The dirty secret of capitalism -- and a new way forward
5,533,642 views |
Nick Hanauer |
TEDSummit 2019
• July 2019
Rising inequality and growing political instability are the direct result of decades of bad economic theory, says entrepreneur Nick Hanauer. In a visionary talk, he dismantles the mantra that "greed is good" -- an idea he describes as not only morally corrosive, but also scientifically wrong -- and lays out a new theory of economics powered by reciprocity and cooperation.
Rising inequality and growing political instability are the direct result of decades of bad economic theory, says entrepreneur Nick Hanauer. In a visionary talk, he dismantles the mantra that "greed is good" -- an idea he describes as not only morally corrosive, but also scientifically wrong -- and lays out a new theory of economics powered by reciprocity and cooperation.
This talk was presented at an official TED conference. TED's editors chose to feature it for you.
Follow Nick Hanauer on Twitter.
About the speaker
Nick Hanauer is one of the world’s most provocative thinkers about our society’s growing inequality and the dire consequences it creates for our democracies.
Nick Hanauer | Politico, July 2017 | Article
The well-heeled plutocrats of the top one percent recoiled in horror when Donald Trump was elected president in 2016. But the truth is Trump is a symptom of a larger problem that threatens to consume America, in the form of one trillion dollars a year that used to go to wages but now goes to shareholders and executives.
Eric Beinhocker and Nick Hanauer | Democracy Journal, 2014 | Article
This piece is a deep dive into the mechanics of the new economics discussed in the talk. Capitalism isn't about money — it's about problem-solving. And jobs aren't created by the top one percent — they're created through the consumer demand of the 99 percent.
Nick Hanauer | The American Prospect, 2016 | Article
When we allow employers to pay low wages, we create a race to the bottom that harms everyone. When local governments allow parasitic employers to pay so little that their employees qualify for subsidies like food stamps and the earned income tax credit, the whole economy is in peril.
David Rolf and Nick Hanauer | Democracy Journal, 2015 | Article
For too many workers in the gig economy, stability has never been a possibility. This piece proposes a new contract between worker and employer — one which casts aside the antiquated concept of the 40-hour workweek and instead provides benefits, vacation time and retirement on a per-minute basis.
Nick Hanauer | The American Prospect, 2018 | Article
In 2012, Bain and Company warned that wealthy investors were struggling to cope with "capital superabundance" — put simply, the wealthy have too much money. Meanwhile, the American Dream feels like an impossibility to most Americans. The solution is simple: tax the rich and invest that money in the American middle class.
Nick Hanauer | The Atlantic, 2019 | Article
The wealthiest Americans have offered billions of dollars in philanthropic giving toward educational improvements, but income inequality continues to grow. This is a mammoth misreading of the problem. American workers aren't under-educated — they're underpaid.
Nick Hanauer | Politico, November 2014 | Article
It used to be that 65 percent of American workers earned time-and-a-half pay for every minute worked over 40 hours per week. Over the last 40 years, that number has dwindled to seven percent. Now, too many workers are putting in anywhere from 45 to 60 hours a week, and seeing no additional pay for their efforts. Overtime pay is like the 15-dollar minimum wage for the American middle class, and we're long overdue for a reaffirmation of this vital policy.
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This talk was presented at an official TED conference. TED's editors chose to feature it for you.
Follow Nick Hanauer on Twitter.