INDEX
Abrams, John, 117–21, 123, 126–27, 130
Abromowitz, David, 3
Absentee Membership: of extractive ownership, 14, 18, 138, 210
and master-servant relationship, 168
and responsibility, 189–90
Rooted Membership compared to, 167–69, 195–96
Acheson, James, 133, 136, 137, 138
Addison, Medrick, 1
Aegis Asset-Backed Securities Trust, 69–70
Aegis Mortgage Company, 23–24, 45, 69, 79–80, 89, 96, 152
Alaska, 106
Alden, Robin, 135
Alexander, Christopher, 14, 149–54, 161, 164–65, 168, 192, 230n1
Ameriquest Mortgage, 23, 34, 57
Ames, Ted, 134–36, 138, 144–45
Arab Spring, 211
archetypes: of generative ownership, 38–40
as patterns of organization, 28, 221n6
Arendt, Hannah, 11
Argentina, 12–13
Arizona, 106
Asia, 134
assets: of credit unions, 12
and derivatives, 77–81
financial economy as collection of, 68, 79
liquidating, 90–91
and magic of the multiple, 53
and middle-class base, 90
real wealth transformed into financial wealth, 74, 191
Australia, 106
Aveda, 157
baby boom entrepreneurs, 174
balancing feedback loops, 43, 44
Bancel, Jean-Louis, 37
Bangladesh, 139
bank franchises, 32–33
Bazzy, Derrill, 120
belonging, sense of, 114
benefit corporations (B Corporations), ownership design of, 3–4, 155–56, 157, 158–59, 160, 198, 231n17
Ben & Jerry’s, 157
Beverly Cooperative Bank, 40–41, 42, 45, 58, 152, 153, 223n22
Big Short, The (Lewis), 65–66
Bisson, Keith, 132
Boston Options Exchange, 76–77
Boston Stock Exchange, 75–76
Braudel, Fernand, 67
Brazil, 143
Brown, Malcolm, 110–11
building societies, 36, 38, 41, 53
Business Council for Sustainable Development, 183
Business Ethics, 6, 7, 17, 42, 117, 154, 157, 165, 201
CalPERS, 73
capital: capital infusion, 159, 160
changes in, 215–16
and derivatives, 80
and excess financial extraction, 50
and magic of the multiple, 53–57
and master-servant relationship, 192–95
myths upholding rights of, 15
as pattern of ownership, 14, 147, 187, 209–10
and responsibility, 189–91
sovereignty of, 173
and Wall Street, 49–52, 193. See also Casino Finance; Stakeholder Finance
capitalism: communism versus, 139
and community, 128–29
creative destruction in, 214
and financial economy, 68
and master-servant relationship, 168
paradigm shift in, 113–14. See also industrial-age capitalism
capital markets: and corporations, 15
and suboptimization, 191
Capra, Fritjof, 113, 124, 129, 130, 139, 143, 228n4
Capturing the Commons (Acheson), 133
Caribbean, 106
Casino Finance: of extractive ownership, 14, 18, 61, 62, 83, 210
and growth, 122
and remoteness, 190–91
Stakeholder Finance compared to, 206
catch shares, ownership design of, 9, 106, 114
Cavuto, Neil, 35
Center for Labor Market Studies, Northeastern University, 93
Central Asia, 139–40
change strategies: and emergence, 13, 139, 140
and generative economy, 214–17
Chaos (Gleick), 72
Chernow, Ron, 81
China, 128
Christian, Leslie, 3–4, 156, 198–99, 216
Citibank, 73
claims: and derivatives, 75–80
and extractive ownership, 92
and financial deregulation, 70, 73–75
and financialization, 70–72
global GDP compared to, 68, 69, 74–75, 80, 94, 225n5
and limits to growth, 72–73
and publicly traded corporations, 65–67
Clearinghouse CDFI, 34
Cleveland, Ohio, 1–2
Coastal Enterprises, Inc. (CEI), 132–33, 137, 142
coastal management units, 144–45
Coca-Cola, 157
Colgate, 157
collateralized debt obligations (CDOs), 24–25, 79, 82, 90
collective action, 133
Commodity Networks: of extractive ownership, 14, 18, 51, 203, 210
and Wall Street, 51–52
common pool resource management, 133
commons: and cohousing, 127–28
and generative economy, 133–34
ownership design of, 9, 16, 99, 104–6, 111–12, 114–15, 136, 137, 141, 144
reinvention of, 128–29
community: and commons, 128–29, 141
and emergence, 139
and Ethical Networks, 204
and generative economy, 138, 210, 217
and patterns of relationships, 152–53
and Rooted Membership, 167
shift from dominion to, 130
and Stakeholder Finance, 196, 206
and sufficiency, 127
community banks: demise of, 73
and generative economy, 217
generative ownership of, 34, 38, 39, 40–41, 51, 75
and mortgage industry, 31, 33–36, 37, 40
regulation of, 42
resilience of, 34–37
and responsibility, 83
community development corporations (CDCs), 132–33, 137, 213
community development financial institutions (CDFIs): and Ethical Networks, 142, 207
and generative economy, 213
and mortgage industry, 34, 35, 37, 222n8
ownership design of, 8–9, 33, 34, 38, 39, 51, 75, 133, 137, 142
and responsibility, 83
types of, 222n9
Community First Bank, 24, 31–33, 43, 80, 221n1–22n3
community forests, of Mexico, 104–5, 111, 153
community interest corporations, 9
community investments, 200
community land trusts (CLTs): and generative economy, 214, 217
and Mission-Controlled Governance, 183
community wind, 2–3, 108–11, 213, 227n7
Companies We Keep (Abrams), 120
Compartamos, 140
conservation easements: ownership design of, 9, 105–6, 111, 115
and working waterfront easements, 132
cooperative banks, 37–38, 42, 83, 167, 213, 217
cooperatives: and Ethical Networks, 204, 206–7
and generative economy, 213, 215
and Mission-Controlled Governance, 205
networks of, 200
ownership design of, 9, 10, 12, 13, 107, 131–32, 137, 141, 142–43
and Rooted Membership, 142, 167, 204
and Stakeholder Finance, 205–6
corporate social responsibility (CSR), 154–55, 186
Corporation 20/20, 7, 8, 75, 111–12, 117
corporations: absentee membership of, 14
and capital markets, 15
and deregulation, 92
and growth, 123
mission-controlled corporations, 141–42
ownership design of, 5, 114, 210
and profit maximization, 39, 92–93, 111–12, 123, 124, 155, 226n12
redesign of, 101, 102, 111, 212–13
reforming corporate governance, 13, 112
and social contract, 6–7. See also benefit corporations (B Corporations); publicly traded corporations
credit default swap, 79
credit unions: and generative economy, 213, 217
generative ownership of, 38, 39, 51, 75, 142
growth of assets, 12
and mortgage industry, 34, 35, 37, 38
and responsibility, 83
and Rooted Membership, 167
Cuba, 174
Daniels, Lisa, 227n7
debt: collateralized debt obligations, 24–25, 79, 82, 90
growth of, 71, 73, 74, 75, 91, 92, 95, 123
and threshold effect, 95
democracy, 173–74, 179–81, 182, 210
Denmark, 2–3, 108, 109, 143, 184–85
derivatives, 69–70, 75–81, 206, 225n19
Descartes, René, 112
de Soto, Hernando, 49
Deutsche Boerse, 223n1
Divine Right of Capital, The (Kelly), 15
Dominion, 110, 111, 121–22, 227n8
paradigm of, 114–15, 129, 130, 208, 217
dot-com bubble, 71
Dow Jones Industrial Average, 71, 72, 73, 198, 200
Driver, Lynette, 197
Eades, Juliana, 108
ecological covenants, 133
ecological release, 217
ecological values: and community forests, 104–5
and community wind, 2–3, 108–11, 227n7
and conservation easements, 9, 105–6
and Ethical Networks, 204
and Mission-Controlled Governance, 186
and ownership designs, 99, 104–6
and Stakeholder Finance, 196–200
and systems thinking, 15
Ecology of Finance, The (New Economics Foundation), 36
economic democracy, 15
economic literacy, 91
economy: and community, 128–29
and ecological values, 102–3, 111–12
and fairness, 96
financial and ecological upheaval in, 1
financial economy, 67–68, 69, 71, 74, 78, 79, 92
ownership’s role in, 4–5, 7–8, 10, 17, 18, 19
of permanence, 11
real economy, 67–70, 75, 78, 81, 92, 225n4
responsibility within system, 83. See also generative economy
efficiency, sufficiency compared to, 121
Ekins, Paul, 220n21
emergence: and mental models, 140, 141–43, 144
and microfinance, 139–40
and models of ownership design, 13
and systems thinking, 139–41. See also self-organization
employee-owned firms: and capital, 192–93
defining membership, 164–66, 174
and Ethical Networks, 207
and financial crisis of 2008, 126–27
and generative economy, 213, 215
and Living Purpose, 153
and Mission-Controlled Governance, 177–80
ownership design of, 1–2, 10, 102, 120–21, 143
and Rooted Membership, 163–64, 168, 169, 181
and social ecosystem, 174
and sufficiency, 127
employee stock ownership plans (ESOPs), 231n17
Employment and Training Agreement (ETAG), 133
empresas recuperadas, 13
Equal Exchange, 194, 199–200, 205
Estée Lauder, 157
ethical codes, 154–55
Ethical Networks: and community development financial institutions, 142, 207
of generative ownership, 14, 18, 51, 147
and Mission-Controlled Governance, 202–7
and values, 201–8
Evergreen Cooperative Laundry, 1, 215
extractive ownership: feedback loops of, 43, 221n6
generative ownership distinguished from, 11–12
in mortgage industry, 16, 19, 21–29, 45
organizing principles of, 80–82, 101
and risk taking, 27, 28, 29, 35, 39, 45, 59, 66, 79, 80, 190, 198
rules of, 27–29
social architecture of, 29
and threshold effect, 94
and wealth creation, 74. See also Absentee Membership; Casino Finance; Commodity Networks; Financial Purpose; Governance by Markets
Fairer Shares (Lewis), 171
fairness: and generative economy, 138, 210, 217
and Living Purpose, 202
and Mission-Controlled Governance, 182
and moral code, 96, 97, 172–73
and resilience, 96
and Rooted Membership, 169–72
and sufficiency, 127
Farrell, Thomas, 110
Federal Credit Union Act, 12
Federal Deposit Insurance Corporation (FDIC), 31, 35, 41–42, 221–22n3
Federal Reserve Survey of Consumer Finance, 174
feedback loops: and Mission-Controlled Governance, 175
and ownership design, 43, 221n6
reinforcing feedback loops, 43, 44, 55, 67
and resilience, 159
stabilizing feedback loops, 43, 55
and systems thinking, 42–45, 221n6
financial crisis of 2008: and credit unions, 12
and employee-owned firms, 126–27
and growth, 228n7
and mortgage industry, 23
postcrisis environment, 3, 32, 33, 35, 41
and price-to-earning ratio, 71–72
profits from, 65, 92–93, 226n12
and systems thinking, 29
and threshold effect, 95
and unemployment, 91
villains of, 52
financial deregulation, 70, 73–75, 92
financial economy, 67–68, 69, 71, 74, 78, 79, 92
financialization: excesses of, 94
and ownership design, 115
and suboptimization, 191
Financial Purpose: of extractive ownership, 14, 18, 29, 58, 74, 75, 210
hidden forces of, 153–55
and profit maximization, 154–55
FIRE (finance, insurance, real estate) sector, 70, 86, 98
FirstBank of Colorado, 36
Fishtag project, 133
foreclosures: and community banks, 40
community land trusts compared to conventional homeownership, 3, 219n3
definition of, 51
and extractive ownership, 19
and mortgage industry, 24
and threshold effect, 96
Foreign Policy, 71
For the Common Good (Daly and Cobb), 39
fossil fuels, 50
foundation control, 183
France, 143
Freedman, Richard, 65
generative economy: building of, 173, 208, 210–14
definition of, 2
and ecological values, 99
framing of, 137–38
growth of, 44
models of ownership design for, 11, 131–32, 133, 137–38, 144, 147, 208
social ecosystem of, 130, 134, 138
strategies for, 214–17
and sustainability, 13, 138, 210, 217
generative ownership: archetype of, 38–40
extractive ownership distinguished from, 11–12
mental models of, 141–43
microzones of, 217
in mortgage industry, 33–35, 37–38, 40, 51
narrative of, 37–38
optimal scale for, 160–61
patterns of, 14, 16, 18, 141–42
positive models of, 160–61
profit maximization contrasted with, 37, 38–39, 43, 111
and real economy, 75
and resident-owned communities, 108
rules of, 38, 39. See also Ethical Networks; Living Purpose; Mission-Controlled Governance; Rooted Membership; Stakeholder Finance
Germany, 109
Gilbert, Jay Coen, 156
Gipe, Paul, 109
Glass-Steagall Act, 73
Gleick, James, 72
global GDP: derivatives compared to, 78, 225n19
financial claims compared to, 68, 69, 74–75, 80, 94, 225n5
Gore, Al, 215
governance: of commons, 10, 104–5
facets of, 179–81
and feedback loops, 43
as pattern of ownership, 14, 147
and regulations, 83. See also Governance by Markets; Mission-Controlled Governance
Governance by Markets: and extractive ownership, 14, 18, 80, 210
and growth, 122
and master-servant relationship, 168
and Stakeholder Finance, 196
Government Accountability Office (GAO), 25
governments, deficits of, 73
government-sponsored enterprises, 10
Grameen Bank, 10, 139, 144, 153, 207
Grameen Danone, 10
Granados, Brenda, 34
Granados, Silvio, 34
Great Transformation, The (Polanyi), 128–29
great transition, 220n26
Greece, 91
Green City Growers, 2
Greider, William, 173
Greyston Bakery, 8
growth: of debt, 71, 73, 74, 75, 91, 92, 95, 123
degrowth, 127
and extractive ownership, 121, 122, 123–24
generative growth, 202
limits to growth, 27, 72–73, 92, 94, 96, 198, 209, 216
and Mission-Controlled Governance, 184
in post-World War II era, 124–26
selective growth, 199
slow growth, 118–19, 120, 121, 126–27
sufficiency versus, 119–21, 127, 130
Grupo Nueva, 183
Gulf of Mexico, 106
Gutfreund, John, 65–66
Hardin, Garrett, 133
Harding, Stephan, 103, 111, 112
Hardy, David, 204
Hardy, Susan, 204
Hawaii, 156
Heilbroner, Robert, 215–16
high-frequency trading, 60–61, 224n14
Hightower, Jim, 202
Hollender, Jeffrey, 157–58
Holling, C. S., 93
home equity loans, 73
Houlahan, Bart, 156
House of Morgan, The (Chernow), 81
Howard, Bill, 40, 41, 43, 45, 58, 223n22
hurricanes, responses to, 212
Iles, Bob Rosch, 170
illustrations: Absentee versus Rooted Membership, 167
Balancing Feedback Loop, 44
Derivatives, 78
Design of Economic Power, 18
Koch Snowflake, 28
Limits to Growth, 94
Magic of the Multiple, 55
Protecting Mission across the Liquidity Continuum, 195
Reinforcing Feedback Loop, 44
Secret of the Magic, 56
Inc. magazine, 231n14
income distribution, inequality in, 92, 95
Inconvenient Truth, An (film), 215
Independent Community Bankers of America, 35
India: microfinance in, 140–41
state-owned banks of, 36, 39, 213
industrial-age capitalism: and community, 129
extractive ownership in, 11, 111
ownership design in, 10, 12, 19, 50, 114, 115
industrial ecology, 185
inequality, in income distribution, 92, 95
International Co-operative Banking Association, 37
International Monetary Fund (IMF), 37, 68, 225n5
investment banking industry, 65–66, 74, 121
Ireland, 91
Island Affordable Housing Fund, 120
Island Cohousing, 118, 119, 127–28, 129, 130
Israel, 128
Italy, 91
Japan, 168
Japanese Consumers Cooperative Union, 142
Jefferson, Thomas, 173
Jewish National Fund, 128
John Lewis Partnership: and employee ownership, 10, 16
and generative ownership, 161
and Living Purpose, 194
and Mission-Controlled Governance, 177–80, 182, 184, 194, 205, 207
and Rooted Membership, 163–66, 168, 169–73, 174, 194
and Stakeholder Finance, 189, 193–94, 195, 197
Johnson, Todd, 12
J.P. Morgan Building, 48
JP Morgan Chase, 63
junk bonds, 73
Kalundborg Center for Industrial Symbiosis, 16, 185, 186
Kashi, 157
Kasser, Tim, 191–92
Kassoy, Andrew, 156
Kellogg, 157
Kenya, 143
Keynes, John Maynard, 190–91
Korea, 143
Korten, David, 220n22
Kriegman, Orion, 21–22, 25, 69, 85
Kruger, John, 185
Kuhn, Thomas, 113
latency arbitrage, 60
Latin America, 9, 106, 183, 215
law: and responsibility, 189
role of, 155–56, 158, 161, 168
usury laws, 73
law of the ocean, 137
LEED (Leadership in Energy and Environmental Design), 119–20, 159, 202, 228n1
Lehman Brothers, 59, 65, 66, 81, 217
Leopold, Aldo, 227n11
Lewis, John Spedan, 170–73, 175, 179–82
Lewis, Michael, 65–66
limited liability company (LLC), 32, 43
limits to growth, 27, 72–73, 92, 94, 96, 198, 209, 216
Limits to Growth, The (Meadows), 27
Lincoln, Abraham, 173
linear relationships, 72–73
Linskey, Daniel, 91
living companies: framework for, 147
and Living Purpose, 160
and Rooted Membership, 165, 167–69
social architecture of, 150–51
Living Purpose: and community forests, 105
and conservation easements, 106
and fairness, 202
feedback loops of, 221n6
of generative ownership, 14, 18, 34, 36, 39, 142, 147, 153, 159, 160
and Mission-Controlled Governance, 181, 182, 183, 186, 205
and patterns of relationships, 152–53
and resident-owned community, 107
living returns, 207–8
living systems: boundaries of, 165
evolution of, 216
and living companies, 150
and living returns, 208
and property, 194–95
and sufficiency, 121
Logic of Sufficiency, The (Princen), 121
low-profit, limited liability company (L3L), 9
Lynneten Wind Farm, 2–3
Mackin, Chris, 231n17
Maddison, Angus, 124–25, 228n7
magic of the multiple, 53–57, 58, 72
Maine lobster industry, 131–38, 139, 141, 144, 153, 213
Malpai Borderlands Group, 106
Manufactured Housing Park Program, 107
Marcks, Anne, 110
Marshall Field’s, 177
Marx, Karl, 8
Maryland, 156
Mass Energy Consumers Alliance, 109
Maturana, Humberto, 143
maximum sustained yield, 93
McLaughlin, Joseph, 226n12
Meadows, Donella, 27–28, 42, 72–73, 153
megabanks: and bank mergers, 73–74
and mortgage industry, 44, 45, 66–67
membership: as pattern of ownership, 14, 147. See also Absentee Membership; Rooted Membership
Merrill Lynch, 90
MERS (Mortgage Electronic Registration Systems, Inc.), 23–25, 96
Meyer, Nick, 204
Meyer, Taylor, 204
mission-controlled corporations, 141–42
mission-controlled designs, 9
Mission-Controlled Governance: and community forests, 105
and conservation easements, 106
design patterns of, 181–84
and employee-owned firms, 177–80
and Ethical Networks, 202–7
and feedback loops, 175
and generative ownership, 14, 18, 142, 147
and Living Purpose, 181, 182, 183, 186, 205
and Stakeholder Finance, 194–95
and sufficiency, 121
Mold, Andrew, 228n7
Mondragon Corporacion Cooperativa, 143
moral code: and ecological values, 112
and fairness, 96, 97, 172–73. See also values
Morgan Stanley, 63
Morowitz, Harold, 114
Morris, David, 227n7
mortgage industry: and community development financial institutions, 34, 35, 37, 222n8
and Community First Bank, 31–33
and derivatives, 69–70, 79, 82
extractive ownership in, 16, 19, 21–29, 45, 51, 62, 63, 98, 106
generative ownership in, 33–35, 37–38, 40, 51
and high-frequency trading, 61
predatory mortgage lending, 66–67
and subprime mortgages, 89–90, 121
Mount St. Helens, 216–17
Move Your Money project, 45
Murdoch, Rupert, 182
mutual banks, 40–41, 43, 53, 66, 223n22, 223n23
Mystery of Capital, The (de Soto), 49
Nairan, Saurabh, 35
naked credit default swaps, 79
naming: and mental models, 141–43
quality without a name, 150–53
National Center for Employee Ownership, 143
National Community Investment Fund, 35
National Community Land Trust Network, 3
Native Americans, and commons, 128
neighborhoods, violence in, 91
Nelson, Richard, 221n30
networks: of cooperatives, 200
and emergence, 140
as pattern of ownership, 14, 147
of trading and investing, 51–52. See also Commodity Networks; Ethical Networks
New Beginning child care center, 34
New Economics Foundation (NEF), 36–37
New Hampshire, 107
New Hampshire Community Loan Fund, 107, 108
New Jersey, 156
Newman’s Own, 183
New Mexico, 106
News of the World, 182
New York, 156
New York Stock Exchange: power of, 57–59, 209
security apparatus of, 47–48, 52
and social architecture of ownership, 16
and speed of trading, 59–61, 81–82, 224n14
New York Times Company, 182
nonprofits, 9
North End Lobster Cooperative, 131–32, 137
Novo Dordisk, 9, 16, 183, 184–86, 195
Novo Nordisk Foundation, 186, 195
Nussbaum, Martha, 172
Obama, Barack, 90
Occupy Wall Street, 47, 74, 213
Ocean Spray, 167
Ochs-Sulzberger family, 182
Ocwen Financial Services, 21–22, 25–26, 27, 45, 90, 96–97
Odwalla, 157
Ohio Cooperative Solar, 2
1 percent problem, 74, 191, 192, 197
Opportunity Finance Network, 34, 222n9
Organization for Economic Development and Cooperation, 37
Ostrom, Elinor, 10, 134, 140, 144
owner-operated boats, 136
ownership: as bundle of rights, 50–51, 106
and community, 129
concept of, 61–62, 63, 114–15, 215
and financial alchemy, 52–53, 60, 61
as foundational social architecture, 49–50
Ownership Associates, 231n17
ownership design: alternative forms of, 2–3, 5–6, 7, 12–13, 15, 16, 83, 134, 213
of commons, 9, 16, 99, 104–6, 111–12, 114–15, 136, 137, 141, 144
and community land trusts, 3, 106
dominant form of, 4–5
and ecological values, 99, 104-6
and growth, 122
models of, 8–10, 11, 13, 39, 114–15, 141–43
paradigm shifts in, 113–14
pattern language describing, 14, 16, 17, 147, 161
as revolutionary force, 12–13
role of, 44. See also extractive ownership; generative ownership
Paine, Thomas, 173–74
paradigm shifts, 113
Parmalat, 6
pattern language: description of, 150–52
of ownership design, 14, 16, 17, 147, 161
philosophy of, 164–65
patterns of relationships, 152–53
Penobscot East Resource Center, 144
person-in-community, and generative ownership, 39, 205
Peru, 199
Peter Jones department store, 169, 170–71, 177–78
PetSmart, 150
Philippines, 134
Phillips, Ron, 132–33
physical technologies, 15, 103, 150, 221n30
physics, and systems thinking, 112–13, 129
Poland, 143
Polanyi, Karl, 128–29
policy, and emergence, 139
Portfolio 21 Investments, 4, 156, 198
Portugal, 91
preferred stock, 199
Premium Title Services, 26
price-to-earnings ratio, 53–54, 55, 71–72, 122, 198, 210
Princen, Thomas, 121
private equity firms, 74
profit maximization: and Commodity Networks, 203
and corporations, 39, 92–93, 111–12, 123, 124, 155, 226n12
and deregulation, 92
and extractive ownership, 14, 28, 29, 37, 80–81
feedback loops of, 43, 55, 57, 221n6
generative ownership contrasted with, 37, 38–39, 43, 111
limitations on, 213
and purpose, 154–55
and threshold effect, 94
Progressive Asset Management, 199
property: as capital, 49–50, 129
definition of, 168, 194, 208, 210
and living systems, 194–95
and wealth creation, 51–53, 62
publicly traded corporations: and Absentee Membership, 168
and claims, 65–67
and magic of the multiple, 53–57
and microfinance, 140–41
ownership design of, 5, 28, 41, 59, 66
and purpose, 154–55
purpose: and feedback loops, 43, 154
function distinguished from, 29
as pattern of ownership, 14, 29, 42, 43, 45, 147
and self-organization, 10, 42. See also Financial Purpose; Living Purpose
Rabobank, 37
Rainforest Café, 149
real economy, 67–70, 75, 78, 81, 92, 225n4
real wealth, 68, 74, 75, 225n4
refugia, 217
reinforcing feedback loops, 43, 44, 55, 67
resident-owned communities, 107–8, 111
resilience: of community banks, 34–37
and fairness, 96
and feedback loops, 159
responsibility: and capital, 189–91
corporate social responsibility, 154–55, 186
and generative ownership, 83
institutionalized irresponsibility, 66
Responsibility Revolution, The (Hollender), 157
retirement, and generative economy, 213–14
Rilke, Rainer Maria, 61
Riordan, Richard, 73
risk taking: acceleration of, 66–67, 75
and extractive ownership, 27, 28, 29, 35, 39, 45, 59, 66, 79, 80, 190, 198
Rochdale Principles, 206–7
ROC–USA, 108
Rooted Membership: Absentee Membership compared to, 167–69, 195–96
and community forests, 105
and conservation easements, 106
and cooperatives, 142, 167, 204
defining membership, 164–66, 168, 169, 181, 204
and employee-owned firms, 163–64, 168, 169, 181
and Ethical Networks, 202, 204
and fairness, 169–72
feedback loops of, 221n6
of generative ownership, 14, 18, 147
and resident-owned community, 107
and Stakeholder Finance, 195–97
Rosen, Rich, 95
Roubini, Nouriel, 71
rural communities, and ownership design, 8, 104–8
Salomon Brothers, 47, 58, 59, 65–66, 198
SaludCoop, 142
Samuelson, Paul, 54
Santiago Theory of Cognition, 143
Schmidheiny, Stephan, 183
Schumacher, E. F., 11, 129, 160
Schumpeter, Joseph, 214
S Corporations, 32
Self-Help Credit Union, 33–34, 44, 45
self-organization: and ownership architecture, 10
patterns of, 139
rules of, 28, 41. See also emergence
Seventh Generation, 156, 157–58
shadow banking sector, 74
Shaftmaster Corporation, 136
shareholders, as owners, 7, 57
Sharehold Value Myth, The (Stout), 155
Siemon, George, 3, 201–4, 206, 208, 209
Skoll, Jeff, 215
SKS Microfinance, 140
Slow Food movement, 197
Smith, Adam, 8
social architectures: of extractive ownership, 29
and generative economy, 212, 214, 215
of living companies, 150–51
and living world, 112
ownership as foundation of, 49–50
and ownership design, 10
and zone management system, 135–36
social businesses, 10
social contract, 6–7
social covenants, 133
social ecosystem: and employee ownership, 174
of generative economy, 130, 134, 138
social enterprises, 8, 141, 142, 207, 215
social legitimacy, 211-12
social paradigm, 113
South Africa, 174
South Mountain Company, 118–21, 126–27, 153, 169
Spain, 142–43
Speculation Economy, The (Mitchell), 57
stability, in generative ownership, 38
stabilizing feedback loops, 43, 55
Stakeholder Finance: and community development corporations, 133
and ecological values, 196–200
and employee-owned firms, 189, 193–94
and Ethical Networks, 205-6
of generative ownership, 14, 18, 142, 147
and Mission-Controlled Governance, 194–95
and resident-owned community, 107
stakeholder ownership, 141, 142
Stapp, Henry, 129–30
State Bank of India, 36, 39, 213
state-owned banks, 9, 36, 38, 39, 213
Steltenpohl, Greg, 157
Stern, Andrew, 110
stewardship, 106
stock buybacks, 110, 121–22, 227n9
stock options, 76, 77, 78, 122, 154, 166
Stonyfield Yogurt, 157
structure: of industrial-age capitalism, 1, 5
and purpose, 29
self-organization of, 10
sufficiency: and generative economy, 217
growth versus, 119–21, 127, 130
Sum, Andrew, 226n12
sustainability: definition of, 150
and Ethical Networks, 204
and generative economy, 13, 138, 210, 217
of larger system, 112
and Mission-Controlled Governance, 183, 184–85
Sustainable Brands, 158
Switzerland, 134
systems thinking: and changing rules of game, 175
and cognition, 143–45
and deep ecology, 103
and ecological values, 15
and emergence, 139–41
and evolution, 216
and feedback loops, 42–45, 221n6
growth versus sufficiency, 119–21, 127, 130
and limits to growth, 27, 72–73, 92, 94, 96, 198, 209, 216
and living patterns, 15
and no separate systems, 112–14, 165
and resilience, 159
responsibility within system, 83
and structure, 42
and threshold effect, 93–98
whole determining behavior of parts, 129–30
Systems View of the World, The (Laszlo), 113
Tabb Group, 224n14
Tasch, Woody, 197
Tecumseh, 128
Tellus Institute, 7, 8, 104, 220n26
Temple, Ken, 165, 168, 172, 178–80, 184, 189, 193–94
Thinking in Systems (Meadows), 27
threshold effect, 93-98
Timeless Way of Building, The (Alexander), 14, 151, 230n1
TINA (There Is No Alternative) school of thought, 2
Tom’s of Maine, 157
Trillion Dollar Meltdown, The (Morris), 78
Triodos Bank, 36
trust control, and Mission-Controlled Governance, 183
unemployment, 91
Unilever, 157
United Kingdom, 8, 9, 10, 36, 41, 101
United Nations, 215
United States: GDP of, 70
speed-up in workplaces, 168. See also specific states
Upstream 21, 156
use value, 193
usury laws, 73
values: and benefit corporations, 158
and Ethical Networks, 201–8
and generative economy, 211–12
and Mission-Controlled Governance, 181
and paradigm shifts, 112–14
and patterns of relationships, 152–53
and sufficiency, 127. See also ecological values
Varela, Francisco, 143
Vermont, 156
viral world, 9
Virginia, 156
VIVA Trust, 183
Vohr, Jill, 65
wages, erosion of, 92–93
Wall Street: and capital, 49–52, 193
and Commodity Networks, 51–52
and concept of ownership, 61–62, 63, 66-67
and growth, 123
history of, 48–49
and magic of the multiple, 53–57, 58, 72
and mortgage industry, 45
and speed of trading, 59–61, 81-82, 224n14
Warthen, Darnella, 34
wealth: cash distinguished from, 90–91
wealth creation: and capital, 50, 58
and Commodity Networks, 51–52
and extractive ownership, 74
and growth, 122
and magic of the multiple, 53-57
and reinforcing feedback loops, 67
and threshold effect, 95
Wells Fargo, 63
Wheatley, Margaret, 13, 140, 168–69
White Horse Advisors, 174
Wikipedia, 9
Williamson Street Grocery Cooperative, 172
wind bonds, 200
worker-owned businesses. See employee-owned firms
working waterfront easements, 132, 137
World Bank, 37
worldview, paradigm shifts in, 113–14
Worthington National Bank, 36
Wright, Frank Lloyd, 201
Year of the Cooperative, 215
Zapotec Indians, 104-5
zero net energy, 119