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Returning home, dreaming of communion also for that good half of the world that will never set foot in an airplane
by Luigino Bruni
published in Città Nuova n.17/2014 on 10/09/2014
Returning from Paris, from a summer school on the Economy of Communion, flying up in the sky above Europe I am thinking about our capitalism. Perhaps because in France there is a newly appointed minister of economics, perhaps because I have just greeted fifty young people who are fascinated by a more fraternal and inclusive economy. Or perhaps because my heart goes out to too many aircrafts that are in the wrong, flying over many war-ravaged lands; I cannot help thinking of our market economy, our crises, the many Africans and North Africans I've seen in the subways of Paris and its existential, economic and cultural peripheries. 
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The first thing I ponder is what is happening in this plane between me (the other passengers) and the airline that is taking me home. I purchased a ticket, and in doing so I have completely moved into the logic of our capitalism. I made ​​a contract with a major airline, a major player in the global economy (which buys, like other major airlines, many highly speculative financial stocks [hedge funds] to insure itself against the fluctuations of oil prices). To buy my ticket I used a credit card issued by one of the leading global financial circuits. Apart from me, this contract was closed also with a top manager normally travelling in business class, an Italian family (parents and three boys) who spent a few days of holiday in Paris and the young activist of an NGO who is returning from a conference where our economic system was criticised. The flight attendant smiles at me and treats me with much kindness, without actually knowing me, but that’s what her contract prescribes for her. And I am writing comfortably, using my PC produced by a large multinational.
And from this plane my thoughts also go to my predecessor at the University of Rome, who, two hundred years ago, in order to make the same trip to Paris took on perhaps a week's journey, had to cross mountain passes, running the risk of being trapped in the mountains, spending a fortune on the trip, and arriving physically destroyed. And I also think that there were very few people who had the means to go to Paris or to other European cities, their number must have been much lower than today.
So if we stopped at this point of the argument I would not feel too uncomfortable about this flight as I remember the young people from different countries of the world that I have just left, with some nostalgia.
In fact, there is much more to my ticket than that: hidden in it there is such 'a lot' that is hard to see, also because we have stopped asking ourselves some deep questions about the kind of world we have built around us. At the same time it is good to remember that I am travelling on a machine that is one of the main factors of pollution for our planet. It is true that among the programmes it offers aboard there is also the opportunity to make a donation to plant trees that would reproduce exactly the amount of CO2 that we are emitting, but by doing so it is asking us, private citizens to take responsibility for a social cost that this company generates and does not cover (or only in a small part). But then I think of all those citizens whom I have just come across in the metro, and who will probably never get on one of these planes, or just very rarely. In fact, there are less people travelling by air today than yesterday, because even if tickets cost relatively less today than ten years ago, the inequalities have increased, and today the life conditions of the poorest 10% in Europe have deteriorated, and it continues to worsen. Not to mention the billions of people in Africa, Asia and in many parts of South America, who not only do not fly, but they see the conditions of their environment worsen because of the flights of the richer 20% of the planet. Yet even these, and especially these people, would need to fly, to see the world, they need to take flights more than us, more than me, they need to fly and dream. But – and this is something that you do not speak about –if only 50% of those who today are excluded and trapped in the existential peripheries of the world began to fly in the sky, the planet would not be able to provide for our subsistence, and we would all have to get down to the ground. The sad message that lurks beneath this flight is very simple and should not let us travel in peace: the exclusion of one-half of the inhabitants of the planet from this wealth is the condition for us to be able to fly. That's why the real systemic risk of our time is that the many people who are forced to remain on the ground one day cease to peacefully watch the sky where only the others are flying.
And so, as we are landing now, my heart and mind return to the Economy of Communion, to those young people full of hope, and I feel convinced again that if there is a post-capitalist socio-economic system in which all can dream and fly, then this new system will have something to do with the word communion. But we won't ever realize it, unless we – whether we are flying or not – keep looking for it, thinking about it, loving it and believing it today.
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    [text] => 
Returning home, dreaming of communion also for that good half of the world that will never set foot in an airplane
by Luigino Bruni
published in Città Nuova n.17/2014 on 10/09/2014
Returning from Paris, from a summer school on the Economy of Communion, flying up in the sky above Europe I am thinking about our capitalism. Perhaps because in France there is a newly appointed minister of economics, perhaps because I have just greeted fifty young people who are fascinated by a more fraternal and inclusive economy. Or perhaps because my heart goes out to too many aircrafts that are in the wrong, flying over many war-ravaged lands; I cannot help thinking of our market economy, our crises, the many Africans and North Africans I've seen in the subways of Paris and its existential, economic and cultural peripheries. 
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In the economic system that we have produced this last century, there is something that is clearly dying, but there is also something new emerging on the horizon.
by Luigino Bruni
published in Città Nuova n.7/2012 from 10/4/2012
The economy has extreme need of resurrection. Every resurrection is preceded and prepared by a crisis, by a passage or change: one does not resurrect if first, in some way, one does not die. In the economic system that we have produced in this last century there is, in fact, something that is clearly dying out, but there is also something new which is emerging on the horizon, even if we need “eyes of resurrection” to be able to see it, and then to recognize it for what it really is; that is, the dawn of a new day.
If we had eyes of resurrection we would see, for  example, that Italy and the world are moving ahead, despite the crisis and the deaths of our time, because the majority of people try to do good in the family, in their workplace, in public institutions, and continue to do it beyond everything. Evil and sneaky people do exist, but much less than what the dominant culture tells us every day because it sees the world wrongly.
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Then we see many business people who appreciate and respect their employees,  and who, before considering them as part of the overhead cost, they see them as the most valuable resources and essential partners for the life and development of their business. And we will see a lot of people who work well, because they are convinced that work should be done well, firstly and independently from how much one earns, and that therefore one works well even when one is not monitored, or punished or praised.
As we will see a lot of civil, social, ethical and just economy, that of communion, which like salt gives flavour to the dough, and like leaven does not leave bread flat in our markets.  But in order to be able to see the good that already exists in civil and economic life, we need to look at and think from the viewpoint of a culture of resurrection, which knows how to see what today’s dying culture does not yet see.
Today there is great need for people who know how to see and indicate new signs of life really present in our daily lives (if seen well), and not just imagined or dreamed.  This is a high form of high civic charity and,  when it is missing, the world becomes a sad and gray place. In the time of night, the sentinels of the dawn are in fact needed, who announce the resurrection, that we all desire but that we do not recognize because perhaps we do not listen attentively the voice that is calling us by name in the gardens of our cities.
We need Easter at work, an epochal shift from work seen as a problem to work rediscovered as a responsibility and a part of life. Human work in the last decades was emarginated by an economic model centred on speculative financing, that promoted wealth without work and workers, and which therefore imploded. 
We will never get out of this crisis without a resurrection of the world of work and of workers. Above all of young people, who have the right to a culture of life, of hope, of trust: because, if there is no Easter for young people, there cannot be a true Easter for anyone.
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    [text] => 
In the economic system that we have produced this last century, there is something that is clearly dying, but there is also something new emerging on the horizon.
by Luigino Bruni
published in Città Nuova n.7/2012 from 10/4/2012
The economy has extreme need of resurrection. Every resurrection is preceded and prepared by a crisis, by a passage or change: one does not resurrect if first, in some way, one does not die. In the economic system that we have produced in this last century there is, in fact, something that is clearly dying out, but there is also something new which is emerging on the horizon, even if we need “eyes of resurrection” to be able to see it, and then to recognize it for what it really is; that is, the dawn of a new day.
If we had eyes of resurrection we would see, for  example, that Italy and the world are moving ahead, despite the crisis and the deaths of our time, because the majority of people try to do good in the family, in their workplace, in public institutions, and continue to do it beyond everything. Evil and sneaky people do exist, but much less than what the dominant culture tells us every day because it sees the world wrongly.
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Until a few decades ago the traditional structure of Western society was based on a rule of reciprocity: as adults they gave assistance to our parents, and once they themselves became older they would receive care from their children.
by Luigino Bruni
published in Citta Nuova N.15  on 10/08/2011   
There is an overwhelming mass of great injustice toward the elderly. Until a few decades ago the traditional structure of Western society was based on a rule of reciprocity: as adults they gave assistance to our parents, and once they themselves became older they would receive care from their children (who in turn had received care from their parents during their childhood and youth). And the balance between "giving" and "receiving" care broke even. All this then was a political and social representation in the pension system, where the pension received by an elderly was not his savings as a young man, but a sort of return and appreciation of the young people towards them.
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Today we are experiencing an unprecedented fact: there is a generation that will end its life with a strong care "credit", since it took care of its parents, but does not receive and will not receive care from their children, or in any case will receive much less on average, nor can it hope to receive from the state, since the state welfare that we are building is a perfect picture of this new culture. It is hoped that in a few decades societies will find a new social deal and a new equilibrium, because today we are witnessing inertly a generation who will die alone, who has given its best years to care children and the elderly.
A sense of injustice is accentuated when we think that within this generation women are penalized more because, in past decades, they were the ones who monopolized the fragility of caregiving, which often sacrificed their careers and education. So what? On one hand, the civil society, with its "charisma," now has a great responsibility in making the last years of life sustainable and happy, with more innovation and creativity. On the other hand, us adult children of today should not forget too quickly the care we have received (and the one we saw given to our grandparents), and seek more just solutions, conscious of the difficult age behavior of the demise of our parents, and of ours tomorrow.
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Until a few decades ago the traditional structure of Western society was based on a rule of reciprocity: as adults they gave assistance to our parents, and once they themselves became older they would receive care from their children.
by Luigino Bruni
published in Citta Nuova N.15  on 10/08/2011   
There is an overwhelming mass of great injustice toward the elderly. Until a few decades ago the traditional structure of Western society was based on a rule of reciprocity: as adults they gave assistance to our parents, and once they themselves became older they would receive care from their children (who in turn had received care from their parents during their childhood and youth). And the balance between "giving" and "receiving" care broke even. All this then was a political and social representation in the pension system, where the pension received by an elderly was not his savings as a young man, but a sort of return and appreciation of the young people towards them.
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It is understandable how behind the alarms of markets and stock exchanges there is an invitation, maybe even a cry, for a serious change in lifestyle
By Luigino Bruni
Published on: Cittanuova.it on 23/11/2010
The financial crisis in Ireland, following that of Greece, does nothing but remind us that the West has gone too far into debt. The rescue of many banks and businesses last year, following the crisis, led especially to a shift of debt from the private to the public sector.
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While large economies are still able to manage enormous public debts (until when?), speculative finance is signaling a very serious problem when it attacks smaller and more fragile States. There is too much debt going around, because in the last 40 years we have consumed more than our income. Why?
The question of demographics is certainly a big one. In the West, the average life span has increased by nearly 20 years over the last few decades, and at the same time people are having fewer children. A new social pact between generations must be found because the traditional "social state" model that arose after World War II can no longer work (a decreasing number of youth must finance the pensions of a growing number of elderly). But, as the Pope reminded us, there is an urgent need of a change in the model of development and lifestyle, which involves all of us together and each one individually.
I'll limit myself to just a few questions: when will we see thousands among millions of the world's professors spend a semester in fragile African universities? When will we see substantial investments in renewable energy? When will public administrations buy only ecological, low-powered cars? When will businesses and governments invest 20 to 30 percent of their gross product to cooperate in development, providing funds for education, hospitals, advanced and clean technology, efficient transportation and dignified living spaces?
If we do not begin to answer these questions in our daily lives, the economic and social scenario in the next few decades will undoubtedly be other new global crises. One can then understand how underneath the alarms of markets and stock exchanges there is something much more important: an invitation, maybe a cry, that calls for a change in lifestyle, towards an economy that is finally one of communion.
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It is understandable how behind the alarms of markets and stock exchanges there is an invitation, maybe even a cry, for a serious change in lifestyle
By Luigino Bruni
Published on: Cittanuova.it on 23/11/2010
The financial crisis in Ireland, following that of Greece, does nothing but remind us that the West has gone too far into debt. The rescue of many banks and businesses last year, following the crisis, led especially to a shift of debt from the private to the public sector.
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Beyond Capitalism - Both. But there's need to change the economic and social model.
By Luigino Bruni

Published on Città Nuova n.15-16/2010 of 10-25/08/2010
Current public debate on work, employment and crisis (and the suffering of families) can offer us the opportunity to more deeply reflect on what was not done during the last few decades on the nature of businesses, profit and therefore, of capitalism. We won't get out of the serious crisis we're living - from the area of finance, to terrorism and unemployment - until we don't seriously question the current economic and social model. Capitalism, the shape that the market economy has taken during the last two centuries, must evolve into something else. And while the enormous capacity of civilization and freedom that capitalism contains must be saved, 8 million people also need to be allowed to cultivate their own humanity. 
One of the most serious facts about the financial crisis in the last two years was the vulgarity (I can't find another word for it) of the stipends and million-dollar bonuses that banks and insurance agencies saved in fall 2008 with public money and then began to redistribute to their managers in the first few months of 2009. Even in times of cutbacks and union conflicts, no one questioned the high profits of the businesses and the salaries of the superstars. There lacked courage to question the capitalistic system, and discussion was limited to speaking about economic ethics, responsible business, non-profit and philanthropy, functional and necessary phenomenon to the existing economic system.
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But are we sure that the goal of business activity is maximizing profit? If we limit ourselves to the most positive part of the market economy (omitting the discussion about the nature of speculative "profits"), we can affirm that profit is the added value generated from the company's activity that is attributed to owners, who at one time were called capitalists. Therefore, profit is not the entire added value, but only a part of it. An example: Business A produces automobiles, transforming raw material into a finished product called a "car", at the cost of 10. If we add the cost of work (8), charges and down payments (3), the gross profit (before taxes) of a car sold at 30 is 9. If the business then pays taxes of 4, the net profit becomes 5. 
At this point, two questions come to mind. The first: where does this profit come from and on what does it depend? History of economic thought is also a history of different theories on the nature of profit. One hundred years ago, Schumpeter, for example, sustained that profit is the "award of innovation" to an entrepreneur, therefore, the compensation for an entrepreneur's innovative capacity. A half a century earlier, Marx affirmed that profit is nothing other than capitalists robbing workers, as the one true source of added value is human work, especially that of the workers. Today, we know that added value includes many things, among which is an entrepreneur's creativity, human labor, institutions of civil society, the tacit culture of a people and the quality of family relationships in which children grow during their first six years of life (as Nobel winner James Heckman has shown). In that added value of "5", there is not only the creative role of those who own a company's means of production, but something more that deals with the life of the entire collectivity. There is also this awareness behind the 41 article of the Italian constitution, when it declares the "social function" of a business, a function which also has a social nature. 
However, one thing is certain. If Business A sells cars for 30, and has a profit of 5, in a hypothetical "no-profit" world (meaning profits of 0), cars would cost 25 instead of 30. In other words, profits of businesses are also a form of tax on goods, paid by citizens, which reduces the collective well-being of a population. That is why a "no-profit economy" is often desired, dreamed of, and in certain moments of history, made real on small or vast scales. However, this often creates greater damage than the problems people wish to remove, as in collectivist experiments of the 20th century. These experiments did not work for many reasons, all deep, but one of these reasons is that when you take that "5" away and you hand it over to society, those who build businesses (public or private) no longer commit themselves to innovation and work. The wealth of a nation then diminishes, and not only economic wealth. Everyone grows poorer and even that value (5), hoped to be given to society, disappears. At the same time, the great crisis we're living teaches us that an economy founded on profits and speculation is also unsustainable. What can we do then?
Considering what has been said, what is happening today in the so-called civil and social economy, and particularly in the Economy of Communion, can be read in two different ways. One reading, minimalist and conservative, sees civil and social economy as the cork in the capitalist system. Normal (for-profit) businesses are not able to worry about the "losers" who fall along the way (in the language of G. Verga), and there's need for someone else that plays the role that families and churches played in the past. It's the logic of the 2 percent (no-profit) that leaves the remaining 98 percent intact (for-profit economy).
However, there is also another reading of the civil economy movement. Imagine, for now just on a small scale, an economic system where true added value, both economic and social, is distributed among many (not only to shareholders). Imagine that this happens without entrepreneurs and workers changing their commitment to work for lack of incentive, in order to avoid falling into the same problems of the collectivist and socialist economies. The true wager of the new market economy that awaits us will then be to show entrepreneurs (individuals and also communities) who are motivated by "reasons greater than profit".
The last phase of capitalism (which we can call functionalist-individualist) arises from pessimistic anthropology, tracing back at least to Hobbes: here, human beings would be too opportunistic and self-interested to think that they can commit themselves with high motivations (like the common good). We can't leave the last word about common living to this "anthropological defeat". We have the ethical responsibility to leave a positive view towards the world and towards man for those who come after us.
But so that all this does not remain just written on a page but becomes life, what is needed is a new humanism, a new educative season. What is needed are "new men and women" who are the center of the Economy of Communion project, capable of committing themselves and working, not just for profit but also to make their working activity a work of art. If this happens, then the new market economy, in which new significant protagonists are entering (like Africa, for example), will be a beautiful place in which to dwell, live, love.
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    [text] => 
Beyond Capitalism - Both. But there's need to change the economic and social model.
By Luigino Bruni

Published on Città Nuova n.15-16/2010 of 10-25/08/2010
Current public debate on work, employment and crisis (and the suffering of families) can offer us the opportunity to more deeply reflect on what was not done during the last few decades on the nature of businesses, profit and therefore, of capitalism. We won't get out of the serious crisis we're living - from the area of finance, to terrorism and unemployment - until we don't seriously question the current economic and social model. Capitalism, the shape that the market economy has taken during the last two centuries, must evolve into something else. And while the enormous capacity of civilization and freedom that capitalism contains must be saved, 8 million people also need to be allowed to cultivate their own humanity. 
One of the most serious facts about the financial crisis in the last two years was the vulgarity (I can't find another word for it) of the stipends and million-dollar bonuses that banks and insurance agencies saved in fall 2008 with public money and then began to redistribute to their managers in the first few months of 2009. Even in times of cutbacks and union conflicts, no one questioned the high profits of the businesses and the salaries of the superstars. There lacked courage to question the capitalistic system, and discussion was limited to speaking about economic ethics, responsible business, non-profit and philanthropy, functional and necessary phenomenon to the existing economic system.
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Prices that are too high or too low are problematic.
By Luigino Bruni
Published on www.cittanuova.it on 5/05/2010
In almost all airports of the world, you can pay to get Internet service. In Zurich, with one Euro, you can be connected for 4 minutes: almost all the booths were available.  A few days ago, in Porto, I found free Internet service in the airport. I waited in line for more than an hour, and then I gave up because those using the booths were not moving. Maybe if the cost in Zurich was a little less, and in Porto a little more, the efficiency of both systems would improve. 
Prices that are too high or too low are problematic. Oil prices that were too low for decades not only accelerated the exhaustion of natural oil deposits, but it also slowed down research of alternative energies. The price of a good, when markets are competitive, should express its economic and social scarcity; but there are goods like oil (and in general, the environment) where, so that their prices truly show their scarcity, we should include the availability of that good for future generations. 
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Then, talking about prices that are too high, I still haven´t found an economist colleague who can give me theoretical justification for CEOs´millionaire salaries. I´m convinced that if we paid private and public directors, based on the scarcity and the value of their contribution to a business and to the society, we could reduce the cost of goods, policies and bills that rise because members of these exclusive clubs decide their income on their own.  Lower salaries would then favor cohesion and social harmony, which are always put into crisis by strong inequalities. I´m convinced that in the management field there is also need to develop research for "alternative sources". But, also here, as long as the salaries of the directors of large companies and public administration remain scandalously high, it will be very arduous for social and civil economy to attract the best young leaders.  Luckily, however, I know many youth who, while have optimum alternatives, choose to commit their best years to NGOs and to social and civil businesses, where one can find those "alternative energies" on which the social, economic and spiritual sustainability of the next few years will depend. 
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    [text] => 
Prices that are too high or too low are problematic.
By Luigino Bruni
Published on www.cittanuova.it on 5/05/2010
In almost all airports of the world, you can pay to get Internet service. In Zurich, with one Euro, you can be connected for 4 minutes: almost all the booths were available.  A few days ago, in Porto, I found free Internet service in the airport. I waited in line for more than an hour, and then I gave up because those using the booths were not moving. Maybe if the cost in Zurich was a little less, and in Porto a little more, the efficiency of both systems would improve. 
Prices that are too high or too low are problematic. Oil prices that were too low for decades not only accelerated the exhaustion of natural oil deposits, but it also slowed down research of alternative energies. The price of a good, when markets are competitive, should express its economic and social scarcity; but there are goods like oil (and in general, the environment) where, so that their prices truly show their scarcity, we should include the availability of that good for future generations. 
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Faced with the serious employment crisis, it´s time to do something
by Luigino Bruni
Published on Cittanuova.it on 19/02/2010
Benedict XVI recently reaffirmed the need to "do all that is possible to safeguard and increase employment." The center of the economic system must be held by the person, even today, and especially today. Technological, financial and social capital are certainly important, but "human capital", the workers, remains the key factor in an economy that wants to be person-friendly. Instead, the global economic and financial crisis strongly shows that human labor is decidedly relegated to the backdrop of our capitalistic development model, which, being always more in the hands of finance, has lost contact with the fatigue of work.
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On the other hand, this serves consumption, giving life to one of the most worrying phenomenon of our time: the chase after consumer products. But history teaches us that peoples develop when the "competitive" tendency of human beings is not expressed primarily through consumption (one competes by possessing cars and phones that are more expensive than those of others) but rather in work and production. Besides, this crisis should have taught us that the only kind of wealth that produces true well-being is that which results from human labor. Promises of wealth without work are always suspicious and are very often individual and social bluffs.
 What can we do, then, during this profound employment crisis? First of all, we need to remember that work is not a good that can be left only to supply (of workers) and demand (of businesses). Work, better described as working, is a primary good, since the dignity and the identity of persons, their dreams and their possibility to acquire other goods depends on this, and as this is what makes the economy spin. Therefore, unions will always be a great sign of civilization and full humanization of civil life.
We´ll get out of this crisis if we know that we need to find a  new working arrangement. Globalization and the entrance of new continents on the economic scene are radically changing the economic model that dominated the Western world during the 20th century. In that model, a state-market binomial, which brought extraordinary results in economic growth, the capitalistic market was entrusted with the role of production and of employing workers. The state was given the task of filling in the gaps left by the market, including gaps in employment. All that dealt with private and associative life, and therefore to ideal and political values, did not fit into the market or the state. It was a "third sector," and any jobs that it created were marginal, since its nature was something other than economic.
Today, this model is going into a mortal crisis: the traditional market can´t take it anymore, and the state is even worse. The third sector must evolve into what we call "civil economy", a new economic and social model where civil society is not a residual element (a third) but the fulcrum of creativity for the entire economy. We need a new season of innovation where citizens do not entrust work only to large traditional corporations and to the state, but that they be protagonists of new businesses in high innovation sectors.
Work today must not only be "saved" and "sought" but also "created." We must imagine a system where cooperatives and associations do not only worry about treating people but also about goods with high added value. Therefore, a new social pact needs to be invented so that civil economy does not only have the function of redistributing resources but also of creating them.
If Italy wants to continue to hold a significant place in the new world economic scene, a phase of new creativity must be re-launched in which new scenes and new markets are imagined and include relational, cultural and environmental goods, which are always more scarce and, therefore, precious.
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Faced with the serious employment crisis, it´s time to do something
by Luigino Bruni
Published on Cittanuova.it on 19/02/2010
Benedict XVI recently reaffirmed the need to "do all that is possible to safeguard and increase employment." The center of the economic system must be held by the person, even today, and especially today. Technological, financial and social capital are certainly important, but "human capital", the workers, remains the key factor in an economy that wants to be person-friendly. Instead, the global economic and financial crisis strongly shows that human labor is decidedly relegated to the backdrop of our capitalistic development model, which, being always more in the hands of finance, has lost contact with the fatigue of work.
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