Revisiting “Small is Beautiful”: Ethics, Technology and Globalization
Dr. Carlos A. Primo Braga, professor of International Political Economy at IMD, Lausanne finds seven issues of high importance in regards to sustainable development.
1. An Emphasis on appropriate Technology. Sufficiency Economy is the foundation of life, the stability of the nation- the way pillars support houses and buildings. Milton Friedman once visited a field where workers were working manually. He asked the project leader why don't they have a tractor and got the answer that this project is meant to enable everybody to have a job and not just the handful of people. Milton asked:”Then why don't you give them spoons instead?”.
2. Focus on the long-run. We are surrounded with too much focus on the profit in the short-run. It's not an easy task.
3. Consistency to your management.
4. Honesty towards all stakeholders.
5. Proper alignment of incentives. Things can go wrong. As example he mentions the incentive of English colonizers when they colonized India but were afraid of snakes. English payed money for each snake brought to them. Indians soon started raising snake farms in order to get more money.
6. Avoid excessive leverage. Too big dependence of creditors can be damaging.
7. Employment creation is important in every development concept.