Academic and author Mariana Mazzucato said a purpose-driven approach to economics is necessary during a Reuters "The Big View" podcast released Tuesday [1].
The proposal suggests a fundamental shift in how economic disciplines are applied. By moving away from narrow metrics and toward the common good, Mazzucato said the global economy can better address systemic malaise [1, 2].
During the interview with Peter Thal Larsen, Mazzucato discussed the need to diagnose current economic failures [1]. She said the discipline of economics requires a broader perspective to improve its effectiveness and societal impact [2].
The conversation focused on redefining the goals of economic policy. Rather than focusing solely on growth or efficiency, Mazzucato said a framework that prioritizes collective well-being, and sustainable outcomes is needed [1, 3].
This approach seeks to bridge the gap between theoretical economic models and the actual needs of the public [2]. By centering the common good, the framework aims to create a more resilient economic structure that serves a wider population [1, 3].
The discussion was published on the Reuters YouTube channel as part of a series exploring complex global issues [1].
“Mazzucato argues for a wider, purpose-driven approach to economics.”
This call for a 'purpose-driven' economy represents a challenge to the neoclassical economic consensus that prioritizes market efficiency and GDP growth. By advocating for the common good as a primary metric, Mazzucato is pushing for a systemic integration of social and environmental goals directly into economic planning and policy.
