ugh. utterly unrealistic book in the vein of "green capitalism," i.e. myth-making for the sake of preserving power hierarchies that dominate us and destroy the planet.

On a society based upon this system, we have to manage ourselves to be responsible with the planet and our environment. Take care of it and try to make the less negative impact on it and also being affordable for the businessman and profitable.

Libertarians will love this book.

“We have lived by the assumption that what was good for us would be good for the world. We have been wrong. We must change our lives, so that it will be possible to live by the contrary assumption that what is good for the world will be good for us.” – Wendell Berry.

Paul Hawken, Amory Lovins, and L. Hunter Lovins open the book with this quote, which I agree with. Where Hawken, Lovins, and Lovins and I disagree is the path to getting there.

What is Natural Capitalism? Well, it has a lot to do with Natural Capital. You see, Hawken, Lovins, and Lovins want to correct Marx’s notions that natural resources and ecosystems are raw products which through the lands of labor are turned into commodities which produce wealth. Rather, natural resources and healthy ecosystems are themselves a form of capital – natural capital. They provide services necessary to the production of all wealth and they cannot be replaced.

Because of this, Hawken, Lovins, and Lovins believe that it is in the self-interest of businesses to preserve, conserve, and restore natural capital. They believe we are on the cusp of a revolution that will transform the world as much as the industrial revolution and that revolution is not at all like a revolution envisioned by Marx, but rather a revolution in natural Capital. This is the revolution that takes place as businesses realize the importance of investing in green technologies, the importance of asking for government regulation of the industry, even the importance of socio-economic justice.

Indeed, they tell us, “in a few decades, historians may write a history of our times that goes something like this: Now that the private sector has taken its proper place as the main implementer of sustainable practices, simply because they work better and cost less, the 1990s and 1980s approach of micromanagement by intensive government regulation is only a bad memory” (320).

Forgive me, but this sounds naïve. Does the corporate capital business model really have that much foresight? Is it rational to that extent? Will it ever sacrifice its own short term profit for the long term benefit of humanity? To what extent does this model depend on the good will, the good heart, the good morals and intentions of the world elites? Indeed, perhaps that is why the book is written as a utopic vision to convince the world’s elite who control those businesses that this is exactly the revolution at which they ought to be at the vanguard, in order to reap profits and also assuage guilt.

I say this not to attack green entrepreneurs or small local business owners. I just think its naïve to think that Shell will on its own realize its better to be ecologically friendly (rather than simply appear ecologically friendly). But let’s take a closer look at one of the examples they give for how this process unfolds…

“When the African writer Ken Saro-Wiwa and seven of his colleagues were hanged by the Nigerian military dictatorship after being convicted in a kangaroo court for leading the protests against the environmental degradation in Ogoniland caused by multinational petroleum companies, Shell stations in Germany were burned to the ground, boycotts in Holland slashed sales, and employees in London were chastised by family and friends. Since that time, Shell has begun to reexamine all its racial, economic, and environmental policies.”

Now contrast the vision of change they give above to the statement with which they end the book:

” Natural capitalism is not about fomenting social upheaval. On the contrary, that is the consequence that will surely arise if fundamental social and environmental problems are not responsibly addressed. Natural capitalism is about choices we can make that can start to tip economic and social outcomes in positive directions. And it is already occurring- because it is necessary, possible, and practical” (322).

When I read Natural Capitalism I was quite enamored of it. However, since reading other material I have less enthusiasm for this book and the approach they generally describe (I've seen a documentary with the authors and read a number of news articles both by and about them). In order to work, many of their "solutions" require top down command and control economic framework which generally has a very poor record for using resources wisely.

Additionally, many of their predictions and/or time lines for the viability of new environmentally friendly technology have been flat out wrong or way off. I suspect that this is because they, too often don't take into account all economic costs. So for example when describing a new way of making a much more environmentally friendly car, they only look at some of the factors involved in making it and have no idea how their end goals affect all the hundreds or thousands of related industries will be effected. In fact however, the only way all costs can be accounted for is in open markets where prices are not set or manipulated by government intervention - something the authors often fail to realize. To quote one of their obvious errors they state "Markets know everything about prices and nothing about costs." This makes no sense. Prices ARE costs! The price I set is the cost you pay - it all depends on the vantage point. So to translate their quote into the real world they're saying, "Markets know everything about prices and nothing about [other people's:] prices." Now doesn't that sound a bit weird?

So while they're on the right track with the basic idea that waste is bad for business and bad for the environment (and bring up lots of fun examples to show how some companies have revolutionized their way of doing business) this fundamental lack of economic understanding really brings this book down in my view. Many economists and even journalists and active environmentalists have criticized their work for just this reason.

An interesting book I was required to read in a sociology class. It's about how environmentalism and capitalism can work together for good, if we can rethink our concepts of capital to include "natural capital".

Interesting points. Dense and hard to read. Not a leisure book, more like something that would be provided as course material to study.
Some of my favorite excerpts from the book below:
-"A successful business in the new era of natural capitalism will respect and understand all four views. It will realize that solutions lie in understanding the interconnectedness of problems not in confronting them in isolation."
-"Today the central issues for thoughtful and successful industries--the two being increasingly identical--relate not to how best to produce the goods and services needed for a satisfying life--that's pretty well worked out--but rather to what is worth producing, what will make us better human beings, how we can stop trying to meet nonmaterial needs by material means, and how much is enough."

This book is a compilation of many good ideas associated with what is truly the new economy, one that focuses on resource conservation as opposed to exploitation.

The Lovins' from the Rocky Mountain Institute and Paul Hawken (author of The Ecology of Commerce) team up for a fantastic and hopeful read on how capitalism can be harnessed and directed to restore our planet and our communities. Far from a utopian vision of the future, the book teems with anecdotes and scalable solutions which are practical and require no further advance in technology. The Lovins' engineering and technical expertise coupled with what is undoubtedly Hawken's prose make for a great non-fiction read.

Anyone who wants to get a glimpse of what is possible in the green movement, now and in the near future, should read this book. Paul Hawken is one of today's most inspiring environmental writers and this is the blueprint for bringing our society into harmony with nature.

I really want to give this book 5 stars because it is incredibly important. The vision it sets forth is revolutionary. I mean that in the personal sense, creating a change in the readers mind which effects their own consciousness as well as that of all. Critically important concept, to value people and the planet's natural resources for what they contribute to the web of life itself rather than just the abstract financial and physical capital they are currently valued as. I gave it four stars because, while it relates some truly amazing cases, at times it is not as concise as I would like. I would love to hear what others think about it too. I was particularly moved by the chapter on the Brazilian city Curitiba, at the very end. Amazing.

I am officially giving up on this book. I've had it checked out from the library for 6 weeks, and cannot bring myself to trudge through it anymore. Not that it's bad! But it does have a few strikes against it: a) It's heavy, which makes for a lousy commute; b) the print is tiny, which makes it seem insurmountable; c) I know next to nothing about economics or business, which means that much of that tiny print goes right over my head; and d) it was written 10 years ago, which means I have no idea how up-to-date any of the ideas/claims are. For example, the authors seem wild about the idea of hydrogen cell cars, but hasn't that largely been discredited by now? Their logic supporting it seems sound though, so I don't know what to think.

It did have some intriguing ideas, but about halfway through I felt I had gotten the gist and didn't need to read any more. If you want to read about stuff like this, read Cradle to Cradle--it cites many of the same stories and people, is written with the common layperson in mind, and is much shorter (and printed on recyclable plastic).

from the library, hardcover, c1999


TOC
Preface ix
Acknowledgments xv
The Next Industrial Revolution
Reinventing the Wheels: Hypercars and Neighborhoods
Waste Not
Making the World
Building Blocks
Tunneling Through the Cost Barrier
Muda, Service, and Flow
Capital Gains
Nature's Filaments
Food for Life
Aqueous Solutions
Climate: Making Sense and Making Money
Making Markets Work
Human Capitalism
Once Upon a Planet
Notes
References
Index

Booklist Reviews (from the library computer)

Hawken is the author of The Ecology of Commerce (1993) and is best known for his PBS series Growing a Business. Amory and Hunter Lovins founded the Rocky Mountain Institute, which promotes efficient resource use, and Amory has been called the "godfather" of alternative energy. The three have joined forces here to set a blueprint for sustainable development. The authors argue that it is possible for companies to reduce energy and materials consumption by up to 90 percent but still increase profits, production, and employment. They outline the four strategies that underlie "natural capitalism" and, using hypercars and neighborhood land use and superefficient buildings as examples, show how these strategies are being applied. They also identify ways resources are being wasted and explain the principles of "resource productivity." Throughout their book, the authors indicate new business opportunities that will be created by practicing "natural capitalism." Accompanying the book will be a CD composed of "KnowledgeMaps," which will be "visual, interactive conceptual models" that complement the material in each chapter and include hyperlinks to relevant sites on the Internet. ((Reviewed September 1, 1999)) Copyright 2000 Booklist Reviews