Why Prosperity and Sustainability?

Growth - in profits, income, market share, consumption, and other indicators - has often been the focus of business and economics as an overarching measure of success. The problems associated with this idea of success have become apparent in the social, environmental, and other problems it causes. The growth of such indicators is both too narrow - it's only about that indicator - and too focused on expansion rather than preservation.

That is why, at the Faculty of Economics and Business, we focus instead on sustainable prosperity. Instead of growth, largely focused on profit, income, market share or consumption, 'prosperity' is a broader concept. It is not focused on one indicator, but on what we need to do well. Sustainability is about balancing growth with the preservation of all the things we care about, whether material, ecological or social.

In this way, sustainability and future prosperity have become core concepts in economics and business. They address the question of how prosperity can grow without undermining its own foundations, for example by increasing material output at the expense of natural resources, climate stability, societal cohesion or political inclusion. Prosperity grows (or shrinks) sustainably or unsustainably locally - at the level of individuals, teams, organizations, governments, civil society - and globally - at the level of value chains, countries and supranational organizations. Sustainability, both material/physical and social, is often expressed in economic, social and governance (ESG) indicators.

Prosperity should not be narrowly interpreted to mean only wealth and profit, or even anything like that. Yet these are the connotations that prosperity evokes for many. Perhaps a more appropriate term would be "flourishing," understood as living well - in the material, social, ethical, and other senses. This goes beyond economics and business, and therefore sustainable prosperity is not an end in itself. Sustainable prosperity is important because it is a precondition (necessary but not sufficient) for flourishing, and indeed for the flourishing of both human beings and other species on the planet. That is why we care about sustainable prosperity. It is about the contribution that the economy- businesses, consumers, civic associations, governments - can make to enable flourishing. Within the Faculty, our shorthand for this is the strategic theme of Future Prosperity and Sustainability.