The Indirect Profit Investment Loop

By Caroline Smalley on Jan 28 2012, last modified on Jan 28 2012.

The global affect of poverty on the wallets of 'the rest' is a pretty significant hit.

Why Invest In The Impact Economy?

  1. Consider the cost of food aid. Environmental and economic too. (transporting food uses gas; the more gas we use hikes up demand; demand and supply raises the price. 
  2. Corporate enterprise thrives on being able to take from places far from their home. Power nations win the who's who by taking ownership of land beyond their own. Kills opportunity for local economies where natives could otherwise reap the benefits of resources in their backyard. Corporate enterprise presents competition that kills local opportunity in your community too. Demand for social support in developed worlds jacks up yet again.
  3. Poverty takes away the ability to express and be heard, or to have the opportunity to create a life that instills a sense of belonging; identity; a sense of worth – pride in what you do. Creates social anxiety and clears the way for dictatorship. Not to put too fine a point on it, but this is a precursor to conflict, hardship and war. Any takers on the cost implied there?

Food For Thought 

How about introducing Social Impact Investment Credits? Corporate business invests in company's carrying a high 'Impact Investment', and this reduces their corporate tax.
 
Am I just crazy, or does this make some sense?

Inspired by: The Trouble With Impact Investing


Comments