Strategic Framework for Sustainable Local Economic Development

Second Conference on Ecological Landscaping:Enhancing Self-Reliance and Resilience of Cities

December 1-3, 2009

Economics: The Study of Choice, or the Dismal ScienceI have…

Basic needsUnlimited wants Limited means

Since I can't have it all…

What will I choose to acquire?What will I choose to do without?

Since I must have some things...What will I choose to provide for myself?What will I choose to obtain from others?

Who and Where Is The Market?

Global Economy•Market niches exist irrespective of supplier and customer locations•Customers share an infinite variety of wants•Predominant•Dependence on “global government” to assure transaction space

1 TINA: There Is No Alternative

Local Economy•Population density in a specific geographic area•People share the same needs•Subordinate•Dependence on “local community” to assure self-reliance and resilience

1 LOIS: Local Ownership Import Substitution

1 Shuman, Michael, The Small-Mart Revolution: How Local Businesses Are Beating the Global Competition

Systems Comprising a Local Economy

System:

Local Food Cost / Healthy Calorie Green Energy Cost / Kilowatt Distributed Manufacturing Asset Management

Community Currency Medium of Exchange

Success Metric:

Zero Miles

Zero Emissions / Carbon

Zero Landfill Zero Leakage

Why Would I Choose Local?

Security: What I need is available

Safety: When I get what I need, it is not going to make me sick, injure me or worse

Health: What I get locally is better for me and the environment than from afar

Affordability: I can pay for what I need

Convenience: I can consume what I need quickly and with no hassle

Utilization and Consum

ptionIn

puts

Conversion

Installation

Green Energy System

Deconstruction, Repurposing, and Reuse

Fabrication, Construction and

Assembly

Distributed Manufacturing System

Preparation

Production

Local Food System

Local Economic Systems Start at the Point of Consumption

The Neighborhood Feeds Itself• On average, Americans spend $10 / day for 2,000

calories of food– That equates to $3,650 / year / person for food

• Of that, 10 / 1,000 or 1% consume locally sourced food– That equates to $36,500 / year spent on locally sourced food

for every 1,000 people• How can one person work full-time job to assure

delivery of 730,000,000 calories to 10 people in one year and do so profitably?

• How would scaling the operation to feed 20 people for $73,000 / year impact the sustainability of the business?

• How much subsidy, if any, and of what type is required to assure sustainability?

If sourced locally, 20% of the calories you consume each day come from

400 / 2000 Calories

Vegetables and Fruitswhich are seasonal and expensive

What if you choose more locally-sourced food?

Wider Variety of Food Products with More Calories

Season Extension and Year-Round Food Production

Integrated Processing and Preparation

+ +

Spend more on food locally sourced from your local neighborhood and get MORE than food!

People arehealthier

and happier!Multiplier effect occurs spurring business growth in green energy and distributed manufacturing

Money is spent, captured, and reinvested in the community

Jobs are created

Food processing and preparation operations

are established

Vacant, abandoned, and underutilized properties are put

into food production

Choosing to Participate in Local EconomiesValue Chain

Contributions

TransactionPreferences

PersonalMotivation

CommunityEngagement

PoliticalInvolvement

1st

2nd

3rd

StatusQuo

PoliciesPolicies ExchangeExchange

Choosing to Participate in Local Economies

TransactionPreferences

PersonalMotivation

CommunityEngagement

PoliticalInvolvement

Networking

EducationEducation

CollaborationCollaboration

HealthHealth

LifestyleLifestyle

PrinciplesPrinciples

CooperativesCooperatives

CurrenciesCurrencies

BuyBuy

InvestInvest

Asset MgmtAsset Mgmt

Portfolio MgmtPortfolio Mgmt

Business Mgmt Business Mgmt

1st

2nd

3rd

StatusQuo

Value ChainContributions