Nature's Fortune touted by former Goldman director
Nature is as important to the economy as manufacturing or agriculture, and remains an untapped investment opportunity, according to Mark Tercek, a former Goldman Sachs managing director, now president and CEO of The Nature Conservancy. He argues that the concept of conservation must be expanded to include not just the "dynamics of the forest" but also specific decisions businesspeople make up and down the supply chain.
In an interview, Tercek said he agrees with futurist Hazel Henderson's paradigm-shifting depiction of the economy--not as a pie (divided between the public and private sectors) but as a cake, a four-layer cake where three layers of infrastructure support the private sector. In addition to bridges and roads (the public sector,) there are families and communities (which she dubs the "love economy.") And the foundation of that cake--the mother of all infrastructures--is nature, or natural capital.
"The global economy is a wholly-owned subsidiary of the environment."
Tercek takes this a step further by actually comparing the economics of built or gray infrastructure such as pipes and treatment plants with green infrastructure consisting of woodlands and grasslands, wetlands and rivers.
"Green infrastructure is usually cheaper than gray," he says, "and it's more efficient. And unlike gray infrastructure, it accomplishes many things at once."
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