Further to my post of earlier today, Dave Warnock points us to MAKE WEALTH HISTORY: Valuing the work that matters most
Income is one of the key indicators of value in our modern society – we pay people well to do things that we value highly, and pay them little for work that we consider less important. Cleaners and shop assistants are paid low wages, because in theory, they contribute little to the economy. Bankers and football players enjoy higher earnings because they add much more value to the economy overall.
This view has been challenged this week by a report from the new economics foundation. By adding up ’social returns on investment’, they have been able to generate the total contribution that various jobs make to society – not just in profit, but in environmental and social benefits.
As Dave suggests, not everyone is going to approve of the methodology. But it seems to me to be a valuable contribution to a very necessary debate. NEF’s report is well-worth looking at.