Abstract:
Increasingly, empirical evidence refutes many of the theoretical pillars of mainstream
economics. These theories have persisted despite the fact that they support unsustainable and
undesirable environmental, social, and economic outcomes. Continuing to embrace them puts at
risk the possibility of achieving the Sustainable Development Goals and overcoming other global
challenges. We discuss a selection of paradoxes and delusions surrounding mainstream economic
theories related to: (1) efficiency and resource use, (2) wealth and wellbeing, (3) economic growth,
and (4) the distribution of wealth within and between rich and poor nations. We describe a wellbeing
economy as an alternative for guiding policy development. In 2018, a network of Wellbeing
Economy Governments (WEGo), (supported by, but distinct from, the larger Wellbeing Economy
Alliance—WEAll) promoting new forms of governance that diverge from the ones on which the
G7 and G20 are based, has been launched and is now a living project. Members of WEGo aim
at advancing the three key principles of a wellbeing economy: Live within planetary ecological
boundaries, ensure equitable distribution of wealth and opportunity, and efficiently allocate resources
(including environmental and social public goods), bringing wellbeing to the heart of policymaking,
and in particular economic policymaking. This network has potential to fundamentally re-shape
current global leadership still anchored to old economic paradigms that give primacy to economic
growth over environmental and social wealth and wellbeing.
