University of Valencia logo Logo del portal

  • Logo Càtedra Ciutat de València

The Economy for the Common Good

The Economy for the Common Good (ECG), promoted by the Austrian economist Christian Felber, is a proposal of an economic and social model that aims to reorient the current economic model, based on the maximization of individual benefit, and focus on the service of the common good and the cooperation.

 

The fundamental values ​​for which the ECG is governed and which should apply to economic activity are:

 

On this basis, the ECG model proposes the use of indicators that are different from the classical indicators, in other words, not only the financial and monetary aspects. These indicators do not tell us anything about war, if the environment is overexploited, if inequality grows, if human rights are respected, etc. Similarly, a company that has benefits, it does not indicate anything about the conditions of its workers, the treatment of its suppliers, what it produces or how it produces it, nor on the environmental, social or ethical impact derived from its activity.

 

In this way, social and cultural aspects are proposed to measure collective well-being of a country. Before the indicator of Gross Domestic Product, the Common Good's Product has been proposed as an indicator, which also includes aspects such as social cohesion, solidarity, participation, quality of democracy, environmental policy, and the fair distribution of benefits, gender equality or wage equality, among others. With the purpose of measuring the level of social compliance of a company, the use of the Common Good Sheet is proposed, so that the success of a company no longer depends on its ability to generate economic and financial benefits, but rather its social impact. In other words, the benefit that the company could generate in the society and in general in its interest groups.

Explanatory video by Christian Felber

Explanatory video by Joan Ramon Sanchis Palacio, ECG Chair's Director 

 
This website uses proprietary and third-party cookies for technical purposes, traffic analysis and to facilitate insertion of content in social networks on user request. If you continue to browse, we consider that you are accepting its use. For more information please consult ourcookies policy