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Farewell to a Pioneer who called Economics a Form of Brain Damage


On May 22, 2022, the world lost one of its original sustainability advocates, Hazel Henderson. Henderson was a prolific author and a relentless advocate of economic practices that are in harmony with the planet. She was a rare Second Tier thinker in the sense that she understood the sequential aspects of second tier ascendance and what the Yellow system has to do first. She intimately understood the limitations of current economic ideologies and shamed the field into changing its subsistent ways by seeking higher inclusionary values. Her philosophy made her into a visionary for some but earned her the ire of the economics community. She proudly proclaimed that “economics is a form of brain damage” due to its proprietary and myopic first tier nature. She wore the badge of the “most dangerous women in America” with pride when she called on corporation to stop externalizing the costs of their operations to the environment. This is the rare Yellow courage that Second Tier leadership requires. 

While much of the practices in the Turquoise system seek to make current practices obsolete by working on a new advanced system, in my study of Henderson’s work, she was a Yellow-first-then-Turquoise advocate who approached systems change collectively and systemically. She fully recognized the nature of the work that the Yellow system has to do in order to align current first tier practices onto a sustainable, long term trajectory. She was the general in the Yellow system who understood that the transition to Second Tier must be led by those who have a deep understanding of the dysfunction within the first tier in order to articulate second tier solutions more effectively. But her wisdom didn’t stop there, her advocacy over the decades has made her into one of the pioneers of the newly emerging Turquoise field of studies, the only one that matters for the survival of our species. It’s the Economics of the Anthropocene. 

Henderson was a friend to Spiral Dynamics and MEMEnomics. She was among the first prominent people to endorse the MEMEnomics framework for its ideas.   Her endorsement of my 2013 book appears in the left column of this website.

Thank you Hazel for your wisdom and rare courage. The world is a better place because of your time in it. 

For more on Henderson’s work, please visit  https://www.ethicalmarkets.com

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Spiral Swan Theory

An earlier version of this work appeared in January and February 2022 on Medium. Below is the link to the fully developed concept of Spiral Swan Theory with endnotes.

Here’s the Abstract from the paper. Please feel free to download and give proper citation to my work should you decide to use it.

ABSTRACT

In today’s global complexity the intelligence that classifies risk into different categories comes from a very thin layer of human values that leaves out much of the psychosocial structures that have defined the evolution of the mind. This paper focuses on the most popular classifications of risk as described by the popular Black Swan theory and offers a wider view on the values the incase today’s risk models and their limitations. It takes statistical modeling out of its sterile and often reductionist nature and places it into the totality of value systems that define our human journey. Using the Spiral Dynamics and MEMEnomics models, this paper demonstrates how systemic risk becomes less systemic and a lot more predictable when there is a functional balance between all the known stages of human development. Using the totality of value systems from both models this paper reclassifies the rare Black Swan into the knowable Orange Swan once the Black Swan is observed from a higher level of psychosocial development. It also sets forth the narrative on how the appearance of Orange Swans in perpetuity contributes to the Dead Swan phenomenon, a rare event that rewards systemic risk that has historically ended in catastrophe. This paper puts forth the hypothesis that we’ve been on the road to a Dead Swan for over a decade. Click here to view or download the full paper.

*****

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Spiral Dynamics, Integral Theory, and Europe’s New Reality

This post started as a response to someone on the Beck-Graves Facebook page as an inquiry into an earlier analysis I offered on the future of liberal democracy in light of the war in Ukraine. Her question to me was: “I wonder how we can bring our Integral second tier insights into the world. Because I think that only an Integral view and structure lies beyond liberal democracy.”

Here’s my answer and it addresses both the shortcoming of Wilber’s Integral model that seems to have hijacked everything that means integral, and our respective communities’ different understanding of “Integral Design” when it comes to figuring out what is happening today on the European continent.  

Graves and Cowan used to say “people cannot be until they are” which meant that design must follow function that recognizes the presence of people and cultures in the lower systems and create governing structure that help them move up the spiral at their own pace. What’s happening today in Europe is one of the 3 scenarios that Graves predicted over 4 decades ago shown in the image below. To me it’s a dance between scenario #1 and scenario #2 on the European theater; one more toxic than the other. 

Clare W. Graves in 1974 on the future of humanity

I follow Graves not Wilber. I hope that has become clear by now. When Graves says that Life Conditions (half of our model) is what makes development dynamic, the living proof to that is the work of the different Center for Human Emergence around the world set up by Beck, Beck’s own work in South Africa, our work with him in the Middle East and my work with economics. 

The integral community has no clue what LCs mean and how to factor that huge variable into their model. Maybe they think the likes of Putin will automatically become enlightened the minute they’re placed on the Quadrants. To me when Life Conditions are ignored, a model becomes incomplete and inferior. Because of that, I believe that the Integral community has a very poor understanding of what the Yellow Seventh level system does when it comes to designing solutions that are informed by the existing reality in the first tier. Yes, we have to go slumming in the first tier where over 94% of the world lives.

Yellow must study that dysfunction and design in response to its indigenous findings (local content). In our experience in the Mideast, insolent Red feels no guilt and doesn’t care about the consequences of its actions.  It only alters its behavior after its head is bashed in.

The Red system in raw form. Leave only a scorched earth behind

To Wilberian this is a savage solution that appears nowhere on their radar. By ignoring most of the LCs in the lower systems the integral model, in my opinion has effectively become a closed system itself. It attracts like thinkers who give each other high fives, engage in endless intellectual debate and think they’re addressing real issues on the ground. To me this is the height of arrogance and hypocrisy. They forget that in real life more than half of the world is struggling to climb into Blue. Or in the case of post-Cold War Europe, the struggle is to rip out the communistic Blue from its roots and replace it with democratic systems of governance.  

Putin’s Red is the breaking of the shadow of Western Orange-Green. I spoke about this danger in Europe a few years ago when I warned that the pursuit of “no war” has a completely different memetic contour than the “pursuit of peace.” One is reactive and wants to avoid a certain outcome (which contributes to “us v them” division and resentment that builds in the collective shadow). The other requiring patient long term leadership that would have picked up of Putin’s Red and put in place certain “Red Wizardry” measures that would have moved him up the Spiral while stroking his Red ego and making him look like he’s the hero who made Russia into a new superpower in harmony with Western Blue-Orange. 

Finally, what we’re forgetting in this entire calculus is the 3 legs of the model that must be present to make psychological advancement possible: 1: The Bio/neurology. 2. The psychology and 3. The sociology. It could very much be that Putin’s Bio-neurology (what Graves called the lottery of the brain), makes him incapable of moving up to a new stage. All his other intelligences are acquired through mimicry that expand his Red control. This reality is lost on the integral community and much of those in the humanistic psychology movement (Green) who wrongfully believe that everyone can develop higher capacities

We have to start thinking is Stratified Capacities and design accordingly or we’re doomed. That is my Gravesian solution.

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Speaking Gaian Truth to Economic Power