DEFINITION Economic Value –“Measures of economic value are based on what people want – their preferences. Economists generally assume that individuals, not the government, are the best judges of what they want. Thus, the theory of economic valuation is based on individual preferences and choices. People express their preferences through the choices and tradeoffs that they make, given certain constraints, such as those on income or available time” (http://www.ecosystemvaluation.org/1- 01.htm).http://www.ecosystemvaluation.org/1- 01.htm –From the moment you wake each morning until the moment you fall asleep again each night, your life is filled with choices. The decisions made by you and everyone else are examples of economics in your life (McTaggart, Findlay, Parkin, 2006). “All economic questions and problems arise from scarcity. Scarcity means that our wants exceed the resources available to satisfy them Economics is the science of choice – the science that explains the choices we make as we cope with scarcity” (McTaggart et al., 2006, p4).
Pros and Cons The positive and negative effects that our ‘economic values’ are having on us…
Pros Commitment to fairness Tolerance of diversity Social mobility Pollution and climate control Dedication to democracy Better food Improved education Bigger houses Improved medical care
Cons Consumerism Materialism Unrealistic company growth Inflation Income distribution Environmental Degradation
BIG ideas PRODUCTIVITY –Learning for life accounts for every Australian from birth into which the government and others can make payments for education, training, parental leave, and superannuation contributions, with capacity to go into deficit and repayments contingent on income. ECONOMY –Sweeping review of the taxation system- A two-year deadline to simplify taxes, reduce inefficiencies in the system and remove poverty traps. –Low-cost funds for housing- A government-guaranteed scheme that creates securities for prime mortgages to deliver a steady supply of cheap money to home-buyers. ENVIRONMENT –National Sustainability, Population and Climate Control Agenda- Government would use all its tools - spending, tax, regulation and investment- to address pressing environmental issues like climate change. HEALTH –National Preventative Health Agency- Funded by tobacco, alcohol and junk food taxes; the new body would research health issues and advocate change
BIG ideas continued… FAMILIES –Micro-finance- Provide small, low-interest loans to people currently excluded from the main finance system. These can be used for personal or business purposes and help build budgeting skills in struggling areas. INDIGENOUS –High quality education to be made available through a use of ABSTUDY, private school scholarships and more government funding. –Indigenous future fund to fund housing and major capital works and invest in innovation CREATIVE AUSTRALIA –National mentoring scheme- Artists would be placed in schools, working as "practioners in residence". The scheme would be funded by philanthropic funds and tax incentives. –Research priority- The creative industry given access to research and development funding and other industry schemes
We need economic values although we need to make sure they don’t become the predominant factor in our society