Thomas Paine Network

Book Review

by Paul E. Gagnon

Natural Capitalism by Paul Hawken, Amory and L. Hunter Lovins

 

HOW GREEN IS MY FACTORY?

If you wanted to concoct an idea that would initially horrify both "Watermelons" i.e. green on the outside and red on the inside and Big Corporation Apologists you might think to go to businessman and environmentalist Paul Hawken. Hawken is a revolutionary thinker like the great anarchist thinker P.J. Proudhon; both are masters of the paradox and have fun doing it at the same time.

The idea behind Natural Capitalism is that we can have our green industrial cake and eat it too if we are willing to forgo the old way of doing things. In a tour de force of environmental and economic facts Hawken expands on the ideas in his first and shorter work The Ecology of Commerce. Hawken draws a blueprint for the implementation of the New Industrialism. This emerging phenomenon is based on using less materials and energy in a "cradle to cradle" approach.

Imagine an economy in which corporations took full responsibility for their actions and products are no longer sold but leased as products-plus-service. In this economy, washing machines, computers, cars, and a whole host of producer and consumer goods are leased and serviced by a company that would take back the worn out product and recycle its parts and materials. Literally everything would be designed to be reused or recycled with little waste. Here is the real economic payoff -- Hawken makes a solid case that such an economy would actually increase jobs.

Hawken is proclaiming a way of doing capitalism that is familiar to progressive Europeans but will undoubtedly cause apoplexy in the boardrooms of the United States. Hawken carefully documents where these innovations are taking place where the results are profits and a cleaner environment.

Many libertarians may be uneasy about Hawken's belief that a combination of a green shift in taxes (taxing pollution, virgin materials extraction, and land as opposed to taxing incomes and sales) and government regulations will be necessary to expedite the New Industrialism. That is until they realize that Hawken is redefining property rights to make them more inclusive of responsibilities as well. The subject of corporate responsibility has been taboo among some free market theorists.

Many on the left are puzzled that anyone could possibly believe that a reformed industrial-capitalist economy could possibly be green. The evidence in Natural Capitalism is compelling that we indeed can have an affluent and green society. Hawken's New Industrialism would benefit from a sound philosophical foundation based on geo-libertarian ideas. Those who are seeking a balanced future both ecologically and economically will find an excellent start in Natural Capitalism.

Natural Capitalism, 1995 is published by Little, Brown and Company and sells for $26.95 hardcover.

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