Thank you Greece

I recently read a quote attributed to Jean-Claude Juncker, Luxembourg’s prime minster and head of the euro group, to the effect that “we know exactly what we should do; we just don’t know how to get re-elected if we do it” (quoted in Guardian Weekly 25.05.12). I then heard Yiannis Milios, top Economic Advisor of the Syriza Party, currently polling highest in the run up to new elections, on BBC World Service’s Hardtalk.

Think for a moment about what Juncker is saying – according to our economic policy framework and paradigm, we know what we should do, but we also know that it would be immensely unpopular with people. What does that tell us? One of two things: either the people are ignorant and don’t know what is good for them and their countries, or the socio-economic paradigm from which our politicians are trying to manage the crisis is fundamentally flawed. I tend to go with the latter. They are trying to impose more of the old when the old itself is the problem – because they don’t know any better.

Listening to the Hardtalk interview, I was struck by how, for the first time in a long time, views that fairly fundamentally challenge the current economic paradigm and assumptions were given a serious airing. Something is shifting. And Greece is leading the way.

This is not to say that I agree with everything Syriza stands for nor the energy with which they are going about it. But that is not the point. The point is that life is giving form to a new way of thinking about our societies, and Greece and Syriza happen to be the channels for the new birth. Passion, positioning and polarisation is part of the process. This may sound romantic but is actually a blessing very much in disguise. Greece is the innovator here, and for an innovator to carve out a new paradigm at this level is going to be extremely tough.

The transition will be painful, as people struggle to make ends meet playing by the rules of a game that is dying. It will take time for the new ways to emerge and crystallise in such a manner that they really serve the needs people are feeling and can be widely adopted (see this emergence of local solutions as an example of innovation due to need). There will be recriminations towards the old order, babies will be thrown out with bathwater, sides will be taken, society will be polarised. But eventually the new order will settle down, people will have space in their hearts to forgive, they will remember the good elements of the old and will re-integrate what has been rejected too hastily, and Greece will once more have been the cradle of a new civilisation.

Thank you Greece for being so bold. Thank you for cracking the old mold. And thank you for the suffering you undergo for us all. We hold you in our hearts.

Thrive – the Movie and the Conversation in Amsterdam

In my role as Director of Wisdom University in Europe, I will be hosting a showing of the movie Thrive and a conversation afterwards on Saturday 12.11.11 at the Hub in Amsterdam (Westerstraat 187), starting 18.30. It launches on 11.11.11 and promises to challenge many assumptions. RSVP thrive.amsterdam@gmail.com. Film showing is free with donations to cover room hire.

Even insiders who have seen it talked about it for days afterwards. My business partner and friend Tatiana Glad, also co-founder of the Hub in Amsterdam, will join me in hosting the conversation afterwards. Thrive recommends that people go to Wisdom University to get academic credits for studying related issues. See also the Thrive website.

Economics 1

John Maynard Keynes:

“I sympathise … with those who would minimise, rather than those who would maximise, economic entanglement between nations. Ideas, knowledge, art, hospitality, travel – these are the things which should of their nature be international. But let goods be homespun whenever it is reasonably and conveniently possible; and, above all, let finance be primarily national.”