Along with the environmental aspect, a concept that highlights the social aspect is doughnut economics. (The term ‘doughnut’ describes the shape of the diagram, named after the round shape of a bakery product of the same title.)
Doughnut economics reflects an economic mindset responsive to 21st-century challenges, shifting the focus from the growth of the GDP (gross domestic product) toward the two dimensions, social and ecological. The social dimension relates to the basic human needs that must be ensured for everybody. The environmental dimension relates to the concept of Planetary Boundaries →, as the boundaries of sustaining life on our planet long-term.
Staying within the ‘doughnut’ means to ensure that humanity’s needs are met within the scope of a living Earth. The principal idea is that the economic mindset should become regenerative and distributive instead of degenerative and divisive (Doughnut Economics Action Lab, 2021). The developer of the model, Kate Raworth, explained it as “the direction of the progress we need to make this century”.
LEARN MORE
