The Next Steps Towards a Circular Economy

Aug 11, 2021 8:15 AM ET

by Lydia Miller, Senior VP and Portfolio Specialist with Dana Investment Advisors 

The concept and acceptance of moving toward a Circular Economy have grown significantly in the last several years. While definitions vary, most focus on maximizing the value of materials, products, and other resources (i.e., water, energy) that circulate in the economy by maintaining them in the economy for as long as possible while also minimizing the consumption of materials and the generation of waste.

The Ellen MacArthur Foundation has been a primary source of information on and driver of circular economic principles and practices, synthesizing many schools of thought (i.e., Cradle to Cradle, Biomimicry, and more). A circular economy moves beyond our take-make-waste industrial model and works toward designing products to eliminate waste and pollution and to regenerate natural systems. It’s a tall order for our complex global economy and demands a fundamental change within and across industries and stakeholders. It is an equally tall order to imagine achieving carbon emissions reduction and a more sustainable economy without both embracing a circular economy mindset and putting it into practice.

The Circularity Gap Report produced by the Ellen MacArthur Foundation quantifies the circularity rate, which is defined as recovered materials as a percentage of overall materials used in the global economy. Find the new Report in this article. 

Read more in Lydia's full article here