Living capital, which has the special capacity to continuously regenerate itself, is ultimately the source of all real wealth. To destroy it for money, a simple number with no intrinsic value, is an act of collective insanity - which makes capitalism a mental, as well as physical pathology.
Interpretation
This quote emphasizes the importance of sustainable resources that can regenerate over time, contrasting them with money, which is merely a representation of value.
David Korten's quote critiques the fundamental flaw in capitalism where the drive for monetary profit often leads to the destruction of living capital, such as the environment and community resources. He argues that this destruction, motivated by the pursuit of wealth, is a form of collective insanity because it undermines the very foundation of true wealth, which lies in sustainability and the health of ecosystems and societies.
In practice
In a debate on environmental policy, this quote can highlight the importance of protecting natural resources.
When the institutions of money rule the world, it is perhaps inevitable that the interests of money will take precedence over the interests of people. What we are experiencing might best be described as a case of money colonizing life. To accept this absurd distortion of human institutions and purpose should be considered nothing less than an act of collective, suicidal insanity.
We can have democracy and a prosperous, just, and sustainable human future. Or we can have corporate rule. We cannot have both.
In a world of increasing inequality, the legitimacy of institutions that give precedence to the property rights of 'the Haves' over the human rights of 'the Have Nots' is inevitably called into serious question.
As corporations gain in autonomous institutional power and be-come more detached from people and place, the human interest and the corporate interest increasingly diverge. It is almost as though we were being invaded by alien beings intent on colonizing our planet, reducing us to serfs, and then excluding as many of us as possible.
Capitalism and the market are presented as synonymous, but they are not. Capitalism is both the enemy of the market and democracy.
The proper goal of an economic democracy agenda is to replace the global suicide economy ruled by rapacious and unaccountable global corporations with a planetary system of local living economies comprised of human-scale enterprise rooted in the communities they serve and locally owned by the people whose wellbeing depends on them.
The best and most sustainable love story for markets is one based on a healthy and dynamic real economy that creates jobs and opportunities for many more people.
The hidden hand of the market will never work without a hidden fist.
After adjusting for inflation, the average income of the top 5% of households grew by 38% from 1989 to 2013. By comparison, the average real income of the other 95% of households grew less than 10%.
Raising the minimum wage allows business people to stop thinking about workers simply as costs to be cut and allows you to start thinking about workers as customers to be cultivated.
Mere inflation-that is, the mere issuance of more money, with the consequence of higher wages and prices-may look like the creation of more demand. But in terms of the actual production and exchange of real things it is not.
If government manages to establish paper tickets or bank credit as money, as equivalent to gold grams or ounces, then the government, as dominant money-supplier, becomes free to create money costlessly and at will. As a result, this 'inflation' of the money supply destroys the value of the dollar or pound, drives up prices, cripples economic calculation, and hobbles and seriously damages the workings of the market economy.
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