Economy has been strongly associated with money exchange, banks, business profits, economic crisis, political corruption and bankruptcy. However, the economy is something more than that. Economy (Oikos + nemomai (in Greek) = house + management)) is a result of a set of processes that involve culture, values, education, history, technology, social organization, political structures, legal systems, geography, natural resources, ecology, etc.
Economic activities can be observed within three levels: the financial, the real, and the “real-real” level. The financial is referring to the provision of loans in order to further invest and consume against the future. The real economy is referring to the payback of debts. The main indicator of economic growth and expansion of the real economy is the GDP index. As individuals, we produce and consume goods and services every day. These goods and services may have material or immaterial forms, with use and non-use value as we noticed during the Activity 2.1. Unfortunately, the mainstream economic theory uses indicators to measure and evaluate our actions and their effects that do not count or consider all the different forms. In specific, critics to GDP index note that household activities, sharing, exchange, and barter economic activities, nature’s free services, the material and cultural commons, as well as the illegal black market activities are not included in the GDP index indicator.
Finally, there is the real-real economy, that concerns the flows of energy and materials, the land uses and the capacity of humans to work, which are subject to physical and biological limits. These resources are threatened by the unsustainable human actions whose effects are also not included in GDP accounts. In fact, human activities have been limited to economic activities. People are seemed as self-interested consumers relying on more economic growth and profits. Moreover, their wellbeing and development is measured with an index that is highly selective and misinformative. Thus, the GDP index has been criticized for being technically and fundamentally problematic.
In this set of activities, we try to explore the meaning of economy, the effect in our lives and its different types we normally experience but do not recognize. We try to influence critical thinking towards the current system we use, in order to analyze production and consumption under the scope of the Gross Domestic Product (GDP) index, the economic growth, the materials economy and its effects to the planet.
ACTIVITY 2.1 What is ECONOMY?
ACTIVITY 2.2 Materials Economy
ACTIVITY 2.3 Ecological Footprint
Suggestion for Schools & Universities: The concept of the Time Bank
A Time Bank can be seen as a network that gives the opportunity to its members to exchange services and products with time as the only currency. Anyone can offer services and products to others and ask back services or things he or she needs. The aim is to satisfy the needs of the people without focusing on profit.
Students may be asked to develop their own community Time Bank for the whole period of the school year or semester by writing down their skills and services they could offer, including the materials needed and the time required to spend in each service. In the context of the training module, this could be done in the beginning of the program, when participants state their learning needs, expectations, fears, and offers.
Specific organizational details could be co-decided by the members of the Time Bank and the facilitators of the programme. Giving ownership and self-organisation skills to the participants is highly recommended as a good practice to enhance their interest and community responsibility.
Economic activities can be observed within three levels: the financial, the real, and the “real-real” level. The financial is referring to the provision of loans in order to further invest and consume against the future. The real economy is referring to the payback of debts. The main indicator of economic growth and expansion of the real economy is the GDP index. As individuals, we produce and consume goods and services every day. These goods and services may have material or immaterial forms, with use and non-use value as we noticed during the Activity 2.1. Unfortunately, the mainstream economic theory uses indicators to measure and evaluate our actions and their effects that do not count or consider all the different forms. In specific, critics to GDP index note that household activities, sharing, exchange, and barter economic activities, nature’s free services, the material and cultural commons, as well as the illegal black market activities are not included in the GDP index indicator.
Finally, there is the real-real economy, that concerns the flows of energy and materials, the land uses and the capacity of humans to work, which are subject to physical and biological limits. These resources are threatened by the unsustainable human actions whose effects are also not included in GDP accounts. In fact, human activities have been limited to economic activities. People are seemed as self-interested consumers relying on more economic growth and profits. Moreover, their wellbeing and development is measured with an index that is highly selective and misinformative. Thus, the GDP index has been criticized for being technically and fundamentally problematic.
In this set of activities, we try to explore the meaning of economy, the effect in our lives and its different types we normally experience but do not recognize. We try to influence critical thinking towards the current system we use, in order to analyze production and consumption under the scope of the Gross Domestic Product (GDP) index, the economic growth, the materials economy and its effects to the planet.
ACTIVITY 2.1 What is ECONOMY?
ACTIVITY 2.2 Materials Economy
ACTIVITY 2.3 Ecological Footprint
Suggestion for Schools & Universities: The concept of the Time Bank
A Time Bank can be seen as a network that gives the opportunity to its members to exchange services and products with time as the only currency. Anyone can offer services and products to others and ask back services or things he or she needs. The aim is to satisfy the needs of the people without focusing on profit.
Students may be asked to develop their own community Time Bank for the whole period of the school year or semester by writing down their skills and services they could offer, including the materials needed and the time required to spend in each service. In the context of the training module, this could be done in the beginning of the program, when participants state their learning needs, expectations, fears, and offers.
Specific organizational details could be co-decided by the members of the Time Bank and the facilitators of the programme. Giving ownership and self-organisation skills to the participants is highly recommended as a good practice to enhance their interest and community responsibility.
The European Commission's support for the production of this publication does not constitute an endorsement of the contents, which reflect the views
only of the authors, and the Commission cannot be held responsible for any use which may be made of the information contained therein.
only of the authors, and the Commission cannot be held responsible for any use which may be made of the information contained therein.