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Quote by Hendrith Vanlon Smith Jr.

“In a Permacapital Economy, the patterns of production, the uses of private property, the delegation of resources, the regulation of industry/commerce, and the movement of prices are all based largely on the desires and demands of the consumers, within the reasonable limits of regulation. Too much consumer sovereignty will result in the pursuit of low prices and convenience Being at the expense of good wages, harmony with nature, social cohesion, etc. Too little consumer sovereignty will result in the dominance of government and industry to the extent that the freedoms (liberties) of the people are infringed upon and the efficiency of the whole economy is reduced.”

Quote by Hendrith Vanlon Smith Jr.

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Principles of a Permaculture Economy

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Hendrith Vanlon Smith Jr.

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“In a Permacapital Economy, businesses are born and businesses die. When businesses are providing value to customers and society, and doing so with fair prices, better than their competitors - they remain alive. When businesses are unable or unwilling to provide value to customers and society and are overpriced and worse than competitors - they die. The process is determined by what is best for society, naturally, by the various mechanisms at play in the Permacapital Economy.”

“Permacapital economics, with its foundational principles of efficiency, equitable growth, reciprocal prosperity, resource, efficiency, and ethical business practices, offers a potentially superior framework for achieving national and global economic resilience.”

“Food waste cannot exist in a Permacapital Economy - all food produced is consumed wither by some biological organism like a person or a pet, or by another like a microbe or a fungus. For each organism or economic-participant, the bi-product produced after consumption is food to be consumed by another organism or economic participant. In such a system, waste does not exist; only resources. And in such a system, consumption is not evil; it is virtuous.”

“Permacapital Economics is all about Multiplicative Value Effects. A Multiplicative Value Effect is an effect that arises whereby many good things come from one thing. It's about the increased value that arises from the synergy that exists between connected value producers. Furthermore, Multiplicative Value Effects are distinguished by a reality whereby each unit of value produced multiplies with other units of value produced such that the total value produced is a multiple of the inputs, and not merely a sum of the inputs. This is how nature works. A seed planted in the soil for example, becomes an antennae for fungal networks, a partner for microbes, eventually grows into a home for insects and animals, eventually produces food for various life forms in the form of leaves and fruits, creates new soil which hosts more of the same processes, and eventually produces an abundance of seeds each of which can have the same effect the original seed had. And all the while, no waste is produced. This is Multiplicative Value Effects, and this is what we need in our economy.”