Money and Sustainability: the Missing Link

(Brussels, 31 May) Bernard Lietaer, author, financial expert, and codesigner of the ECU (the monetary mechanism that later became the euro) yesterday presented compelling arguments to show that there is a structural flaw in the current monetary system that generates all the current problems and repeated financial and monetary crises, including the eurozone crisis. It is also ecologically unsustainable as it encourages climate change and over-consumption.
Mr Lietaer’s presented his arguments during a lecture, hosted by the Club of Rome’s EU Chapter in Brussels, to launch the Report from Club of Rome: Money and Sustainability: the Missing Link Current monetary system is inherently unstable and destructive The Report acknowledges that money has ignited an explosion of
entrepreneurial and scientific innovation, but says it is structurally unstable and that current problems cannot be solved by simply tinkering with the system. “It would be naïve to think that innovations are magic bullets to solve all our problems. We can no longer afford to overlook new currencies that could promote sustainability”, said Bernard Lietaer.
The Report describes how between 1970 and 2010, there were 145 banking crises, 208 monetary crises, and 72 sovereign debt crises – in other words a total of 425 systemic crises - an average of more than ten each year. The current Greek crisis is simply the last in a long line.
Mark Dubrulle, President of the EU Chapter, which organised the lecture said “Almost everything is for sale in most EU countries. Austerity is imposed at all levels... We hope the book will inspire many a decision maker and opinion leader to change course.”
The solution: the creation of complementary currency systems
The Report says monetary instability could be solved by creating complementary cooperative currency systems (generically called the ‘Civic’) to work in parallel with conventional bank-debt money, counterbalancing its negative effects. It outlines eight examples of cooperative currency systems that can address issues such as healthcare, education, climate change, and employment.
Bernard Lietaer and his co-authors also suggest a solution to the current Greek/Eurozone crisis based on Greece creating
complementary urban or regional electronic currencies to run parallel to the euro which the country would retain for international business. The civic/euro exchange rate would be determined in the online market.
Interestingly, this week Deutsche Bank proposed a very similar solution – the creation of the ‘Geuro’, a complementary Greek currency to help it restore an internal competitive economy.

New Report issues a warning about humanity’s ability to survive without a major change in direction

(Rotterdam, the Netherlands, May 8): 2052: A Global Forecast for the Next Forty Years, by Jorgen Randers, launched by the Club of Rome on May 7, raises the possibility that humankind might not survive on the planet if it continues on its path of over-consumption and short-termism.
In the Report author Jorgen Randers raises essential questions: How many people will the planet be able to support? Will the belief in endless growth crumble? Will runaway climate change take hold? Where will quality of life improve, and where will it decline? Using painstaking research, and drawing on contributions from more than 30 thinkers in the field, he concludes that:
· While the process of adapting humanity to the planet’s limitations has started, the human response could be too slow.
· The current dominant global economies, particularly the United States, will stagnate.
Brazil, Russia, India, South Africa and ten leading emerging economies (referred to as ‘BRISE’ in the Report) will progress.
· But there will still be 3 billion poor in 2052.
· China will be a success story, because of its ability to act.
· Global population will peak in 2042, because of falling fertility in urban areas
· Global GDP will grow much slower than expected, because of slower productivity growth in mature economies.
· CO2 concentrations in the atmosphere will continue to grow and cause +2°C in 2052; temperatures will reach +2.8°C in 2080, which may well trigger self-reinforcing climate change.
The Report says the main cause of future problems is the excessively short-term predominant political and economic model. “We need a system of governance that takes a more long-term view”, said Professor Randers, speaking in Rotterdam. “It is unlikely that governments will pass necessary regulation to force the markets to allocate more money into climate friendly solutions, and must not assume that markets will work for the benefit of humankind”.
“We already live in a manner that cannot be continued for generations without major change.
Humanity has overshot the earth’s resources, and in some cases we will see local collapse before 2052 – we are emitting twice as much greenhouse gas every year as can be absorbed by the world’s forests and oceans.”
The launch was organised by the Club of Rome, the international think-tank that focuses on stimulating debate on achieving a sustainable future. The Club is continuing its tradition of supporting work that raises fundamental questions and promotes far-sighted solutions. The
launch takes place on the eve of an international meeting of WWF, the international environmental organisation.
Published in the run-up to the Rio Summit, this Report to the Club of Rome: 2052: A Global Forecast for the Next Forty Years (published by US publishers Chelsea Green) looks at issues first raised in The Limits to Growth, 40 years ago. This earlier Report, also to the Club of Rome, of which Randers was a co-author, created shock waves by questioning the ideal of permanent growth.
Commenting on the findings of 2052, Ian Johnson, Club of Rome Secretary General said:
“Professor Randers’ analysis of where the world could be in 40 years has demonstrated that ‘Business as usual’ is not an option if we want our grand-children to live in a sustainable and equitable planet. It took 40 years before the full message of The Limits to Growth was properly understood. We cannot afford any more lost decades.”

H elp us change the course of history before it is too late, urges new Club of Rome campaign

(Winterthur, Switzerland: 14 April 2012) The Club of Rome’s new ‘Change the Course’ campaign encourages young and committed people to participate in a web-based project to design the world they want.
On the day that marks the 100th anniversary of the sinking of the Titanic, the Club of Rome, the global think-tank  pecialising in sustainable solutions for our planet, is launching its “Change the Course” campaign to get young and committed people to brainstorm on how to change the
course of history for a more sustainable society.
“In the same way that the Titanic is synonymous with the way that nature showed it was stronger than technology, people today are deluded into believing technology can fix climate change, the economy or resource shortages. We must change course now if we are not to face a global cataclysm”, said Ian Johnson, the Club’s Secretary General.
Change the Course, a web-based project, run in conjunction with several NGOs, like-minded organizations and  individuals, asks people to contribute ideas for an urgent change of thinking and action. The voyage of the ultimate ‘Ship of fools’: the Titanic, offers many parallels to the
current calls for humanity to change course and to get away from “business as usual” path.
Despite numerous iceberg warnings the Titanic’s captain and crew failed to take proper precautions, such as changing course or speed. In the same way, we are failing to address pressing challenges, such as financial instability, climate change, natural resource depletion, unemployment or food insecurity, says the Club of Rome. “We know the challenges and we know the solutions. We also know the consequences
of inaction, but are failing to make the necessary changes”.
Participants are asked to contribute a blog of 500 words to answer:
· What sort of world are we heading for at the moment?
· What kind of world do we want to live in?
· What can we do to change course?
· What could be the turning point?
· What could be the real driver of fundamental change?
The ‘Change the Course’ is part of a broader 18-month campaign 2052: the world in 40 years, to stimulate ideas on future options to shape the world in a sustainable way. The campaign takes its context from one of its’ first reports 40 years ago. In 1972 The Limits to Growth warned of
the dangers of the scramble for unmitigated growth. On 7 May 2012 it will launch a new Report 2052: a Global Forecast for the Next Forty Years, by Jorgen Randers (publisher Chelsea Green).

Global Warning: Have we lost four decades? The Club of Rome celebrates the anniversary of “Limits to Growth”

February 28th, 2012
Washington, DC / Winterthur Today (March 1st, 2012) marks the 40th anniversary of a warning that
the globe ignored. The “Limits to Growth” was one of the first truly “Global Warnings”. It commanded
critical attention and sparked debate around the world about the future of humanity. It pointed out that
exceeding our global capacities for resource use and emissions would place significant limits on global
economic development in the 21st century. People might be consuming more – but enjoying it less.
Today’s current debates over global warming, “peaking” resources and environmental feedback loops
are thus the echoes of a four decade old process. The Club of Rome invites us to re-assess the sweep of such Global Warnings, and to review how they have become more thoroughly substantiated by science, while political processes have neutralized actions for prevention, leaving us with the urgent need to adopt policies for mitigation and adaptation.
The “Limits to Growth” was published in 1972 by a group of researchers from the Massachusetts
Institute of Technology: Donella Meadows, Dennis Meadows, Jørgen Randers and William Behrens III. The
book reported on the results of a study commissioned by a group of intellectuals who had formed the Club of Rome a few years before.
On March 1st 1972, the report was presented to the public at the Smithsonian Institution in Washington
DC. The international effects of this publication in the fields of politics, economics and science are best
described as a ‘Big Bang’: it exposed the contradictions raised by unlimited and unrestrained growth in material consumption in a world of clearly finite resources and brought the issue to the top of the global agenda.
The book warned that the problems could become so large that humankind would have to divert so
much effort to solving the problems that the quality of life could suffer. Specifically, the report showed that if
growth rates seen between 1900 and 1972 were to continue, humanity would overstep planetary boundaries
sometime between 2000 and 2100.
“The report to the Club of Rome Limits to Growth dared to break with convention: it suggested that growth in material consumption itself might be the problem. The book uncovered a simple truth that has largely been ignored for the last four decades.” says Ian Johnson, Secretary General of the Club of Rome.
This global best-seller, which was ultimately published in 30 languages and sold over 30 million copies,
did not provide “predictions” as such. It sketched some alternative scenarios on how the planet could be
impacted by the high rate of economic growth, resource depletion and environmental destruction.
In fact, few books had a more profound influence on society than “Limits to Growth” and few books have
been so consistently misinterpreted and condemned, especially by those who felt their interests to be
threatened.
Back in 1972, the economy was booming and life seemed good – and so the book was out of keeping
grated against the optimistic mood of the times. Today, unfortunately, the message of “Limits to Growth” is more relevant than ever, as there is no doubt that the world has crossed and will continue to cross planetary limits.
The consequence is the series of crises faced by our global society, which we are witnessing today.
The “Limits to Growth” noted that it was possible to alter growth trends and establish the conditions for a
more equitable and desirable world that would provide stability, sustainability and global equilibrium. The key
issue today is not only whether we can move towards a global lifestyle that lives within the planet’s limits but
how we can do so.
However, since the publication of “Limits to Growth”, humanity has already lost four decades in which
action could have been taken to create a new way of providing economic growth, which is consistent with the requirements for a sustainable and equitable world.
The Club of Rome is building upon the pioneering work over the past forty years and takes a 40-year
look into the future, trying to find answers to the question “What do we need to do between now and the middle of this Century to place our planet on a new, stable path towards a sustainable and equitable world which manages to prosper within the limits provided by a finite planet?”
As part of this intellectual journey the Club of Rome will publish a new report, titled “2052”, in May 2012.
This report has been prepared by Jørgen Randers, who is co-author of the “Limits to Growth”. It will provide a status report as per 2012, and make a forecast for the next forty years of global development.

Oppose the illegal colonization of Cyprus and support US interests in the Eastern Mediterranean

On June 5, 2012 upon the urging of Cypriot-American and Greek-American organizations nationwide, US Representatives Gus Bilirakis of Florida and Eliot Engel of New York introduced House Resolution 676 which among other things:

a) urges Turkey to stop sending non-Cypriot Turkish citizens in the occupied north part of Cyprus and to seize any efforts of de-facto colonization of the island by changing the composition of its population

b) urges Turkey to respect the territorial integrity of the Republic of Cyprus, by ending its ongoing military occupation

c) urges Turkey to respect the right of the Republic of Cyprus to exploit its natural resources within its Exclusive Economic Zone (EEZ) without threatening statements, threat of war or other interference

d) urges the US Administration to call on Turkey to end its violation of the Geneva Convention (article 49 – colonizing areas under occupation) and end its interference with Cyprus’ sovereign right to exploit its energy resources.

Concurrently, Senator Robert Menendez of New Jersey and Senator Olympia Snowe of Maine introduced Senate Resolution 47 with identical language in the US Senate.

This is one of the strongest languages we have seen coming out of Congress in the last few years criticizing Turkey’s actions in Cyprus. Some of it might have to do with Congress finally realizing that Turkey’s interests in the Eastern Mediterranean are not completely aligned with those of the United States. With Cyprus and Israel exploiting Block 12 Natural Gas resources in conjunction with Texas-based Noble Energy and Turkey threatening such exploration efforts, the pressure is on the United States to see that its own business interests are sometimes threatened by Turkey’s expansionistic policies.

At the same time, we are all aware of the ongoing effort by Turkey to implant hundreds of thousands of Turkish citizens from the heart of Anatolia into the occupied part of Cyprus with the intention to shift the population composition on the island. While the ongoing occupation is in violation of several UN Resolutions, the intentional “colonization of occupied territories” is in violation of the Geneva Convention, to which Turkey is a signatory.

http://org2.democracyinaction.org/o/7268/p/dia/action/public/?action_KEY=10955