Economics Unmasked Excerpt

Sometimes I read things that make such good sense, I have to post them.

Excerpt from Economics Unmasked by Manfred Max-Neef:

1. The use of local currencies, so that money flows and circulates as much as possible in its place of origin. It can be shown by economic models that if money circulates at least five times in its place of origin, it may generate a small economic boom.
2. The production of goods and services as locally and regionally as possible, in order to bring consumption closer to the market.
3. The protection of local economies through tariffs and quotas.
4. Local cooperation in order to avoid monopolies.
5. Ecological taxes on energy, pollution and other negatives. At present we are taxed on goods and not on "bads".
6. A greater democratic commitment to insure effectiveness and equity in transition towards local economies.

Postulate 1. The economy is to serve the people, not the people to serve the economy.

Postulate 2. Development is about people, not about objects.

Postulate 3. Growth is not the same as development, and development does not necessarily require growth.

Postulate 4. No economy is possible in the absence of ecosystem services.

Postulate 5. The economy is a sub-system of a larger and finite system, the biosphere; hence permanent growth is impossible.

Value principle: No economic interest, under any circumstances, can be above the reverence for life.