Explainer

Economics

Culture

16 January 2024

6 min read

How to pick an economic approach that really adds up

Assessing doughnut economics, Paul Williams asks what’s the economy for and who does it really serve?

Paul Williams

Paul Williams, the CEO of Bible Society, worked for over a decade in business in London and then as an academic theologian in Canada.

a round table with empty chairs is seen from above. An orange is the only item on it.

Meina Yin on Unsplash.

“Anyone can see that our economic system is broken.”

This is the conclusion of Kate Raworth, author of Doughnut Economics, and her assessment has garnered positive endorsements from figures as diverse as George Monbiot, Andrew Marr and Sir David Attenborough.

Yet to judge by the discussion surrounding the Chancellor’s Autumn Statement, our political class is not included in this broad perspective that Raworth claims. In what is widely understood as the early skirmishes of an election campaign, anticipating the moment when the country’s voters have another opportunity to indicate the direction of travel they hope for, the focus is on who will be better or worse off by this or that tax cut or benefit change. If anything is broken it is not the economic system but something like ‘the government’s economic management’ (Labour) or ‘public sector productivity’ (Conservative).

If you are worried, as Raworth is, by “relentless financial crises,” “extreme inequalities in wealth” and “remorseless pressure on the environment” then it seems that both the government and the opposition believe that the solution is more economic growth, albeit with some barely discernible differences in fiscal and regulatory policy.

Our contemporary political discourse is dominated, regardless of party, by the mainstream economic paradigm in which the market generates economic growth and the state functions to keep things on track by taxing and redistributing some of the surplus to those who for whatever reason didn’t do as well as others in the process. It also provides some additional incentives to business and other organisations to act in the public interest, for instance by subsidising green energy or taxing fossil fuels. Both parties, it seems, support this approach. The difference between them concerns how best the state manages the economy to get the most out of it, how the resulting surplus is distributed, and what kind of further incentives are needed.

Visualising doughnut economics

An economics diagram in the shape of a doughnut.

Source: Doughnut Economics Action Lab.

For Raworth, on the other hand, the first thing to ditch is the assumption that economic growth is the right goal to pursue. The ‘doughnut’ of doughnut economics is an alternative to GDP as a measure of progress. It name is derived from the visual depiction of the idea of an economy that operates in the space within two limits – ensuring the human rights of each person on the one hand, and staying within the means of the planet on the other. This concept refuses to conceptualise the economy as a closed system in distinction from the social and environmental systems on which it depends.

Raworth also wants to shift the emphasis away from the individual rational chooser of economic theory toward a more social understanding of human flourishing. And in direct contrast to the mainstream paradigm sketched above, in which the market’s job is to deliver economic wealth and the state’s job is to worry about distribution and regulation, Raworth wants an economic system designed from the outset to ensure a more equal distribution and to actively regenerate the environment.

The economic system itself is like an engine that can be put to whatever purpose you want. It generates wealth and wealth can be put to all kinds of uses, good or bad.

How might we evaluate this? Nobody disagrees that financial crises, extreme inequality and environmental damage occur and are bad. A good number of mainstream economists find Raworth’s aims laudable and worth pursuing, because we do need a better measure of success and improved models of human behaviour and ways to incorporate and limit externalities like carbon emissions. Yet they also find her analysis of economics a caricature, as many of the developments in economics over the last few decades seem to be ignored.

For her harshest critics, Raworth fails to give due credit to our current economic system for the incredible reduction in global poverty that it has already enabled, provides very little by way of actionable policy ideas, and is full of erudite but wishful thinking.

Yet the popularity of Doughnut Economics reflects a deep sense amongst many of us (some mainstream economists included) that something is seriously wrong, alongside an instinctive identification with the kind of values and changes that Raworth seeks.

The vital question is: what is our economy for? If we can get a better sense of what purpose we want the economy to serve, it may prove easier to identify whether it is achieving that, or is in some sense ‘broken.’

But to ask this question is immediately to step away from the mainstream paradigm that dominates our public discourse in framing the economy. For mainstream economics, questions of purpose are ethical questions and those questions are explicitly left to the actors within the economic system and the state acting on their behalf. The economic system itself is like an engine that can be put to whatever purpose you want. It generates wealth and wealth can be put to all kinds of uses, good or bad.

These ancient texts suggest that our mainstream paradigm is seriously adrift if it imagines that our economic system is morally neutral.

For many people the idea that the economy itself can be separated from ethical questions will automatically raise an alarm. Certainly, for Christians it ought to. The Bible firmly resists the idea that wealth and its generation is morally neutral. Even the most superficial reading of the Scripture alerts to the inherently spiritual and moral quality of economic activity. Fruitful work is part of what it means to be made in the image of God in the garden of Eden. The product of work is offered to God in worship. The Law is full of commands to deal justly, use fair weights and measures, consider health and safety in the building of a house, and give yourself, your family and your animals a rest (to name but a few). Jesus tells us that you cannot serve both God and money. The pictures of the New Creation in both Old and New Testaments include economic imagery – The Old Testament book of Micah envisions an end to war with everyone living “under their own vine and fig tree” (a vision of peace and economic flourishing) and the New Testament book of Revelation depicts the product of human work being offered up in worship before the throne of God.

Overall the Bible sees the economic, social and environmental dimensions of life as interwoven and interconnected. Take the Sabbath, for instance. It is not only workers who get (or are commanded to take) a Sabbath once a week. The command extends to the whole community - and even to animals. Every seven years, the Sabbath Year provides a rest for the land and for those struggling with debt – the land must be fallow and allowed to regenerate, and all outstanding debts cancelled. Sabbath and Jubilee are deeply intertwined (the Jubilee was effectively a sabbath of sabbaths, taking place after seven sabbath years) and the Jubilee was the theological paradigm chosen by Jesus to explain his own mission and ministry. Quoting the prophet Isaiah, he said:

“The Spirit of the Lord is on me, because he has anointed me to proclaim good news to the poor. He has sent me to proclaim freedom for the captives, recovery of sight for the blind, to set the oppressed free, to proclaim the year of the Lord’s favour.”

These ancient texts suggest that our mainstream paradigm is seriously adrift if it imagines that our economic system is morally neutral. And Raworth is closely aligned with the biblical vision insofar as she insists on the importance of an economy that exists not for its own sake, in some independent sphere, but explicitly to enable people, communities and creation to flourish together. We need to ask what our economy is for. And this is as good an answer as you might find.

Column

Character

Confession

Culture

Psychology

18 September 2024

8 min read

‘Yet All Shall Be Forgot?’ Saying sorry has never been more difficult

Acknowledging wrongdoing is vital for any society to flourish. So why do we find it so difficult to apologise, especially online?

Roger Bretherton

Roger Bretherton is Associate Professor of Psychology, at the University of Lincoln. He is a UK accredited Clinical Psychologist.

On a street, two men confront each other face to face.

Darwin Boaventura on Unsplash.

People in the UK don’t like to apologise. At least that’s what a recent poll reported by the Daily Mail claims. Of a thousand British people surveyed, about forty percent of them claimed they didn’t like to apologise because they were never wrong! At least that’s what the headline said. When you actually look at the survey itself, things get a bit more nuanced. 18 per cent don’t feel ‘comfortable’ making an apology. 15 per cent don’t like admitting they’re wrong. 23 per cent feel embarrassed at the thought of apologising. Sorry does indeed seem to be the hardest word. And Elton John seems to be the hardest person to avoid quoting whenever these things come up. Which they do - a lot!

We shouldn’t really be that surprised by the findings of this study. Contrary to the popular belief that the world is divided between goodies and baddies, upstanding citizens and immoral rotters, the ethical picture is much more complex than that. The line between good and bad, as Russian dissident Aleksandr Solzhenitsyn noted, runs through people not between them. Many moral qualities like kindness, forgiveness, gratitude, humility and so on, are trait-like. There are relatively few pure saints and absolute villains, most of us linger in the muddy moral middle, neither exceptionally good nor reprehensibly evil. And this is what the survey indicates. Despite all our reservations about apologising, the average 20 to 50-year-old says sorry about three times a week, totting up an annual total of 150 apologies per year. We may not like apologising, but we get there in the end.

Unfortunately, it’s not as simple as all that. Because while we may apologise, we don’t always mean it. If the need to apologise is a spectrum it not only includes those who NEVER apologise, but also those who ALWAYS apologise. If the non-apologisers sit at one extreme, the super-apologisers dwell at the other. These are the people who over-use apology, who never stop apologising for their existence. According to this survey, 41 per cent of us are first to apologise whether or not we think we are in the wrong, and 38 per cent apologise without meaning it. Ever found yourself inexplicably blurting out a sorry to the person who bumped into you at the supermarket? or gratuitously apologising for your emotions in an attempt to appease the workplace bully who caused them? I have. If that’s you, please pull up a chair and join me at the table of compulsive and unnecessary apologies- assuming you can sit down without apologising for taking up the air space.

With the wisdom of age most of us will learn to let things lie. Which is to say we will learn to forgive. Which is also to say we will learn to accept apologies.

It does seem, from this survey at least, that people are a bit confused about the nature of apology. ‘Sorry’, is a necessary part of the social vocabulary that makes community life possible. To say sorry is to acknowledge that we are embedded within a rich social network upon which we rely for our existence and without which human life would be untenable. It belongs alongside other basic words like ‘please’ and ‘thank you’, that recognise our social dependence. This applies everywhere: at home, at school, in the office, down the high street, at church. When we say Please, we acknowledge that there are things we cannot do and cannot know without the help of others. When we say Thank You, we accept that even our greatest achievements were team efforts, not wholly down to us. And when we say Sorry, we accept that this community of trust, this web of promises and fulfilments, is fragile. We can act in ways that fray or even break the threads that connect us to others. Sometimes we don’t show up when we said we would. Sometimes we lie to avoid shame. Sometimes we take far more than we should from those who can’t afford to give. Sometimes we are rude, hurtful, even hateful. Saying sorry is the way we recognise, renew and repair our damaged connections to the people on which our lives depend.

One of the most interesting findings in forgiveness research is that as people get older they generally become more forgiving. Now we can all think of exceptions to this - we all know people who seem to have become bitter rather than better with age - but that’s not the rule of it. Most of us will mellow and become more tolerant as the years pass. Partly because the passing of time diminishes our energy for grudges and plotting petty retaliations. But mainly because the older we get the fewer friends we have left. If young adulthood is awash with weddings, then later life is filled with funerals. To put it bluntly, as we get older more people we know have died. We increasingly realise that our connections to family and friends are priceless and irreplaceable and hardly worth severing over minor grievances. With the wisdom of age most of us will learn to let things lie. Which is to say we will learn to forgive. Which is also to say we will learn to accept apologies.

Why say sorry if there is no hope of social connectedness? This seems to be the zero-sum game played out in our digital lives.

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This by contrast sheds some light on why it might be that some people (the maligned 40 per cent of the survey) simply do not apologise. Admittedly it is likely that the tendency to offer apology varies alongside other personality traits like Agreeableness- our general tendency to get along with people. Those high in Agreeableness are more sensitive to ruptures in their relationships and therefore more likely to resolve these with a well-timed apology. And given that women tend to score more highly than men in measures of agreeableness and social intelligence, it seems equally likely that the league of super-apologisers who say sorry too often (like me) is predominantly populated by women (unlike me). By contrast those who do not apologise are likely to be at the tough-minded end of the personality spectrum, more ferociously individualistic, less emotionally aware, and not particularly sensitive to the fabric of social life into which they are inescapably stitched.

The apologiser and the non-apologiser then inhabit different universes. If apology belongs to a social network that needs to be tended, then the refusal to ever apologise is to deny the relational fabric of human life. Why say sorry if there is no hope of social connectedness? This seems to be the zero-sum game played out in our digital lives. Anyone can trawl the elephant’s graveyard of our online history and find things we said or did in our least thoughtful moments. And if they do, no amount of apology seems sufficient to rectify the mistake. Online apologies cannot erase online offences. It’s hard to imagine a better system for teaching us the futility of saying sorry.

There‘s a timing issue too. Quite often people who do not like to apologise assume their apology will result in humiliation. If they admit to being wrong, they will be publicly shamed, not restored to connectedness but excommunicated. As a result, if they ever do get round to apologising, they do so reluctantly or halfheartedly or under duress or just way too late, and consequently receive exactly the kind of vicious reaction they assume apologies usually receive. It’s a self-fulfilling prophecy: if we believe our apologies will be met with hostility, we tend to apologise in ways that make hostility more likely. It’s no wonder some people don’t see saying sorry as a viable social strategy.

To confess is to acknowledge and turn from our self-absorption, distraction, ignorance, inconsistency and whatever else detunes us from this heavenly wavelength.

It is a pity, because for those who care to look apology can address the deepest needs of the human soul. Apology restores us to the human community, reweaves the threads of trust that connect us to family, friends, colleagues, and neighbours. It assumes there is an invisible world we can rely upon, in which we can place our faith, and to which saying sorry can restore us. This is not just the logic of social apology but also the logic of spiritual apology, or to use the more traditional term, confession.

Just as we seem to be confused about apology, we are also pretty confused about confession. For many of us it belongs to movies where gangsters seek forgiveness for heinous acts through the screen of a confessional booth. Or even worse to the humiliation of being forced to publicly reveal our most shameful character flaws. But these are caricatures.

Confession, like apology, ultimately belongs to a benevolent view of reality. A view suggesting that, at all times and in all places we are in the presence of an utterly attentive, absolutely constant and unfailingly loving God. A God who is closer to us than we are to ourselves. A God who cannot help doing whatever it takes to close the distance between us, whose gentle presence hugs the contours of our lives the way the sea hugs the shore. And this divine reality is so permanent, so consistent that, like white noise, we live in complete ignorance of it most of the time. We tend to think that we are here and God is elsewhere, but actually it is God who is here and we who are absentmindedly elsewhere.

In this universe we don’t confess in the hope that our abject humiliation might possibly eke out a morsel of compassion from an otherwise indifferent deity. No. When we confess we acknowledge that while God may be unfailingly aligned with us we are less so with Him. We don’t seem capable of flying in formation with Him. If He moves in straight lines, our lines waver. To confess is to acknowledge and turn from our self-absorption, distraction, ignorance, inconsistency and whatever else detunes us from this heavenly wavelength. If apology restores us to a wider social reality than confession restores us to the deepest reality of all.