The search for appropriate new forms of economics and business must begin with a reasonably good knowledge and understanding of contemporary economics and business and of the current world financial and trading situation, together with the historical contexts in which they evolved and emerged. That is why the first key texts that I cite are sources of information about economics, business, and globalisation today, or powerful critiques of them. The remaining key texts cover a selection of new paradigms for economics, business, and management.
Most national economies worldwide operate under some from of capitalism, as does the international global economy which is now dominated by multinational companies. Similarly, world trade and global finance are dominated by very large, very powerful, and very wealthy organisations, most of which are not democratically accountable. The collectivist alternative of operating a command economy is now almost totally discredited, although it should be realised that there is some degree of appropriate economic planning, within large businesses as well as many national economies. The present world economic system has been criticised for so many reasons, that it is doubtful whether public opinion will allow it to survive indefinitely without some major transformation. The system has brought about enormous, often widening, gaps between rich and poor nations and between rich and poor people within the same nation. Indiscriminate economic growth has brought about strong economic pressures that damage both global and local environments. Unemployment is still considerable or even severe in many parts of the world. Developing countries have been especially adversely affected by these trends.
During the last three decades, in response to these obvious faults of contemporary global capitalism, much thought has been given to non-socialist alternatives to capitalism, ranging from new paradigms for economics and business to new practical ways of conducting economic and business activities, often at the local community and grassroots levels. Some of these new approaches can be viewed as variants of capitalism, in the sense that market forces continue to play a fundamental part in them, but with the market being viewed as a good servant and not being allowed to become a bad master. An especially interesting example is the 'natural capitalist' approach which is presented in one of the key texts. Others envisage a 'new economics' which is recognisably different from capitalism though still using market forces. One variant of this is the concept of a 'global cooperative economy', which attempts to synthesise the better features of capitalism and collectivism into something that goes beyond them. There is a wide variety of new business approaches, which will all help to contribute to the required transformation of global capitalism. They range from the 'people matter most' approach of the former Business Network, the 'win-win' approach, and various forms of 'stakeholder partnership' and cooperative company structures, to green business methods, including green consumerism and deliberate attempts to minimise adverse environmental impacts and maximise the effective use of limited resources. We can also be encouraged by the remarkable achievements and innovations of many leading entrepreneurs today.
Alan Mayne is a self-employed author, editor, personal computer specialist and researcher. Latest books: 'Into the 21st Century: A Handbook for a Sustainable Future' (co-author), 'Resources for the Future: An International Annotated Bibliography for the 21st Century' . editor of 'New Paradigms Newsletter'.
Samuelson, Paul A. and Nordhaus, William D. with Mandel, N. J. (16th Ed. 1998) Economics: An Introductory Analysis. New York & London: McGraw Hill. ISBN .
The latest edition of what is perhaps the best known text-book of contemporary economics. Covers basic concepts, macroeconomics, microeconomics, and more specific topics such as incomes, efficiency, equity, government, economic growth, and international trade.
Held, D., McGrew, A., Goldblatt, D., Perraton, J. (1999) Global Transformations: Politics, Economics and Culture. Cambridge: Polity Press. ISBNs 1-7456-1498-1 & 0-7456-1499-X.
Comprehensive, systematic book on globalisation, throwing new light on the complex processes that are reshaping the contemporary world and placing them in a historical context. Has especially extensive coverage of the economic and business aspects, including global trade, global markets, global finance, global production networks, and multinational corporations, but does not ignore other aspects such as environmental impacts and global politics.
Korten, D. C. (1999) The Post-Corporate World: Life after Capitalism. San Francisco: Berrett-Koehler Publishers and West Hartford, CT, USA: Kumarian Press. ISBN 1-57675-051-5.
Presents a strong, well-documented critique of contemporary global capitalism, and challenges its claims to be the engine of wealth creation, the champion of democracy, and the embodiment of the market economy. Sees the best alternative as a planetary system of democratically governed market economies that honour basic market principles, as originally advocated by Adam Smith. Finds that healthy markets are a key to creating just, sustainable, and compassionate societies.
Henderson, H. (1996) Building a Win-Win World: Life beyond Global Economic Warfare. San Francisco: Berrett-Koehler Publishers. ISBN 1-57675-027-2.
Another strong critique of global capitalism, which shows that it is unsustainable and examines its damaging effects on workers, families, communities, and ecosystems worldwide. Describes how these negative trends are being countered by the rise of grassroots globalism, which includes networks of nongovernmental and citizen organisations and expressions of cultural diversity. Shows how win-win strategies can become normal at every level when people see the actual current and future costs of short-sighted, narrow policies.
Ekins, P. (Ed.) (1986) The Living Economy: A New Economics in the Making. London & New York: Routledge & Kegan Paul. ISBN 0-7102-0946-0.
In this book, leading representatives of the new economic thinking of the 1980s analyses the defects of conventional economic theory in the light of contemporary economic problems, and provide a preliminary formulation of a coherent, consistent economic framework. They propose a positive new economic theory, policy, and practice for wealth and well-being.
Robertson, J. (1990) Future Wealth: A New Economics for the 21st Century. London: Cassell, ISBNs 0-343-31930-9 & 0-304-31933-3, and New York: Bootstrap Press.
Advocates a new worldwide economic order for the 21st century, adapted and applied to real human and planetary needs. The key aspects of this new economy must be to enable people and conserve the Earth, with a much better motivation than today's dominant competitive greed. Provides important guidance for those concerned with the present state of the world, and interested in economical and social reforms and a better future.
Schumacher, F. (2nd Ed. 1973) Small Is Beautiful: A Study of Economics as if People Mattered. London: Abacus, Sphere Books. ISBN 0-349-13172-5. (New Ed. 1993) London: Vintage.
Pioneering 'classic' of green economics, strongly criticising modern capitalism and looking at the world's economic structure in a revolutionary way. Proposes a system of 'intermediate technology', based on smaller working units, communal ownership, and regional workplaces using local labour and resources. Emphasises the person, not the product, and points the way to a world where capital serves humanity.
Dahl, A. L. (1996) The Eco Principle: Ecology and Economics in Synthesis. New York, St Martins Press, and London: Zed Books.
Introduces the systems concept of 'eco', and uses it as the foundation for a proposed integration of ecology and economics. Explains why present economic and political systems are not working, and applies the 'eco' concept to integrate economic, environmental, and spiritual aims into a new paradigm for changing them. The author has been deeply influenced by his Baha'i religion and his extensive practical experience of biological ecology, the environment, and economic development in the Third World.
Goyder, G. (2nd Ed. 1993) The Just Enterprise: A Blueprint for the Responsible Company. London: Adamantine Press. ISBN 0-7449-0098-0.
Suggests specific changes in British company law, which could give workers a meaningful say in the government of their companies and convert these companies into genuine partnerships between all their stakeholders. Develops the idea of the 'responsible company', and shows how the creation of such companies could advance the cause of freedom. Focuses on the social and human problems of industry, which have been ignored for far too long.
Handy, C., with photographs by Handy, E. (1999) The New Alchemists. London: Hutchinson. ISBN 0-09-180215-6.
Presents case studies of a wide variety of new enterprises built up by interesting and original individuals, whom the authors call 'New Alchemists' "because they have each created something significant out of nothing or turned the equivalent of base metal into a kind of gold." Based on interviews with 29 of these pioneering entrepreneurs, supported by colour photographs of the environments in which they live and work.
Hutchinson. C. (1995) Vitality and Renewal: A Manager's Guide for the 21st Century. London: Adamantine Press. ISBNs 0-7449-0110-3 & 0-7449-0111-1.
Aims to convince businesses and managers of the urgent need to take threats to the environment seriously, persuade them to create wealth using sustainable methods, and give them the tools and techniques to achieved the needed changes in values, attitudes, and behaviour. The book's central themes are the environmental challenge, the search for sustainable development, and the central role of business in this endeavour. Indicates the available options, and presents powerful methods to enable effective executives to put their ideas into action.
Hawken, P., Lovins, A. B. and Lovins, H. (1999) Natural Capitalism: the Next Industrial Revolution. London: Earthscan. ISBN 1-85383-461-0.
Proposes a biological and social framework, within which commerce would be transformed, and the talents of businesses could be applied to solve the world's deepest environmental and social problems. Presents many practical examples of the application of this theoretical framework, including much less wasteful usage of resources, much lower environmental impacts, the constructive use of a wide range of new technologies, markets working much better, and much more effective communities.