Resource-Based Economy
Practical insights from 2 re:build sessions on implementing resource-based economy in regenerative villages.
Overview
Resource-Based Economy represents a fundamental shift from monetary-based to resource-based economic systems, where communities intelligently manage resources directly rather than relying primarily on monetary exchange. This approach is essential for regenerative village development, enabling liberation from mere survival and creating systems where basic needs are met through resource management. This guide synthesizes knowledge from re:build gatherings to provide practical insights for implementing resource-based economies in community projects.
Key Principles
Direct resource management: Resource-based economies prioritize direct management and allocation of resources—food, water, energy, materials, and land—rather than relying on monetary exchange as the primary mechanism for meeting needs.
Circular design integration: Resource-based economies use circular city and village design that provides all resources needed, creating closed-loop systems where waste becomes resources and resources are managed sustainably.
Liberation from survival mode: The goal is to create models that liberate residents from mere survival, enabling people to focus on creative passions, purpose, and higher-level contributions rather than basic subsistence.
Multiple pathways: There isn't only one way to create viable resource-based economic models. Different approaches can work depending on context, scale, and community goals.
Transition possibility: Resource-based economies become possible through transitioning from monetary-based to resource-based systems, where resources are managed directly and intelligently by communities.
Methods and Approaches
Circular city design: Resource-based economies use circular city design that provides all resources needed, using resource-based rather than monetary-based economic models. This creates closed-loop systems where waste becomes resources and resources flow efficiently through the community.
Intelligent resource management: Communities intelligently manage resources using regenerative economic models, developing methods and regenerative lifestyles that support regeneration. This involves understanding resource flows, needs, and capacities within the community.
Nature-backed systems: Some resource-based economies incorporate nature-backed economic models, where natural assets and ecosystem services provide the foundation for economic value. Technology can help quantify proof of regeneration and transition communities into regenerative economies.
Integrated resource systems: Effective resource-based economies integrate multiple resource systems—food production, water management, energy generation, waste processing, and material flows—creating comprehensive resource management approaches.
Technology-enabled tracking: Technology and machine learning can help track resource flows, quantify regeneration, and manage resource allocation efficiently, supporting the transition to resource-based systems.
Benefits
Reduced dependency on monetary exchange: Resource-based economies reduce dependency on monetary exchange for meeting basic needs, creating more resilient and self-sufficient communities.
Enhanced resource efficiency: Direct resource management enables more efficient use of resources, reducing waste and optimizing resource flows through circular design principles.
Liberation for creativity and purpose: When basic needs are met through resource management, community members can focus on creative passions, purpose, and higher-level contributions rather than survival.
Increased resilience: Resource-based economies create more resilient communities that are less dependent on external monetary systems and market fluctuations.
Regenerative outcomes: Resource-based management supports regenerative outcomes, where resource use actually improves ecosystems and community well-being over time.
Community empowerment: Direct resource management empowers communities to control their own resource flows and make decisions about resource allocation based on community values and needs.
Key Insights
Core component of regenerative economics: Resource-based economy is a really important piece of the regenerative economic model—it represents a fundamental shift in how resources are allocated and shared, moving from monetary exchange to direct resource management.
Circular design foundation: Resource-based economies use circular city design that provides all resources needed, creating closed-loop systems where waste becomes resources and resources are managed sustainably.
Transition pathway: What makes resource-based economies possible is eventually transitioning from monetary-based to resource-based systems, where resources are managed directly by communities rather than through monetary exchange.
Community intelligence: This happens when communities intelligently manage resources using regenerative economic models, developing methods and lifestyles that support regeneration and resource sustainability.
Multiple viable models: There isn't only one way to create viable resource-based economic models. Different approaches can work depending on context, scale, community goals, and available resources.
Technology integration: Technology can help quantify proof of regeneration and support the transition to resource-based economies, enabling better tracking and management of resource flows.
Integration with other models: Resource-based economies can be integrated with other economic models, including nature-backed economies, circular economies, and regenerative finance systems.
Long-term sustainability: Resource-based economies support long-term sustainability by creating systems where resource use improves rather than degrades ecosystems and community well-being.
Examples and Case Studies
Successful regenerative villages demonstrate various resource-based economy approaches:
- Communities using circular city design that provides all resources needed through resource-based rather than monetary-based economic models
- Projects that integrate food, water, energy, and waste systems to create comprehensive resource management
- Nature-backed economies that use natural assets and ecosystem services as the foundation for economic value
- Technology-enabled systems that track resource flows and quantify proof of regeneration
- Communities that have transitioned from monetary-based to resource-based systems, meeting basic needs through direct resource management
Best Practices
- Design for circularity: Create circular design systems where waste becomes resources and resources flow efficiently through closed-loop systems
- Integrate multiple resource systems: Integrate food production, water management, energy generation, waste processing, and material flows into comprehensive resource management
- Use technology for tracking: Leverage technology and data systems to track resource flows, quantify regeneration, and optimize resource allocation
- Start with basic needs: Focus on meeting basic needs—food, water, energy, shelter—through resource management before expanding to other areas
- Build community capacity: Develop community capacity for intelligent resource management, including skills, knowledge, and systems for resource allocation
- Create transition pathways: Design clear pathways for transitioning from monetary-based to resource-based systems, recognizing this is a gradual process
- Integrate with other models: Combine resource-based approaches with other economic models—nature-backed, circular, regenerative finance—as appropriate
- Measure and quantify: Use metrics and tracking systems to quantify resource flows, regeneration outcomes, and economic value created through resource management
- Design for resilience: Create resource-based systems that are resilient to external shocks and less dependent on monetary systems
- Support community empowerment: Ensure resource management systems empower communities to make decisions about resource allocation based on community values and needs
Implementation Guide
To implement a resource-based economy in your regenerative village project:
1. Assess current resource flows: Map current resource flows—food, water, energy, materials, waste—to understand existing patterns and opportunities
2. Design circular systems: Create circular design systems where waste becomes resources and resources flow efficiently through closed-loop systems
3. Integrate resource systems: Integrate multiple resource systems—food production, water management, energy generation, waste processing—into comprehensive resource management
4. Develop resource management capacity: Build community capacity for intelligent resource management, including skills, knowledge, and systems for resource allocation
5. Create transition pathways: Design clear pathways for transitioning from monetary-based to resource-based systems, recognizing this is a gradual process
6. Use technology for tracking: Implement technology and data systems to track resource flows, quantify regeneration, and optimize resource allocation
7. Start with basic needs: Focus on meeting basic needs—food, water, energy, shelter—through resource management before expanding to other areas
8. Integrate with other models: Combine resource-based approaches with other economic models—nature-backed, circular, regenerative finance—as appropriate
9. Measure and quantify: Use metrics and tracking systems to quantify resource flows, regeneration outcomes, and economic value created
10. Build community ownership: Ensure resource management systems are owned and managed by the community, with clear decision-making processes for resource allocation
11. Design for resilience: Create resource-based systems that are resilient to external shocks and less dependent on monetary systems
12. Continuously improve: Regularly assess and improve resource management systems based on outcomes, community feedback, and changing needs
External Resources
For deeper exploration of this topic, see:
- Rethinking Wealth: Economics for Regenerative Commons - Economic framework for resource-based systems
- What is Nature-Backed Economy - Economic models backed by natural assets
- Regenerative Commons Economics - Core economic framework for regenerative commons
- Regenerative Finance - Financial systems aligned with regeneration