Until recently, economics conceived of poverty solely as a lack of material resources. This view likely captures the reality of poverty experienced by many people around the globe. However, two waves of behavioral economics demonstrate that the narrowing of people’s external environments may change people themselves: poverty lowers the quality of decision-making and poverty and oppression may depress the capacity to aspire. Poverty and a history of oppression also change how individuals are perceived. To overcome these effects may require helping people acquire new mental models. This essay discusses key findings from behavioral economics, the implications for agency, and some interventions with promising outcomes. We hope to inspire scholars and policymakers to think more deeply about the nature of poverty and oppression and to consider policies that target the psychological and sociological factors that create cycles of poverty.

Crises, defined as a period of acute stress on social systems of all kinds, are a recurrent feature of history. As such, they are best approached and understood from a comparative historical perspective. We can distinguish between those caused or precipitated by an exogenous shock and those that derive from an endogenous process that culminates in the crisis. Crises can be of short or long duration and range from local to global. The most severe are ones that lead to a civilizational collapse or radical simplification process. Historically, severe crises have been localized to specific parts of the planet, even when several occur simultaneously because of global natural phenomena, but in the modern world we have truly global crises. Evidence suggests that such a global crisis is imminent or has already commenced. This raises practical and normative pressing issues.

This essay argues that we have a duty to protect biodiversity hotspots, rooted in an argument about the wrongful imposition of risk and intergenerational justice. State authority over territory and resources is not unlimited; the state has a duty to protect these areas. The essay argues that although biodiversity loss is a global problem, it can be tackled at the domestic level through clear rules. The argument thus challenges the usual view of state sovereignty, which holds that authority over territory, resources, and migration (all of which are connected to the protection of biodiversity hotspots) is unlimited.

A free world is one in which human beings can live free, self-directed lives. A great obstacle to such a world is severe poverty, still blighting the lives of half of humankind. We have the resources, technologies, and administrative capacities to eradicate severe poverty, but doing so requires some restructuring of existing social arrangements. We might begin with the current regime governing innovation, which has monopoly markups as its key funding source. Such monopoly rents encourage the quest for innovations, but also greatly impede their diffusion. This headwind harms the poor, who cannot afford monopoly prices and whose specific needs innovators thus tend to ignore. It also works against potential innovations whose benefits would mostly go to third parties whom buyers care little about. Both problems can be much alleviated through a supplementary alternative reward mechanism that would enable innovators to exchange their monopoly privileges on any patentable technology for impact rewards based on the social benefits achieved with it. By promoting innovations and their diffusion together, international impact funds would bring substantial gains in justice and cost-effectiveness, especially in the pharmaceutical and green-technology sectors.

For eradication of acute poverty, it is vital to factor in the human experience of it. Building social capital and networks that nurture, empower, and consistently reinforce a new shared economic identity can provide rich socioeconomic dividends. For states tackling extreme poverty at scale, building and strengthening social capital are essential public goods investments.

It is argued that the natural and human vicissitudes of the Northern Hemisphere—or at least western European history between 1315 and 1648—provide a preview of the sort of consequences for humanity and its demography that will result from the serious if not catastrophic climate change that is now anticipated by the Intergovernmental Panel on Climate Change (IPCC). Game theory suggests that at least some nation-state players in the strategic problem that climate change raises will not choose Nash equilibria that mitigate the problem. The only feasible solution will be the discovery or invention of some non-greenhouse-gas-emitting energy source so cheap that its owner will be indifferent to free-riding by all other users of energy. Recent efforts to develop fusion reactors do not provide much hope for this eventuality.

The importance of economic freedom for economic development can no longer be denied. What is often denied, however, is respect for individuals’ rights and personal choices. The role of individual choice is often dismissed or set aside by the development community. In this essay, I argue that inherent to economic freedom’s economic success is the promotion and acceptance of individual choice. Development theory should include recognition of and respect for personal choices, a theory I call “Catfish Man of the Woods” theory of development.

Liberal political institutions have been an enormous boon for humanity. The free market aspect of liberalism has led to an explosion of innovation, ranging from new kinds of technology and novel forms of entertainment to advances in science and medicine. The emphasis on individual rights at the core of liberalism has increased our ability to explore new ways of living and to construct an identity of our own choosing. But liberal political institutions around the world are facing two crises: low fertility and declining social trust. In particular, liberalism’s focus on individual liberty rather than group cohesion can increase economic productivity by encouraging the free movement of people and capital, but this movement is associated with declines in social cohesion and fertility. In this essay, we highlight some challenges to the long-term evolutionary stability of liberalism. In other words, we raise the question: Can liberalism last?