Living the New Economy

An industrial landscape has dominated the part of Songhees territory known to most people as Vic West for at least a century. In its heart, there’s an unassuming and drafty brick building called the Roundhouse. Now surrounded by high-rise condos, it’s slated for redesign as a marketplace to serve the swelling crowd of urban dwellers. Over seven days in December, where railway workers tinkered with the train cars of a century ago, a new economy was being midwifed into existence. “Living the New Economy” was an exuberant convergence of visionaries and idea jammers who are working together to create and articulate this new economy.

Living the New Economy

The old economy is crumbling: globally, this has been obvious since at least 2008. The old models just aren’t working anymore, and many have started to realize they probably weren’t worth saving in the first place.

What does the new economy look like? This city’s dilapidated heavy industrial base is being transformed into a burgeoning knowledge economy of tech firms and services. In Victoria, at least, the trend isn’t toward globalized chains and big box stores: it’s small-scale entrepreneurs producing high quality goods for a niche market. It’s local renewable energy projects like the Art Turbine that are not only functional, but are truly pieces of art. It’s an explosion in DIY culture, with creative startups like the Makehouse and the MakerSpace, where makers of all sorts will share tools, resources, and knowledge. Or Remove and Reuse, an online hub where upcyclers and artisans can share salvaged building materials and reduce the need for consuming new. It’s people realizing that together, we can achieve so much more:Raven Wireless, a proposed nationwide co-operative telecom company, hopes to provide an alternative to the “Big Three.”

The new economy tastes like dark and thick microbrews handcrafted locally. It smells like locally cured and smoked meats, crisp vegetables harvested within a hundred miles, and specialty baked goods prepared in Victoria’s proposed new food hub, a shared kitchen space for local food producers. I took part in a collaborative session to redesign the downtown core with hubs for enjoying these delights together, in community. The vision is to create a vital space where people “live out loud.” In the new economy, shopping isn’t a substitute for this kind of creativity. The new economy feels like community being built in a thousand different ways. The Fernwood Urban Village cohousing project and O.U.R. Ecovillage are reclaiming what it is to be in community, while creating options for community to invest in community. It’s individuals moving their money to credit unions, which in turn reinvest it locally: Vancity’s support of “social purpose real estate” is a great example. It’s people stepping up to lend to each other through the Victoria Community Micro-Lending Society. A new Community Investment Fund being launched in 2014 by the Community Social Planning Council (CSPC) will finally give people an option for local retirement savings investments.

This is the power of raising local forms of capital: putting our money where our homes are. CSPC’s Sarah Amyot says that redirecting even 2 percent of the investment money that flows out of this region every year would allow us to reinvest 7.5 million locally.

But why does this seem so revolutionary? In the past few decades, we’ve made it virtually impossible to invest locally. People who are interested in doing so (apparently a very high proportion of investors) are discouraged by their advisors, who say there’s no money in it. Not so, says Stephen Whipp, a specialist in socially responsible investment. By grabbing the reins of large capital and redirecting it into local projects, Whipp says we can generate good income and make good local projects happen at the same time.

Yes, the cost of living is high, and most of us don’t have much extra cash lying around for making big investments. But we need to understand the incredible privilege we have in this region – despite the struggles – and recognize that we have a responsibility to use this privilege to make changes in how we act in the world.

Critically, it’s acknowledging that many of the struggles we’re facing – and the privilege we have – are a result of living in a colonial system. Without a radical shift in the Indigenous-settler relationship, colonialism can simply be re-entrenched by such new forms of ownership and economy. So asking for and supporting Indigenous leadership amid these rapid changes is going to be essential. This recognition was embodied at a session called “Indigenomics,” where we learned from Indigenous women that have modeled leadership in redefining what economy is. As Carol-Ann Hilton of the Indigenous business group Transformation pointed out, a new economy questions the pathway by which we came here: who was left out? Who’s included in the new economy? And will it be a decolonized economy?

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Ana Maria Peredo, Director of UVic’s Centre for Cooperative and Community-Based Economy, pointed out that the new economy is the OLD economy – and the REAL economy. It needs to be reclaimed from its brief sojourn into global market capitalism. There are many kinds of economy – green, sharing, collaborative, gift, social – that can bring value to society.

Peredo shared a story of a visit she made to an Andean village in Peru. Arriving hungry, she went to try to purchase some food to eat. Although she could see plenty of people with food, nobody could sell to her: for them, money wasn’t worth using because nobody needed it to meet their daily needs. People would ask how it was that, in their poor country, everyone had a home – yet in our rich nation, so many are homeless.

In most of the Western world, the economy is framed by those in power as the overarching structure of existence. As Peredo pointed out, the “modernization theory” of development says there’s only one way to approach economic development – and that’s to submit to the global forces of the market. This ethnocentric model perpetuates a narrative about developing an “entrepreneurial spirit” among Indigenous people that assumes they have none.

Meghan Champion of Cowichan Tribes debunked such mainstream myths. In her culture, Indigenous people have always had a very strong entrepreneurial spirit. Trade and forms of currency have been a feature of life on this coast for thousands of years. The potlatch ceremony was, in her words, a form of investment through a system of debt obligation and relationship building. The way people earned prestige was not by accumulating wealth, but by giving it away. As Champion points out, it’s pretty hard to practice your culture if you don’t have an economy to sustain it. But one thing that makes this new economy distinct from the old one is that reputation is key: in the age of social networking, it’s a lot harder to hide when you rip someone off. It’s about building relationships.

It’s with this in mind that Champion created the Cowichan Tribes’ Tetla Dollar. Community currencies keep value circulating within the community, rather than flowing out. Lately, the’ve been springing up all over the region: SeedStock in Vancouver, Salt Spring Dollars, and the Comox Vally Community Way. The fully digital Vancouver Island Dollar is in the process of being launched.

“Living the New Economy” aimed to be a living example of an economy that encourages us to redefine value locally and build inclusive community. After each session, people could receive 100% of their money back with no questions asked; they could hold with the original ticket price, or they could add an extra donation if they felt the event had particular value. Or, they could exchange the full dollar amount for the same number of Vancouver Island Dollars.

As permaculture designer Ethan Roland told us, we need to reclaim the real meaning of the word “entrepreneurship,” which is simply “to take on a project.” In the Andean community-based economies, Peredo says, the community acts collectively as both entrepreneur and enterprise. In this regard, it’s about every single one of us considering ourselves entrepreneurs.

One part of this involves changing our unhealthy relationship with money. And I don’t just mean becoming less driven by it. I’m also talking about the revulsion to money that many “do-gooder” types have: the way that when the word “economics” is used, many of us plug our ears. I’ve always had an uncomfortable relationship with economics. I don’t really understand it, and I know it causes a lot of harm these days. I also know that some kind of economy is essential.

We’ve forgotten that money is simply a tool – a very useful one. At “Permanomics,” a session linking permaculture and economics, Roland showed how redefining “capital” can allow us to meet human needs while increasing the health of ecosystems. Roland identified eight forms of capital: living, material, social, experiential, intellectual, spiritual, cultural, and – of course – financial. Understanding these many forms of capital can help us see how the system functions as a whole, and where the leverage points for creating society-level changes are. Roland says we need not abandon financial capital: we can use it to cultivate other forms of capital that it has been decimating of late. Financial capital can grow or decrease, as long as shared cultural capital and living capital (Earth’s life systems) are being regenerated.

Regeneration, as opposed to the much-abused word “sustainability,” was an overriding theme throughout the week. Through new kinds of enterprise, we can not simply sustain, but regenerate our communities and the natural world. It’s a tangible shift in what the economy looks like – social finance, green buildings, cooperatives, and cohousing projects.

But what’s going to truly make the difference is a shift in the interior dimensions that what we can’t always see: the stories, the culture, and the values. It’s the community.

Kat gratefully acknowledges a prize from SFU’s Certificate Program for Community Economic Development, which allowed her to attend the week of events.

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3 responses to this post.

  1. Hi, Kat, can you check out my dripwall delta for boosting early vegetables in cold climates? It is new from January 2014 so maybe pass it on to some gardening friends at the university. It allowed my seedlings to survive the cold spell in February. It needs testing by other “early adopters” otherwise it will be decades before ordinary people try it. It uses 1 watt to collect 50 watts in the prototype.

    Reply

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