Draft:Sustainomy

• Comment: largely unsourced possible original research? Theroadislong (talk) 16:18, 22 April 2024 (UTC)

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Sustainomy

Introduction to the New Economy:

The concept of "Sustainomy" introduces a paradigm shift, aiming to strengthen the Existing Economy, restore the Environment, and foster Ecosystem Growth. Departing from conventional norms, it transcends the Trilemma for a sustainable future. Within this New Economy, sustainability is at the core, ensuring equitable distribution of benefits and optimizing resource utilization. Sustainomy emphasizes nurturing both People and the Planet alongside Prosperity creation, recognizing their interconnectedness for sustainable advancement.

This paradigm shift embodies the belief that economic advancement, social well-being, and environmental protection can coexist, paving the way for a balanced and sustainable future. It challenges the traditional prioritization of economic growth over environmental preservation, instead emphasizing the imperative to protect the environment, promote social equity, and achieve economic growth sustainably and equitably.

Sustainomy acknowledges that sustaining economic growth is unsustainable without safeguarding the environment and ensuring social equity.

Prosperity: an Inclusive (Distribution)

The Prosperity Pillar of Sustainomy, the focus shifts to creating a balanced and inclusive economy. Inclusivity ensures equitable access and distribution of wealth, transcending traditional barriers. This embrace signals a transformative shift toward shared Prosperity and collective well-being. By enabling all members of society to benefit from wealth creation, a ripple effect catalyzes increased consumption, stability, trust, and cooperation, leading to economic growth and fortifying against crises.

Consequently, we have witnessed remarkable economic growth, with 100-fold expansion since 1820. However, the benefits of this have only been realized by a select few and have been far from inclusive. This unequal distribution highlights the flaws of the existing economic model. We can thus have a new vision of prosperity through the digital revolution and technological integration. With the belief that the future will be determined by how people can leverage technology to increase efficiency. Ultimately, an economy will become truly inclusive when prosperity is not conveyed to a privileged few, but to the collective population with “Authentic intelligence”

People: Social Well-being

The People Pillar of Sustainomy, societal well-being is key, emphasizing the nurturing of human capital. Unlike the existing economy, which prioritizes efficiency and profit, the New Economy values individual empowerment. By focusing on social welfare, it aims to create an inclusive society. This leads to increased engagement, motivation, and productivity, enhancing output across sectors. Moreover, focusing on human capital fosters innovation, unlocking future progress. By investing in societal well-being, Sustainomy drives societal Prosperity for generations to come.

Today the issue persists, due to job security arising from automation and technological advancements. Thus, individuals should become more acquainted with technology, focusing on upskilling and reskilling, bringing a state of Authentic intelligence to emerge. As a result, Sustainonmy intended for human-centered development, ensuring that technology serves humanity, not the reverse.

Planet: Regenerative

The Planet Pillar of Sustainomy, environmental stewardship is key, emphasizing a regenerative approach. Unlike traditional sustainability, Sustainomy actively regenerates natural resources and ecosystems. It recognizes the environment's intrinsic value, leading to a more sustainable and resilient economy. Through prudent resource management and ecosystem restoration, the New Economy minimizes its ecological footprint while maximizing natural systems' replenishment and resilience, paving the way for a harmonious coexistence.

Definition

"Sustainomy" is a modern economic framework that prioritizes shared prosperity, environmental sustainability, and inclusivity. It provides a blueprint for a New Economy grounded in transformative paradigms and operational elements, promoting collective responsibility among individuals, organizations, and governments worldwide. This model supports sustainable practices, awareness, and the advancement of socially responsible businesses. Ultimately, Sustainomy aims to create a global environment characterized by shared success and a flourishing planet, ensuring the prosperity of all stakeholders.

The Existing Economy:

"How can you grow trees in dry soil?"

The effort to grow trees in dry soil mirrors the challenge of developing a vibrant orchard in an arid desert. Similarly, today's economy faces obstacles in sustaining growth within an environment ill-equipped to support it. While the existing economic system generates significant wealth, its uneven distribution leaves many struggling to survive. Moreover, its focus on monetary growth often disregards environmental concerns, jeopardizing the resources necessary for sustained growth. This highlights a flaw in prioritizing system efficiency over citizen well-being and long-term sustainability. Additionally, the economy's fragility in the face of shocks underscores its lack of resilience. Efforts toward sustainability within this framework have yielded limited results, emphasizing the need for a fundamental shift toward an economic ecosystem that fosters shared wealth and environmental preservation.

Exclusive (Creation): Wealth Concentration, Not Distribution

In the economic landscape, the existing economy resembles an orchard promising abundant harvests. However, the fruits of this orchard are disproportionately distributed. While wealth creation flourishes, it accumulates primarily in the hands of the orchard's owners, the top 1% of the population pyramid. This leaves the significant rest struggling at the pyramid's base, unable to gain the benefits of economic prosperity. According to the World Inequality Database, these top 1% elites hold a staggering 37.8% of global wealth, while the bottom 50% share a mere 2%.This inequality poses a fundamental challenge to the core promise of the economic system, which is wealth generation. The consequences ripple throughout society, bringing about social unrest, hindering economic mobility, and ultimately threatening the long-term sustainability of the system itself.

The concentration of wealth in the hands of a few exacerbates social disparities and impedes opportunities for upward economic mobility. As wealth becomes increasingly concentrated among the elite, the gap between the rich and the poor widens, leading to heightened social tensions and unrest. Moreover, economic mobility becomes increasingly difficult for those at the bottom of the pyramid, as access to resources and opportunities remains limited. This disparity not only undermines social cohesion but also poses significant challenges to the system's long-term sustainability. As economic mobility stagnates, the existing economic model faces the risk of collapse, unable to sustain itself in the face of growing inequality and social unrest.

Social Un(well)fair: Unequal Opportunities and Outcomes

The impact of initial position on success trajectory is profound within the existing economy. Those situated at the pinnacle of the pyramid enjoy privileged access to resources, particularly education and opportunities, enabling them to capitalize on the system's potential and generate more wealth. This privileged access sets the stage for a direction of success characterized by advantageous beginnings and enhanced prospects. Conversely, individuals at the base of the pyramid are systematically deprived of fundamental elements necessary for success. Access to education, opportunities, and even basic necessities is often denied, relegating them to a perpetual struggle for survival. Data from the World Economic Forum illustrates this reality, revealing that nearly 50% of the world's underprivileged lack even basic necessities, further widening the gap between the haves and the have-nots.

The continuation of poverty through systematic deprivation of opportunities compounds the challenges faced by individuals at the base of the economic pyramid. The untapped potential resulting from the lack of opportunities suppresses their ability to break free from the cycle of poverty. Without access to education and opportunities, individuals find themselves trapped in a cycle where economic advancement remains elusive across generations. This cycle of poverty becomes self-perpetuating, as limited resources and opportunities constrain the ability of future generations to improve their circumstances. Despite aspirations being theoretically accessible to all, the crucial building blocks necessary for their realization are systematically withheld from those who need them the most.

In essence, the existing economy offers aspirations for all, but simultaneously denies many individuals the essential building blocks required to achieve them. The disparities in access to resources and opportunities based on one's initial position within the economic hierarchy perpetuate inequality and hinder social mobility. Until systemic barriers to opportunity are addressed and fundamental necessities are made accessible to all, the cycle of poverty will persist, constraining the potential of individuals and perpetuating inequality within society.

Destructive: Growth at the Expense of the Environment

The existing economic model operates with a primary focus on maximizing financial gains, often disregarding the environmental consequences. This relentless pursuit of profit has resulted in an ecological overshoot, where demands on the Earth's resources exceed its annual capacity to regenerate by a staggering 1.85 times, as evidenced by data from The World Count. This overconsumption of resources has led to various environmental challenges, including climate change, deforestation, and biodiversity loss, posing significant threats to the ecological health and well-being of both current and future generations.

Beyond its direct environmental impact, the existing economic system perpetuates practices that exacerbate the problem. One alarming trend is the exponential growth of global debt, which is currently expanding at three times the rate of global GDP, as reported by the International Monetary Fund (IMF). This trend highlights humanity's unsustainable borrowing habits, which prioritize short-term gains over long-term sustainability. The accumulation of debt poses a significant risk of burdening future generations with financial liabilities incurred in the pursuit of immediate economic growth.

Additionally, the phenomenon of "money oversupply" exacerbates the situation, referring to the surplus of money within the economic system, surpassing the actual economic output. This economic imbalance contributes to unsustainable consumption patterns and worsens environmental degradation as resources are exploited to fuel unchecked economic expansion, posing significant risks to both current and future generations' well-being and ecological health.

Opportunities:

To build a more inclusive and equitably distributed wealth in the economy, and to enable sustainable economic growth, Sustainomy emphasizes the importance of empowering developing countries, supporting the middle class and SMEs, and addressing rising income inequality. This approach recognizes that economic growth must be both inclusive and sustainable to ensure social stability and widespread benefits. Implementing fair taxation policies, investing in education and healthcare, and providing opportunities for underprivileged groups are essential steps in achieving an inclusive economy. Moreover, investing in emerging industries like renewable energy, AI, and automation, is crucial for driving economic growth and meeting the needs of future generations. Developing countries, facing unique challenges such as inadequate infrastructure and limited opportunities, can achieve sustainable growth through strategic investments in infrastructure, education, healthcare, and sustainable development. Additionally, empowering the middle class and SMEs is vital for economic growth, with global spending and entrepreneurship playing pivotal roles. By providing access to finance, investing in education and training, and promoting entrepreneurship, the potential of the middle class and SMEs can be unlocked, leading to a fair, inclusive, and sustainable economy. Collaboration between middle-income countries and small businesses is crucial to driving positive change, ensuring that everyone has a fair chance and contributing to mutual growth and development. Ultimately, by empowering individuals with better jobs and opportunities, everyone benefits from a more prosperous and equitable society.

Limitations:

In the present era, technological advancements have revolutionized the way people and technology interact. One of the impacts of technological advancements is the weakening of people while technology becomes stronger. On the other hand, Sustainomy is a qualitative approach that aims to measure the success of the new economy. It is a way to evaluate progress that goes beyond the traditional quantitative metrics such as GDP. Sustainomy provides a more comprehensive approach to assessing progress, including its impacts on social, economic, and environmental aspects. However, comparing progress using quantitative metrics remains a challenge, and Sustainomy aims to offer a more holistic approach to address this issue.

Real Sector:

Sustainomy recognizes the limitations of solely focusing on industrial growth as a measure of progress. Under its paradigm, industries are challenged to move beyond a singular focus on expansion and, instead, cultivate a balanced portfolio of its constituent sub-industries. This approach acknowledges the inherent fluctuations within certain sectors, particularly those within the Real Sector. In cases from the energy industry, traditional energy, such as oil and gas, can be classified into the Real Sector, which does not imply its flawlessness but rather its long-established and more stable nature. Achieving this balance requires a two-pronged approach: regulating the Real Sector to mitigate potential risks and ensure responsible growth, while also fostering a highly educated and specialized workforce to navigate its complexities.

Virtual Sector:

Under its paradigm, industries are challenged to move beyond a singular focus on expansion and, instead, cultivate a balanced portfolio of its constituent sub-industries. This approach acknowledges the inherent fluctuations within certain sectors, particularly those within the Virtual Sector. Hence, the term "Virtual Sector" refers to industries characterized by rapid yet unstable innovation, making it volatile and capricious—growth and decline can be significant and come rapidly. Cases from the energy industry, solar energy is in the Virtual Sector, as while its potential is high, it is a relative newcomer and has inherent issues in the toxic waste it creates and its high carbon footprint production process. These efforts will empower the sector to manage fluctuations and contribute to sustainable development. The Virtual Sector within Sustainomy will, after being regulated and having an adequate supply of a quality workforce, foster responsible innovation and mitigate potential risks, ensuring that advancements translate into tangible and sustainable benefits for all. By striking a balance between encouraging innovation and prioritizing responsible development, the Virtual Sector will fulfill its potential as a driver of positive change in the New Economy.

Vision

Realizing Sustainomy demands collective action, collaboration, and support for initiatives driving meaningful change toward a sustainable future. This transformative shift not only prioritizes collaborative ecosystems, co-creation, and shared value across economic sectors but also underscores the importance of inclusivity, ensuring that every individual, regardless of background, has a stake in and benefits from this new paradigm. By fostering inclusivity, we can create opportunities for all people to participate in and contribute to a thriving economy marked by shared prosperity, environmental sustainability, and equitable opportunities. Future-ready organizations are pivotal in championing this new era. As we stand on the verge of this frontier in the New Economy, embracing Sustainomy becomes not just a vision but an imperative for a more inclusive, sustainable, and prosperous future. Sustainomy advocates for a necessary transformative response to the evolving market, addressing the disadvantages of the Existing Economy and paving the way for a society where everyone has a chance to thrive.