Page 49 - COVID-19: The Great Reset

social fabric than on material consumption, then values as
different as the respect for the environment, responsible eating,

empathy or generosity may gain ground and progressively come
to characterize the new social norms.

Beyond the immediate ongoing crisis, in recent years the role
of economic growth in advancing living standards has varied
depending on context. In high-income economies, productivity

growth has been steadily declining since the 1970s, and it has
been argued that there are currently no clear policy avenues for
reviving long-term growth. [36] In addition, the growth that did

materialize disproportionately accrued to individuals at the top end
of the income distribution. A more effective approach may be for
policy-makers to target welfare-enhancing interventions more
directly. [37] In low- and middle-income countries, the benefits of

economic growth have lifted millions out of poverty in large
emerging markets. The policy options to boost growth
performance are better known (e.g. addressing basic distortions),
yet new approaches will have to be found as the manufacturing-

led development model is fast losing its power with the advent of
the Fourth Industrial Revolution. [38]

This leads to the second key question around future growth. If
the direction and quality of economic growth matter as much as –

or perhaps even more than – its speed, what are likely to be the
new drivers of this quality in the post-pandemic economy? Several
areas have the potential to offer an environment capable of
boosting a more inclusive and sustainable dynamism.

The green economy spans a range of possibilities from
greener energy to ecotourism to the circular economy. For
example, shifting from the “take-make-dispose” approach to
production and consumption to a model that is “restorative and

regenerative by design” [39] can preserve resources and minimize
waste by using a product again when it reaches the end of its
useful life, thus creating further value that can in turn generate
economic benefits by contributing to innovation, job creation and,

ultimately, growth. Companies and strategies that favour reparable
products with longer lifespans (from phones and cars to fashion)

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