3. Nurture Human Nature - 3/7 Doughnut Economics

Summary

This video critiques the concept of Rational Economic Man, a model from traditional economics that portrays humans as self-interested, isolated, and dominated by material desires. It highlights how this outdated view harms society and the environment, shaping us into more self-centered individuals. The video calls for a shift in economic thinking, advocating for a new model of humanity that embraces empathy, cooperation, and dependence on nature, suggesting that economic systems should reflect these values to promote thriving in the 21st century.

Takeaways

• 😀 Economics has traditionally viewed humans through the lens of 'Rational Economic Man,' a self-interested individual focused on wealth and luxury.
• 😀 'Rational Economic Man' is depicted as someone with insatiable wants, valuing money over work and nature, and being overly focused on price.
• 😀 The more economics students study this model, the more they tend to adopt self-interested behaviors themselves.
• 😀 This model of human behavior is harmful to both societies and the environment, as it promotes a damaging worldview.
• 😀 There is a call to move away from this outdated model and develop a new portrayal of humanity in economics.
• 😀 The new economic model should recognize that humans are naturally wired for empathy, cooperation, and mutual aid.
• 😀 Human wants are not fixed and can change based on evolving values, rather than being purely driven by self-interest.
• 😀 Instead of dominating nature, humans are deeply interconnected and dependent on the natural world.
• 😀 Economics needs to nurture these aspects of human nature to create a more sustainable and thriving future for society.
• 😀 The future of economics lies in understanding and fostering cooperation, empathy, and a better relationship with the environment.
• 😀 A new self-portrait of humanity at the heart of economics can provide a greater chance for human thriving in the 21st century.

Q & A

What is Rational Economic Man, and how does he represent human nature in traditional economics?

Rational Economic Man is a concept invented by economists to fit humanity into economic theories. He is depicted as a solitary figure driven by self-interest, with a calculator in his head and money in his hand. He dislikes work, seeks luxury, and has insatiable desires. His behavior is framed around individualism and rational decision-making, often disconnected from social, emotional, or ecological factors.

How does the portrayal of Rational Economic Man influence people’s behavior?

Research has shown that when people, particularly economics students, are exposed to the concept of Rational Economic Man, they begin to exhibit more self-interested behaviors. This shift reflects how powerful economic models can shape our perceptions and actions in society.

What negative consequences are associated with the Rational Economic Man model?

The model is damaging because it encourages selfishness and consumerism, often disregarding collective well-being or environmental sustainability. By prioritizing individual gain and economic growth, it undermines empathy, cooperation, and the deeper interdependence humans share with nature.

Why does the script call for a new portrait of humanity in economics?

The script suggests that economics must evolve to reflect a more accurate understanding of human nature. Rather than being isolated, humans are wired for empathy, cooperation, and mutual aid. A new portrait would embrace our interdependence with nature and recognize that our desires are shaped by our evolving values, not fixed by rigid economic models.

What role does empathy play in the proposed new economic model?

Empathy is central to the new economic vision. The script highlights that our brains are wired for empathy, cooperation, and mutual aid, suggesting that an economy that nurtures these traits would be more sustainable and equitable, fostering human flourishing instead of reinforcing selfishness.

How does the new economic model view human desires?

In contrast to the Rational Economic Man, who is depicted as having unchanging, insatiable wants, the new model suggests that our desires evolve. These desires are not fixed but are shaped by our changing values and social context, allowing for more flexible and adaptive economic behavior.

What is the relationship between humans and nature in the traditional economic model?

Traditional economics often places humans in a dominant position over nature, treating the natural world as a resource to be exploited for economic gain. The Rational Economic Man is depicted as controlling or mastering nature, which overlooks the deep interdependence between humans and the environment.

How does the new economic vision view the human-nature relationship?

The new vision emphasizes our deep dependence on nature, recognizing that humans are part of a larger ecological system. This perspective encourages sustainable practices and acknowledges that our well-being is intricately linked to the health of the environment, rather than seeking to dominate it.

What changes are suggested in economics to reflect this new portrait of humanity?

Economics should shift from a focus on individualism and materialism toward a model that promotes cooperation, empathy, and environmental sustainability. This would involve reevaluating economic priorities, such as shifting away from profit maximization and towards values like mutual aid, social well-being, and ecological balance.

What is the importance of adapting economic models for the 21st century?

The traditional economic models, shaped by the Rational Economic Man, are increasingly incompatible with the challenges of the 21st century, such as environmental degradation, social inequality, and global interconnectedness. By adapting to a more holistic view of human nature, economics can help societies better address contemporary challenges and create a thriving future.