As Society Unravels, the Future Is Up for Grabs

As civilization faces an existential crisis, our leaders demonstrate their inability to respond. Theory of change shows that now is the time for radically new ideas to transform society before it’s too late.

Of all the terrifying news bombarding us from the burning of the Amazon, perhaps the most disturbing was the offer of $22 million made by France’s President Emmanuel Macron and other G7 leaders to help Brazil put the fires out. Why is that? The answer can help to hone in on the true structural changes needed to avert civilizational collapse.

Scientists have publicly warned that, at the current rate of deforestation, the Amazon is getting dangerously close to a die-back scenario, after which it will be gone forever, turned into sparse savanna. Quite apart from the fact that this would be the greatest human-made ecological catastrophe in history, it would also further accelerate a climate cataclysm, as one of the world’s great carbon sinks would convert overnight to a major carbon emitter, with reinforcing feedback effects causing even more extreme global heating, ultimately threatening the continued existence of our current civilization.

Macron and the other leaders meeting in late August in Biarritz were well aware of these facts. And yet, in the face of this impending disaster, these supposed leaders of the free world, representing over half the economic wealth of all humanity, offered a paltry $22 million—less than Americans spend on popcorn in a single day. By way of context, global fossil fuel subsidies (much of it from G7 members) total roughly $5.2 trillion annually—over two hundred thousand times the amount offered to help Brazil fight the Amazon fires.

The Amazon is burning, while our global leaders do nothing. (Reuters/Ricardo Moraes)

Brazil’s brutal president Bolsonaro is emerging as one of the worst perpetrators of ecocide in the modern world, but it’s difficult to criticize his immediate rejection of an amount that is, at best a pittance, at worst an insult. True to form, Donald Trump didn’t bother to turn up for the discussion on the Amazon fires, but it hardly made a difference. The ultimate message from the rest of the G7 nations was they were utterly unable, or unwilling, to lift a finger to help prevent the looming existential crisis facing our civilization.

Why Aren’t They Doing Anything?

This should not be news to anyone following the unfolding twin disasters of climate breakdown and ecological collapse. It’s easy enough to be horrified at Bolsonaro’s brazenness, encouraging lawless ranchers to burn down the Amazon rainforest to clear land for soybean plantations and cattle grazing, but the subtler, and far more powerful, forces driving us to the precipice come from the Global North. It’s the global appetite for beef consumption that lures Brazil’s farmers to devastate one of the world’s most precious treasure troves of biodiversity. It’s the global demand for fossil fuels that rewards oil companies for the wanton destruction of pristine forest.

There is no clearer evidence of the Global North’s hypocrisy in this regard than the sad story of Ecuador’s Yasuní initiative. In 2007, Ecuador’s president, Rafael Correa proposed an indefinite ban on oil exploration in the pristine Yasuní National Park—representing 20% of the nation’s oil deposits—as long as the developed world would contribute half the cost that Ecuador faced by foregoing oil revenues. Initially, wealthier countries announced their support for this visionary plan, and a UN-administered fund was established. However, after six years of strenuous effort, Ecuador had received just 0.37% of the fund’s target. With sorrow, the government announced it would allow oil drilling to begin.

The Yasuni National Park is now open to oil exploration, following the Global North’s inaction. (Audubon/Neil Ever Osborne)

The simple lesson is that our global leaders currently have no intention to make even the feeblest steps toward changing the underlying drivers of our society’s self-destruction. They are merely marching in lockstep to the true forces propelling our global civilization: the transnational corporations that control virtually every aspect of economic activity. These, in turn, are driven by the requirement to relentlessly increase shareholder value at all cost, which they do by turning the living Earth into a resource for reckless exploitation, and conditioning people everywhere to become zombie consumers.

This global system of unregulated neoliberal capitalism was unleashed in full fury by the free market credo of Ronald Reagan and Margaret Thatcher in the 1980s, and has since become the underlying substrate of our politics, culture, and economics. The system’s true cruelty, destructiveness, and suicidal negligence are now showing themselves in the unraveling of our world order, as manifested in the most extreme inequality in history, the polarized intolerance of political discourse, the rise in desperate climate refugees, and a natural world that is burning up, melting down, and has already lost most of its nonhuman inhabitants.

How Change Happens

Studies of past civilizations show that all the major criteria that predictably lead to civilizational collapse are currently confronting us: climate change, environmental degradation, rising inequality, and escalation in societal complexity. As societies begin to unravel, they have to keep running faster and faster to remain in the same place, until finally an unexpected shock arrives and the whole edifice disintegrates.

It’s a terrifying scenario, but understanding its dynamics enables us to have greater impact on what actually happens than we may realize. Scientists have studied the life cycles of all kinds of complex systems—ranging in size from single cells to vast ecosystems, and back in time all the way to earlier mass extinctions—and have derived a general theory of change called the Adaptive Cycle model. This model works equally well for human systems such as industries, markets, and societies. As a rule, complex systems pass through a life cycle consisting of four phases: a rapid growth phase when those employing innovative strategies can exploit new opportunities; a more stable conservation phase, dominated by long-established relationships that gradually become increasingly brittle and resistant to change; a release phase, which might be a collapse, characterized by chaos and uncertainty; and finally, a reorganization phase during which small, seemingly insignificant forces can drastically change the future of the new cycle.

Right now, many people might agree that our global civilization is at the late stage of its conservation phase, and in many segments, it feels like it’s already entering the chaotic release phase. This is a crucially important moment in the system’s life cycle for those who wish to change the predominant order. As long as the conservation phase remains stable, new ideas can barely make an impact on the established, tightly connected dominant ecosystem of power, relationships, and narrative. However, as things begin to unravel, we see increasing numbers of people begin to question foundational elements of neoliberal capitalism: an economy based on perpetual growth, seeing nature as a resource to plunder, and the pursuit of material wealth as paramount.

This is the time when new ideas can have an outsize impact. Innovative policy ideas previously considered unthinkable begin to enter the domain of mainstream political discourse (known as the Overton window). We see signs of this in the United States in the form of the Green New Deal, or Elizabeth Warren’s plan to hold corporations accountable. We also see it, disturbingly, in dark political forces such as the UK Brexit fiasco and the increasing acceptability of malevolent racist rhetoric around the world.

The stakes are always at their highest when both the economic and cultural norms of a society begin to fall apart in tandem. When Europe underwent a phase of collapse and renewal in the early twentieth-century, after the devastation of World War I, it became fertile terrain for the hate-filled ideologies of Fascism and Nazism that led to the dark abyss of genocide and concentration camps. The ensuing catastrophe of World War II led to another collapse and renewal cycle, this one providing the platform for the current globalized world order that is now entering the final stages of its own life cycle.

Shifting the Overton Window

What will emerge from the current slide into ecological and political chaos? Will the twin dark forces of billionaires’ wealth and xenophobic nationalism lead us into another abyss? Or can we somehow transform our global society peacefully into a fundamentally different system—one that affirms life rather than material wealth as paramount?

One thing is clear: the visionary ideas that will determine the shape of our future will not be based on incremental thinking within the confines of our current system. Achieving needed reforms within the current global power structure is a worthwhile goal, but is not sufficient to lead humanity to a thriving future. For that, we need bold, new ways of structuring our civilization, and of rethinking the human relationship with the natural world. We need to be ready to restructure the legal basis of corporations to serve humanity rather than faceless shareholders. We need global laws that force ecocidal thugs like Bolsonaro to face justice for their crimes against nature.

You won’t currently find these new ways of thinking in the mainstream media, nor in the speeches of politicians trying to get elected. But you will find them in the streets. You’ll find them in the courage of a Greta Thunberg: a solitary teenage girl sitting for days in front of her parliament, who has since inspired millions of schoolchildren to strike for their future. You’ll find them in the demands of the Extinction Rebellion movement, which calls for elected leaders to tell the truth about our ecological and climate crisis, and to empower citizen’s assemblies to develop truly meaningful solutions.

The Extinction Rebellion movement calls for a meaningful response to our ecological crisis

The changes needed for a hopeful future will not come about from our current leaders, which is why all of us who care for future generations and for the richness of life on Earth, must take the leadership role in their place. We need to shift the Overton window until it centers on the real issues that will determine our future. On September 20, three days before the UN Climate Summit in New York, millions of young people and adults will participate in a Global Climate Strike, taking to the streets to demand the transformative action that’s necessary to stave off ecological and civilizational collapse. Actions are being planned in over a thousand cities around the world, for what may turn out to be the single biggest coordinated grassroots global demonstration in history.

The stakes have never been higher: the threat of catastrophe never more dreadful; and the path to societal transformation never so apparent. Which future are you steering us to? There’s no opting out: anyone with an inkling of what’s happening around the world, but who does nothing about it, is implicitly adding their momentum toward the abyss of collapse. I hope you join us on September 20 in helping steer our civilization toward a path of future flourishing.

Jeremy Lent is author of The Patterning Instinct: A Cultural History of Humanity’s Search for Meaning, which investigates how different cultures have made sense of the universe and how their underlying values have changed the course of history. He is founder of the nonprofit Liology Institute, dedicated to fostering a sustainable worldview. For more information visit jeremylent.com.

Five Ways to Curb the Power of Corporations and Billionaires

We need to rein in the destructive power of corporations and billionaires before it’s too late. These five ideas would do that, while leaving global capitalism intact. Ultimately, only a complete transformation of our economic system will save our future, but these proposals could set changes in motion that might eventually take us there.

Transnational corporations have become the dominant force directing our world. Humanity is accelerating toward a precipice of overconsumption, and the large transnationals are the primary agents driving us there. We’re rapidly losing the earth’s forests, animals, insects, fish, even the topsoil we require to grow our crops. The earth is becoming denuded of its bounty as every living system is ransacked for resources—not to mention the looming emergency of climate breakdown. As a result, twenty thousand scientists have recently issued a public warning to humanity, while prominent academics consider the collapse of civilization this century to be a serious threat.

environmental destruction — Transnational corporations are driving humanity to a precipice of overconsumption

Changes in our personal consumption patterns are important, but are ultimately inconsequential compared with the impact of the transnationals that have come to dominate our global economic and political system. Of the world’s hundred largest economies, sixty-nine are now corporations. Political parties in many of our so-called democracies are funded in large part by billionaires, while government cabinet positions are staffed by corporate executives. International bodies setting global policy are infiltrated by corporate agents so successful at entrenching corporate power that even those governments that still prioritize their people’s needs can no longer make autonomous decisions without risking crippling lawsuits from the transnationals whose interests they threaten. Meanwhile, countries and cities compete with each other to beg their corporate overlords for investment dollars, even it means undermining public services and legal protections for their own populations.

Environmental groups, recognizing where ultimate power resides, try to pressure corporations to improve practices through the threat of public shaming, with some appreciable results. However, these attempts are necessarily constrained by the very structure of big corporations, which exist to enrich their shareholders regardless of the consequences. The common goal of corporations around the world is to monetize human activity and what’s left of nature’s abundance as rapidly and efficiently as possible. The overriding purpose of the world’s powerful institutional force is thus directly at odds with a flourishing earth or a viable future for humanity.

Having spent the first part of my career in the heart of the capitalist system, consulting to major international banks and corporations, I developed a sense of the underlying forces that direct the centers of financial power. These ideas are my distillation of what I believe could be effective levers for humanity to take back some control from the increasing hegemony of corporations and billionaires.

If we are to avoid disaster, our global economic system with its gaping inequities and deranged consumption will eventually need to dismantled and replaced by one based on life-affirming principles rather than wealth maximization. These suggestions, even in aggregate, wouldn’t do that. They represent mere tweaks in a system that ultimately needs to be completely transformed. But like a modest trim tab that helps redirect an ocean liner, perhaps they could begin to curb the destructive force of transnationals and redirect their enormous power toward a more sustainable path.

1. Triple bottom line required for corporate charters

A fundamental reason for the rapacious behavior of transnational corporations is their drive to maximize shareholder value above anything else. While there is no explicit requirement for this in the standard corporate charter, a century of case law has entrenched this principle into the behavior of large corporations to the point that is has become the de facto standard of operation. As a result, if corporations were people, they would be considered psychopaths, utterly devoid of any caring for the harm they cause in the pursuit of their goals.

It is easier, however, to change a corporation’s values than those of a human psychopath. All you need to do is change the legal basis of their charter. Instead of pursuing shareholder interests alone, they could be re-chartered with the explicit purpose of achieving a triple bottom line of social and environmental outcomes as well as financial—sometimes known as the “triple Ps” of people, planet, and profit.

This alternative corporate value system is already available through chartering as a benefit corporation or certifying as a B-Corp, and has been adopted by over 2,000 corporations in over fifty countries around the world—including several multibillion-dollar transnationals. My proposal is that, instead of being a voluntary step taken by a select few, this would be a requirement for all corporations above a certain size.

Overnight, the intrinsic character of the corporation would be transformed. Currently, CEOs and corporate boards are faced with continual pressure to grow their earnings at all cost. If they chose to make a humane decision, such as not to exploit a copper mine because of the consequent pollution, they could expect to be sued by shareholders, and possibly acquired by a more ruthless competitor. However, if they were legally required to achieve a triple bottom line, they would weigh up decisions in a more balanced way, as a rational person might. With the board responsible for all three bottom lines, they would have to consider the risk of being sued if they caused excessive pollution, or if they were callous to the needs of the communities where their plants were located.

Currently, large corporations boast of their corporate social responsibility departments that are supposed to care about issues such as employment practices of their suppliers, sustainability of their raw materials, environmental impact of their packaging, gender balance and ethnic diversity in the workplace, and investments in local communities. Suddenly, they would have to stop paying mere lip service to these issues and take them as seriously as marketing costs, revenue growth and distribution channels—the things that CEOs actually worry about when they go home at night.

2. Charter renewal required every five years

Changing the corporate charter requirement might not, however, be enough by itself to halt the relentless pursuit of profits by large transnationals. After all, executive pay packages consist of dollars rather than goodwill, and those dollars are linked directly to the share price, which is driven by shareholders’ expectation of financial returns. If they could get away with it, they might continue their rapacious practices, while trying harder to look like they’re meeting the other two bottom lines.

That’s the reason for my second proposal, which is to require that corporations, which currently enjoy what’s known legally as a “perpetual existence,” get their charters renewed every five years. If they failed to meet pre-established criteria on their two non-financial bottom lines, they would not be permitted to continue in business. Currently, if a company can’t meet its financial obligations, it’s forced into Chapter 11 bankruptcy proceedings and the value of its stock generally tanks to zero. Under my proposal, executives would also have to consider the risk of declaring “social bankruptcy” or “environmental bankruptcy” as they made their business decisions.

As in currently regulated industries such as banking, the final step of losing their charter would not have to be immediate. If a corporation failed to meet its basic parameters, it could be given a warning, with a time period set to fix things. However, the mere threat of this happening would lead corporate executives to make sure they were well above the criteria required to keep their charter.

Corporations are, of course, highly adept at using their financial resources to influence regulatory bodies through bribes and other mechanisms. To avoid this, panel members responsible to renew the charter would be representatives of the communities and ecosystems covered in the company’s scope of operations. Their task would be to weigh up the findings of experienced independent auditors on the company’s performance. To minimize corruption, the panel could be chosen by a process of random selection called sortition, just a like a trial jury is chosen in our legal system.

3. Tax stock trades based on the length of the holding period

Powerful as they are, even corporations have their masters: their shareholders. But don’t think of the typical shareholder as a Warren Buffet type, sitting back in his leather armchair perusing his holdings. Instead, corporate stocks are subject to the frenetic activity of financial markets, where split-second computer algorithms govern much of the trading. Investment firms spend hundreds of millions of dollars enhancing their computing networks to shave as little as three milliseconds off the timing of their trades. The hyper liquidity of global markets means that investors are obsessed with short-term market trends, which leads corporate CEOs, forever anxious about their stock price, to focus their time horizon on the next quarterly earnings report. Financial valuations apply discount rates to future earnings, which means that an investment paying off thirty years in the future can be worth as little as five percent of its future payoff in the present. Under these conditions, why would any CEO care about the state of the planet—or even their company—thirty years from now?

high frequency stock trading — The financial markets’ hyper liquidity drives the short-term orientation of corporate CEOs

During the 2016 US election campaign, Bernie Sanders proposed a Financial Transaction Tax to pay for free college tuition, setting the rate at 0.1% of the transaction. In Europe, discussions are under way to apply a similar EU-wide tax. My proposal increases the tax rate by orders of magnitude, and differentiates based on the length of the stock holding. For example, the tax rate might look like this:

10% if the stock is held less than a day
5% if less than a year
3% if less than 10 years
1% if less than 20 years
Zero if more than 20 years

The effects of this single step would be enormous. The financial services industry would be transformed overnight. High frequency stock trading and same-day traders would disappear. The short-term orientation of the stock market would be replaced by carefully considered long-term investment decisions. A typical mutual fund, which in the US currently turns over its portfolio at the rate of 130% a year, could no longer afford to do so, and would have to change its investment decision-making based on sustainable returns. The tax could be waived for individuals experiencing a life-changing event or for simple hedging techniques where, for example, farmers need to lock in the price of their produce at a future time.

The result would be a massive shift away from destructive extractive industries and toward sustainable businesses. For example, the fossil fuel industry is recognized to be vastly overvalued as a result of its “unburnable carbon”: the amount of fossil fuels in the ground that can never be burned if the world is to keep climate change below the 2° rise agreed at COP21 in Paris. A recent study estimates the overvaluation as high as $4 trillion. Investors, however, play a game of musical chairs, hoping they won’t be the ones left holding the stranded assets. This proposed transaction fee would incent them to dump fossil fuel investments immediately for opportunities in renewable energy with longer-term payoffs.

4. Cap on billionaire’s assets over $5 billion

As corporations have taken increasing control of the global system, they have catapulted founding shareholders and their heirs to previously unimaginable pinnacles of wealth. The combined wealth of the world’s 2,754 billionaires is now $9.2 trillion, an amount that has doubled in the past six years, and increased tenfold since the beginning of this century. The magnitude of this wealth is difficult to conceive. The top six billionaires own as much as the lower half of the entire world’s population. Taken together, the world’s billionaires would represent the third largest economy in the world, behind only China and the United States, with wealth equivalent to the GDP of Germany and Japan combined.

six wealthiest men — These six men own as much wealth as half the world’s population

There is no legitimate rationale for this outrageous concentration of such wealth in a few individuals. The argument that the founders of Microsoft, Amazon, or Facebook deserve such excessive wealth is no more valid than the belief of the ancient Egyptians in the divinity of their Pharaoh, or the Medieval notion of the divine right of kings. Mark Zuckerberg, aged 33, currently owns over $70 billion. If someone had singlehandedly miniaturized the transistor, developed the logic for computer code, invented the PC, and come up with the internet, then maybe they’d deserve having close to that amount as a reward for the value they created. But all Zuckerberg did was figure out a way to connect people up in a network that became a bit more popular than other networks, and because of the internet’s scale effects, he was the lucky one who hit the jackpot. Zuckerberg merely took advantage of all the other infrastructure work that led to the internet, painstakingly pieced together by millions of people over decades, which has been the real value creator for the world.

In response to this excess, my proposal is to cap billionaires’ wealth at, say, $5 billion. It’s an arbitrary amount, still obscenely high and presumably more than enough for those who argue that people should receive ample financial rewards for success. Beyond a certain level of wealth, however, what drives these people is power and prestige. This could be tapped by requiring them to donate their excess wealth to a trust over which they could retain some influence.

Such a trust, however, would need to have some strict criteria. While the billionaire could influence the trust’s priorities, he would not have control over its activities. The current Bill and Melinda Gates Foundation, for example, while a step in the right direction, is under the total control of the Gateses and Warren Buffet. The foundation set up with much fanfare by Mark Zuckerberg is viewed by experts as little more than a fancy tax dodge.

Each trust would need to avoid interference in a country’s political system and be dedicated to life-affirming activities, the scope of which could be based, for example, on the principles of the Earth Charter, a framework for building a just, sustainable and peaceful global society endorsed by over 6,000 organizations.

The positive impact that these trillions of dollars could have on human and natural welfare would be prodigious. Imagine a country the size of Germany and Japan combined dedicated entirely to serving human and natural flourishing. It would have the resources to end extreme poverty, increase regenerative agriculture to over a billion acres worldwide, educate hundreds of millions of girls through the Global South, disseminate up to a billion clean cookstoves, and much, much more.

The billionaires of the world, meanwhile, would continue to enjoy enormous wealth, and when they jet to Davos to hobnob with other luminaries for the annual World Economic Forum, they could finally have something worthwhile to boast about.

5. Declare a crime of ecocide at the International Criminal Court

Even with all these constraints, the powers of transnational corporations would remain enormous, and there would still be times when, through willful negligence or intentional bad faith, corporate action causes massive environmental damage. A UN study, which remained unpublished, found that the world’s largest companies had caused over $2 trillion of environmental damage, which would cost a third of their overall profits if they were forced to pay for it. Because of their extensive political influence, even their most damaging activities go unpunished. This leads to my final proposal: to declare a crime of ecocide at the International Criminal Court (ICC).

The ICC is an independent judicial body set up by international treaty, the Rome Statute, in 2002 to prosecute war crimes, genocides, and crimes against humanity. While it continues to face serious challenges to its enforcement powers, it has had the effect of putting tyrants everywhere on notice that they can no longer act with impunity. If ecocide—the loss, destruction, or severe damage of an ecosystem—were declared a crime by the ICC, this could have a similarly daunting effect on those corporate tyrants who currently know they can get away with devastating the world’s “sacrifice zones” where they are pillaging the earth’s resources for profit.

There is a campaign, Eradicating Ecocide, already under way to make this happen. A model law has been drafted, and an Earth Protectors Trust Fund has been set up to permit common people everywhere to become legal Earth protectors. If a two-thirds majority of the Rome Statute signatories were to approve this as an amendment, it would become enforceable globally. Suddenly, corporate boards and CEOs everywhere would realize they are no longer above the law.

* * * * *

There is a strange paradox to consider about these proposals. One the one hand, notice how limited they are in scope. Even if they were all implemented overnight, the global system would not be overturned. People would still go to work and get paid, food would still be on the shelves of the grocery store, the same governments would still be in power, and the internet would still work. The gaping structural inequities of our current world order would continue unabated, and we’d still be consuming far more than our planet can sustain. Ultimately, we need a complete transformation of our global system if our civilization is to survive intact through this century.

On the other hand, it doesn’t take a political genius to realize that these ideas are so far from mainstream thinking that they have virtually no chance to be adopted any time soon. They would be considered too radical for even the most progressive mainstream politician to endorse. What does this tell us about our current political dialogue? To me, it suggests that our conversations are too severely constrained by what we’re “allowed” to think in terms of how our system works. We need to cast our gaze outside the norms that our billionaire-controlled mainstream media permits us to consider.

Imagine a world where these ideas (or others like them) began to be seriously entertained. How would they even be enforced? The only way corporations could be brought to heel, or billionaires compelled to give up their excess billions, would be a concerted effort led by the United States in conjunction with the European Union, and joined by the preponderance of other countries.

This, of course, could only happen if grassroots demand for these ideas spread so powerfully that politicians had to take notice. This is not such an unrealistic scenario, given the worldwide disavowal of the dominant capitalist model: most Europeans have a higher opinion of socialism than capitalism, and even in the US, the overwhelming majority see big business as unethical and unfair.

Then, there is the potential “trim tab” effect of adopting these ideas. Even though these proposals alone wouldn’t fundamentally transform our system in the way that’s needed, they might set changes in motion that could eventually take us there. There may be other ideas more effective than these, and of course each proposal contains within it complications that would need to be worked out carefully. However, my hope is that these ideas invite a new mode of political dialogue, along with a recognition that even in the darkest times, realistic pathways exist toward a thriving future for humanity and the natural world.

: The next Occupy movement will need clear demands that lead to specific deliverables

When the Occupy movement failed to achieve its initial promise, many people pointed to its lack of specific demands as a reason for its demise. If and when the next radical grassroots movement emerges, which may be sooner than you expect, let’s make sure they have an array of ideas such as these in their quiver to focus public opinion on actual political deliverables.

There are very few people who really want to see our civilization collapse. If these proposals eventually did get implemented, perhaps even the executives of the transnational corporations might sleep better at night, knowing that they can become part of the solution rather than a force of destruction.