Solidarity Economy in an Era of Austeria

Molly Scott CatoProfessor of Strategy and Sustainability

University of RoehamptonGreen Party Economics Speaker

State Solidarity or Political Austerity?

• A significant difference between the UK and Latin American societies is that demands have for higher standards of welfare and employment have been expressed through a well developed public sector since WWII.

• Much of our focus has been on defending our payments for children, the unemployed, the sick and the retired, and defending our national health service.

Marginal Tax Rates

‘British Social Attitudes survey: public opinion 'more right-wing' than under Thatcher’--Telegraph

• In the 27th annual report, researchers quizzed some 3,421 people at the end of 2009

• The study found widespread concerns over the income gap in Britain but an “apparent mismatch” between concerns over inequality and support for redistribution of wealth.

• Asked why some people were “in need”, 26 per cent said they were lazy and 38 per cent said inequality was simply an inevitable consequence of modern life.

• Only 57 per cent of people said the Government was responsible for reducing inequality – compared with 64 per cent two decades ago – and just 36 per cent said the Government should redistribute income.

Three examples of undermining of universalism

• Withdrawal of child benefit from higher earners;

• Suggestion that older generations should fund their own grandchildren through university, while huge fees are introduced;

• ‘Universal credit’ that is anything but—tightened eligibility criteria, return of ‘deserving vs. undeserving’ distinction and more payments to men.

A Balanced Economy

The Real Issue: Wages vs. Profits

My Society’s Bigger than Yours

• Membership of civil society organisations?• ‘Do it yourself’ welfare actually leaves the

space open for the growth of solidarity economies

• But . . . We are also supposed to be working longer hours and enjoying higher standards of living

We have always been a ‘friendly society’

• Defence of the welfare state and NHS• Political and grass-roots responses to climate

change: 60% target and Transition Towns• Revival of co-operatives and mutuals

A society ‘in transition’?

• Global first in setting 60% targets for carbon dioxide emissions

• Most activity currently at grassroots level• The ‘spitfire myth’

Transition Towns

• Resilience: ‘the property of a material to absorb energy when it is deformed elastically and then, upon unloading to have this energy recovered.’

• Ecological citizenship: intrinsic and ethical motivations towards protecting the environment

• Critique: the importance of political economy

Locality: Walking the Land

Accountability: Stroud Community Agriculture

Community: Stroud Pound

Conviviality: Stroud Farmers’ Market

The Seeds of a Greener Future?

Find out more

www.greeneconomist.org

gaianeconomics.blogspot.com

Green Economics: AnIntroduction to Theory, Policy and Practice (Earthscan, 2009)

Environment and Economy(Routledge, 2011)