Written by Miguel Azzopardi
The coronavirus pandemic has once more laid bare the inequalities, injustices, and failings inherent of our economic system. Economic and health policies were, on the whole, designed to benefit the people who already have significant wealth, power, and influence. But what if we could redesign our economic foundations so that there was no need for a choice between economic stability and health? Most importantly, what if we could do that and introduce a better, fairer, society along the way?
This is one of the goals of the degrowth – or post-growth – movement (misleading name, I know) – a set of ideas that seek to create a society where economic growth is not necessary for economic and social stability and prosperity.
First emerging in the 1970s out of concern for an increase in resource use…
…it developed into a broad range of concerns surrounding the current economic system. At this point in time, scientific research began to point out the physical limitations of growth-orientated economic policy: Earth’s resources are finite and eventually will cease to exist if consumption continues to rapidly expand. This was later compounded by research that showed that economic growth in rich countries did not lead to a meaningful increase in wellbeing. These countries tend to already meet their population’s material needs enough to guarantee a good living standard.
Recent studies have also shown a lack of evidence in order to support the idea that greenhouse gas emissions can be efficiently decoupled from GDP growth.
Hence, among degrowth’s core ideals lie greater individual autonomy and a common societal approach. Resources are shared, individuals have more leisure time for care and for other self-sustaining work they wish to do, and wealth and power are fairly distributed. In doing so, we would also be provoking a healthier relationship with nature.
It also continues a critique of development theory with proponents arguing that enforced development of the Global South is nothing more than another form of colonialism. In this critique, companies from the Global North exploit resources in the Global South to support their own economies. This has significant implications for economies seeking to become carbon neutral, as it also identifies how emissions, while perhaps reduced on a national scale, may continue to increase internationally if countries keep pursuing policies in virtue of economic growth.
The question is: How are we to transition towards a post-growth or degrowth society?
There are a number of proposals and so, many potential ways of achieving this. The first would be to instate a universal basic income or job guarantee complimented by a maximum income. This would ensure that individuals are able to support themselves and that we do not have people needlessly accumulating wealth which they would re-invest in ways that may potentially enforce abuse on society. This also ought to be complemented by measures that would reduce working time therefore allowing people to dedicate more time to care work and other activities they consider valuable, enhancing their autonomy. This would also create more jobs as tasks are then split between each worker, rather than seeking the exploitation of each individual.
Another approach would be to bring the government directly to the people through forms of direct democracy. In Malta, this would mean giving significant powers to local councils and seeing the creation of citizens’ assemblies. This would allow people to have an active role in making decisions that directly affect them – instead of relegating these to appointed officials.
A third approach would be to reform the banking sector and monetary policy. This would involve the removal of interest rates from loans and instating different currencies depending on the type of product being sold. Alternative currencies can help make sure that the monetary value of products sold reflects any embedded social and environmental costs, with different types of products having different currencies. On the other hand, removing interest rates and public ownership of the banking sector would make sure that money is being used to improve public, rather than private, assets.
This touches on another aim of degrowth and post-growth thought – the restoration of commons (i.e. public assets). In this framework, public assets like Miżieb and Aħrax are administered by a commission made up of ordinary people chosen by sortition as well as interested parties. Public assets that were privatised, like Fort Chambray and Manoel Island, should be returned to the public. Likewise, private property should not be considered as an inalienable right, but rather a form of guardianship.
As countries are still experimenting with some of these proposals – some of which have not been thoroughly experimented with – it’s evident that there is no set way of creating a society that is not reliant on growth. However, a combination of different strategies will be needed.
Many countries have started to acknowledge the need to move towards post-growth societies, if only implicitly so.
Back in 2018, the governments of Scotland, New Zealand and Iceland announced that well-being would become an integral part of public policy and hence, formed the Well-being Economy Governments partnership. Likewise, earlier this year, Amsterdam announced it would be reconsidering its economic priorities using the ‘doughnut’ economic model – a model devised by Oxford economist Kate Raworth which places societal and ecological well-being at its centre.
In Malta, we have yet to make any similar acknowledgement. As recently as August, the government announced economic growth and carbon-neutrality among the pillars of economic policy. Few have acknowledged that carbon-neutrality and economic growth are mutually exclusive and that the ability for growth to enhance our well-being is now seriously in doubt. Acknowledging the transition ahead ought to be an important first step.
With the twin crises of the rapidly accelerating climate breakdown and the COVID-19 pandemic, the need to create societies that are not reliant on growth is more necessary than ever. In moving towards a post-growth society, we can create a fairer society that acts in harmony with the natural world.
Check out Extinction Rebellion’s previous article!
