Capitalism isn’t going away anytime soon. I think I speak for most impact investors when I say we believe it’s a key part of the solutions our world desperately needs. We’re in good company this week, as Bank of England Governor Mark Carney said the same.
Challenged by UK’s Channel 4 news, and covered in The Guardian, Carney said capitalism is “very much part of the solution” for addressing climate change.
As might be expected, the economist and former Goldman Sachs man passionately defended capitalism, but also said that companies that ignore the climate crisis will “go bankrupt without question.”
Some critics argue that capitalism has brought us to the brink by chasing economic growth while relying on fossil fuels and downplaying environmental degradation. Others of us believe that markets can adjust and we can move capital to where it’s most needed. The growing interest in impact investing is part of this move. Capitalism also drives innovation, and advancements in renewable and clean energies and technologies are part of this drive.
Only one planet is available to us that’s currently supporting human life. Capitalists want to save it too.