals making decisions on their own to maximize pleasures or interests, and oversells the virtues of the market while underestimating the value of cooperation and unselfish acts of people. (90/9938)
 
15. Beyond Free Markets: The Revival of Activist Economics.  Marc Levinson.  Lexington Books, 1988.  Editorial director of J. of Commerce criticizes economists who favor market forces, arguing that a less ideological analysis is making a comeback, differing markedly from the interventionist/welfare state economics of earlier decades.  The new economics sees a world that is messy and complex, and suggests ways the government can help markets perform better. (90/9939)
 
14. Humanistic Economics: The New Challenge.  Mark A. Lutz (U of Maine) and Kenneth Lux.  Foreword by Amitai Etzioni.  NY: Bootstrap Press/ITDG, 1988.  Update and revision of The Challenge of Humanistic Economics (Benjamin/Cummings, 1979), building on the concept of the universality of human needs; the one-dimension “rational man” of mainstream economics” lacks human characteristics and ignores the higher self that identifies with a common humanity.  A humanistic welfare economics would promote basic material needs satisfaction, meaningful work, and dignity for all. (88-89/9212)
 
13. The Living Economy: A New Economics in the Making.  Edited by Paul Ekins (Director, TOES, London).  Routledge & Kegan Paul, 1986.  Derived from papers presented at the 1984/1985 conferences of The Other Economic Summit, an ongoing initiative that seeks a sane, humane, and ecological economics following E. F. Schumacher.  Contributors include Herman Daly, Hazel Henderson, James  Robertson, Johan Galtung, John McKnight, Trevor Hancock, and Willis Harman.  Topics: the assumptions of GDP, human-scale economics, satisfying all human needs, improving indicators (from GNP to Adjusted National Product), etc.  (87/8421)

12. Stabilizing an Unstable Economy.  Hyman P. Minsky (Washington U).  A Twentieth Century Fund Report.  Yale UP, 1986/353p.  A post-Keynesian view that the standard body of economic theory is seriously flawed.  This so-called neo-classical synthesis may be an elegant logical structure, but fails to explain how financial crises emerge.  The models derived from standard economics do not deal with time, money, uncertainty, investment, or financing of ownership of capital assets.  (86/7693)

11. The Poverty of Economics,  Robert Kuttner, The Atlantic Monthly, Feb 1985, 74-84. A critique of the neoclassical model, econometric techniques, over-mathematization, lack of commitment to disputation, and deep resistance to change.  [ALSO SEE “What Good Are Economists? (Newsweek, 4 Feb 1985, 60-63), on intellectual paralysis, prediction failures, and elegant mathematical theories that neglect the real world.]  (85/6814)

10. Dangerous Currents: The State of Economics.  Lester C. Thurow (MIT).  Random House, 1983.  On the intellectual disarray of economists, lack of shared ideas, unsupported assertions, ever-narrower interpretations as mathematical sophistication increases, and rebuilding the foundations of economics.  The transition from one mode of thought to another is difficult, since it involves abandoning a beautiful sailing ship. (84/6435)

9. Economics and Policymaking: The Tragic Illusion.  Eugene J. Meehan (Prof of Pol Sci, U of Missouri-St. Louis).  Greenwood Press, 1982.  A critique of the fundamental assumptions that guide economic inquiry, notably the concept of the “economic system.”  Economists rarely examine their basic assumptions, and their reward system strongly supports the status quo. (84/6434)

8. The Politics of the Solar Age: Alternatives to Economics.  Hazel Henderson.  Anchor Press/Doubleday, 1981/433p. A spirited collection of “ideas in process” aimed at “a complete restructuring of economics” and its statistical illusions.  Essays on battles over changing paradigms, the end of “flat-earth economics,” the failures of Keynesianism, post-Keynesians as “not much better,” the bankruptcy of macroeconomics, the transition to renewable resource societies, economics as “a form of brain damage,” defrocking the economics priesthood, economists as apologists for late-stage industrial cultures, etc.  Extensive footnoting and annotations of 46 books on reformulating economic theory (pp 235-241). (81-82/3731)

7. Creating Alternative Futures: The End of Economics.  Hazel Henderson.  Foreword by E. F. Schumacher.  Berkeley Windhover, Feb 1978/403p.  A collection of essays on economics as “our reigning sophistry,” the vision of a decentralized and communitarian society, the exhaustion of economic logic, the inadequate modeling of “efficiency” criteria, the entropy state, problems with GNP measures ignoring social and environmental costs, pluralistic futurism, and the emerging counter-economy.

6. Human Economy: A Bibliography.  Vol 1—Books.  Compiled by John Applegath.  Amherst MA: The Human Economy Center, 1981/77p.  Documents the alternative economics view that reflects a deep concern with basic human needs and quality of life.  Includes 50 briefly annotated items and some 950 unannotated items on such topics as critiques of economics, distribution of wealth, self-sufficiency, voluntary simplicity, ecology/environment, efficiency,etc . (81-82/3792)

**5. Dialogue on Wealth and Welfare: An Alternative View of World Capital Formation.  A Report to the Club of Rome.  Orio Giarini (Graduate Institute of European Studies, Geneva).  Pergamon, 1980/386p.  The current paradigms of economics as concerns wealth, welfare, and value date back a couple of centuries.  The world’s ecological systems are being steadily degraded, and the natural environment must be recognized in economic terms. With strategies for wealth production centered around the natural endowment of the Earth.  Also critiques GNP for including destructive activity and excluding production that takes place outside the monetarized system.  (80-81/1656)

4.  Post-Affluent America: The Social Economy of the Future.  Gary Gappert.  New Viewpoints / Franklin Watts, 1979/242p.  On the realization that the American dream has limits, transition to the steady state, work redesign, evolution of the social-economic self, and future problems and prospects.

3. The Methodology of Economic Thought.  Edited by Warren J. Samuels (Prof of Economics, Michigan State U).  Transaction Books, 1978.  Essays by heterodox evolutionary economists that provide a critique of economic theory and explore possibilities for a broader, deeper, and more relevant political economy. (79/894)

*2.  Evolutionary Economics.  Kenneth E. Boulding (U of Colorado).  Beverly Hills CA: Sage, 1978; 1981/200p.  Economic life seen as a large subset of total human activity in history, following general principles that govern evolution.  Contrasted to “mainline economics,” evolutionary economics is itself evolutionary, “a mutation that would strengthen the whole ecosystem of economic thought and make it richer and more varied.”  It is a way of looking at the great complexity of economic and social life, opening up “the possibility for very large improvements in public policy based on more realistic appraisals.”  This model warns us against think of complex systems in terms of simple cause and effect.  (81-82/3788)

1a. Humanomics: How We Can Make the Economy Serve Us—Not Destroy Us. Eugen Loebl (NYC).  Random House, 1976/164p.  Former Czech Minister of Foreign Trade on the fallacies of economics and economic laws, the money supply, outdated taxation, and new frames of reference for economic democracy.      

*1.  “L’economie politique de la gratuite” (The Political Economy of Free Goods and Services), Bertrand de Jouvenel, 1957.  Reprinted in de Jouvenel, Arcadie: Essais sur la mieux-vivre (Arcadia: Essays on Better Ways of Living) and in Futuribles, #357, Nov 2009, 75-85.  On the limitations of economic accounting methods that do not take account of unpaid services, free goods, or “negative goods” (externalities).  [NOTE: Perhaps the earliest critique of GDP, by a renowned political theorist and futurist.]   

 

New Economics Author/Institution Index

             (* = notable;  ** = especially notable)

 

Ackerman, Frank **94

Aldred, Jonathan 81

Anderson, Victor 25

Applegath, John 6

Ayres, Robert U.  **50

Balmford, Andrew 54

Barth, James R. 28

Bernstein, Michael A. 38

Blair, Margaret M. *64

Boulding, Kenneth E.  *6, 27, 30

Boyle, David 74

Brookings Institution 64

Bruyn, Severyn T. 20

Buarque, Christovam 36

Cleveland, Cutler J. 53

Club of Rome **5, **47

Cobb, Clifford *45

Cobb, John B. *37, 40

Colander, David *59

Costanza, Robert 27, 48, 53, 54

Coughlin, Richard M. 23

Daily, Gretchen C. 55

Daly, Herman F.  19, 30,*37, 48, 58, **80

Davidson, Eric A. 52

Driesen, David M. 92

de Jouvenel, Bertrand *1

de Leon, Erwin 90

Eisler, Riane 68, 90

Eisner, Robert 32

Ekins, Paul 13, *26, 31

Etzioni, Amitai *16, *24

Farley, Joshua 58, **80

Fletcher, Ian *98

Frey, Bruno S.  87

Fullbrook, Edward 60

Gappert, Gary 4

Gardner, Gary *70

Gertner, Jon *88

Giarini, Orio **5

Glenn, Jerome C.  *79

Global Development and Environment

  Institute (Tufts U)  **94, **95

Glover, David 83

Goodland, Robert 48

Goodwin, Neva 76, **94, **95

Gore, Al 78

Gowdy, John M.  86

Halstead, Ted *45

Harris, Jonathan M. 76, **95

Hawkin, Paul  *51, *91

Heilbroner, Robert 39

Henderson, Hazel 7, 8 *

Hill, Rod 82

Human Economy Center 6

Ikerd, John  62

Institute for New Economic Thinking **89

Jackson, Tim *75

Jansson, Ann-Mari 41

Kotlikoff, Laurence J. 21

Krugman, Paul 85

Kuttner, Robert 11

Lane, Robert E. *22

Levinson, Marc 15

Loebl, Eugen 1a

Lovins, Amory  *51, *91

Lutz, Mark A. 14

Mandel, Michael 65

Martin, James 66

Meehan, Eugene J.  9

Millennium Project  *79

Minsky, Hyman P. 12

Myers, Norman 54

Nadeau, Robert L. 57

National Commission on the Environment *29

National Research Council (US) **61

Natural Edge Project (Australia)  *96

Nelson, Julie A. 67, **94, **95

New Economics Foundation 74

Norgaard, Richard 48

Organisation for Economic Co-operation and Development 56, 72

Ormerod, Paul 44

Oxford Scenarios (84)

Pearce, David 33, 34, 42

Porritt, Jonathon 63

Pryor, Frederic L. 43

Quiggan, John  **97

Redefining Progress  *45

Robertson, James 18

Roodman, Malin  49

Ruhl, J.B. 69

Said Business School (Oxford) 84

Samuels, Warren J. 3

Sen, Amartya  *77

Sheng, Fulai  46

Smith, Michael H.  *96

Speth, James Gustav  **73, 93

Stern, Sir Nicholas **71

Stiglitz, Joseph E.  **77

Sustainable Development Commission (UK) 63, *75

The Other Economic Summit (TOES-UK) 13

Thurow, Lester 10, 39

Tisdell, Clem 35

Train, Russell E.  *29

Turner, R. Kerry 42

Urban Institute 90

US Business and Industry Council *98

van Dieren, Wouter  *47

Waring, Marilyn 17

Wilkinson, Angela 84

World Bank 99

World Wildlife Federation  46

Worldwatch Institute  49, *70

 
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