Nancy Koehn Discusses The Evolution of Capitalism
Nancy Koehn is a historian at the Harvard Business School where she holds the James E. Robison chair of Business Administration. Koehn's research focuses on how leaders, past and present, craft lives of purpose, worth, and impact.
Her new book, Forged in Crisis: The Power of Courageous Leadership in Turbulent Times is an enthralling historical narrative filled with critical leadership insights that will be of interest to a wide range of readers—including those in government, business, education, and the arts—Forged in Crisis spotlights five masters of crisis: polar explorer Ernest Shackleton; President Abraham Lincoln; legendary abolitionist Frederick Douglass; Nazi-resisting clergyman Dietrich Bonhoeffer; and environmental crusader Rachel Carson.
Koehn is the author of numerous books, articles, and Harvard Business School cases. She writes frequently for the New York Times, the Washington Post, and the Harvard Business Review Online. She is also a weekly commentator on National Public Radio and has appeared on many national television programs. She has spoken at the World Economic Forum in Davos, the Aspen Ideas Festival, and in many other venues.
A Phi Beta Kappa graduate of Stanford University, Koehn earned a Master of Public Policy from Harvard's Kennedy School of Government before taking her MA and PhD in History from Harvard. She lives outside Boston and is a dedicated equestrian.
Question: What forces have shaped humanity most?
Nancy Koehn: A number of forces have shaped our moment. Joseph Schumpeter, a very articulate student of capitalism who taught at Harvard in the mid 20th century once said that stabilized capitalism is a contradiction in terms. Change is ever present with us. And even within that … in that postulate if you will, or that truism, we are living in a moment of mega change. And as a historian of capitalism and of entrepreneurship, I think of at least … there are at least three enormous … There are at least three moments of great change in the last 300 or 400 years of industrial … 300 years of industrialization. One at the middle of the 18th century in Britain, which really created the possibility of industrialization through technological improvements like the spinning Jenny and the steam engine. A second one in the late 19th century, built on innovations like the railroad and the telegraph that built big business, that created the 20th century that created consumer societies not just in this country, but all around the world. And then our moment which dwarfs both of those moments. Now citizens, and managers, and politicians living through those past epics thought they were living in times of dizzying change. You know in times when people had no attention spans, and when people were “toing and froing”, and getting and spending to quote Wordsworth. And you can say that same thing about our age, but our age is bigger. It’s bigger. The change is deeper, it’s broader, and the drivers are wider in scope.
Question: What has changed?
Nancy Koehn: What are those drivers? They are first, let’s start with the basics of any kind of change – demographic change. We have enormous demographic change now unfolding around the world both in terms of the places where the population growth is increasing rapidly, the places where it’s not growing, and what that means for the aid distribution; and what that means to live a quality and length of life for billions of people. So demographic change and its environmental … and its marital companion, its bedfellow, environmental change. No other generation, no other epic in history has witnessed the kind of environmental change on the scale that we are now witnessing it. No set of people has ever come close to what might be the production, possibility, frontier of mother earth, and we are close. Huge technological change. You know it began with the PC. Or perhaps it began with the mainframe back in the 1940s, or the PC in the 1980s, and now the Internet. And corresponding breakthroughs in digital technology, in biopharmaceutical technology, biology. These kind of … these kind of forces have now unleashed and accelerating in terms of their power are unprecedented.
Question: How have we changed as a society?
Nancy Koehn: We also have great social transition. Not just in this country where we’ve seen what was the nuclear family really just metamorphosed … We’ve seen the nuclear family really change – like, you know, from a caterpillar to a butterfly if you will, or from a butterfly to a caterpillar – change completely in a couple of generations what constitutes family. How many people are in the family? How do you keep a family together? Where does a family live? The basic nuts and bolts of our living units have changed and are changing. And again that’s happening in the United States. It’s happening in Europe. It’s happening in Japan. And what took two or three generations of massive social change and efforts on the part of women and men in this country is going to take less in a generation in places like China. Because as those countries have leapfrogged … As those countries have leapfrogged through technological innovations that took this country and European countries a couple of decades to develop and diffuse in those places, China will do in a relative nanosecond. So social change is everywhere. It’s broad reaching. It’s profound.
Question: How have we changed psychologically?
I think finally we’re living in a moment of great psychic change. There’s a very articulate, elegant historian named … a French historian who wrote in the early decades of the 20th century. And he wrote about sensibilité. He wrote about the sensibility of an age. Over the overwhelming, collective issues. What was the ethos? What was the …? How was it related to practical material life? If … were alive today, he’d be writing about fear. Because when historians come to write about this age in grand terms like sensibility, they’ll write about anxiety and fear as the overwhelming, collective emotions around the world. And in a global world – a world knit more tightly together by many, many orders of magnitude than it’s ever been. All of those changes add up to just, again, an extraordinary moment of great, I think, challenge, and of great possibility. And I think emotionally of much, much more fear than exaltation or hope.
Recorded On: 6/12/07
Nancy Koehn discusses the next stage of economic progress.
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Yet 80 percent of respondents want to reduce their risk of dementia.
- A new MDVIP/Ipsos survey found that only 35 percent of Americans know the symptoms of Alzheimer's disease.
- Eighty percent of respondents said they want to reduce their risks.
- An estimated 7.1 million Americans over the age of 65 will suffer from Alzheimer's by 2025.
Credit: logika600 / Shutterstock<p>Remaining healthy requires regular screenings. Here again we see a disassociation between risk reduction and proactivity. Seventy-seven percent of respondents don't talk to their doctors about lifestyle habits that support brain health; 51 percent have never been screened for depression; 44 percent have never had a neurological exam; and 32 percent have never been screened for hearing problems. </p><p>Common early warning signs of dementia, <a href="https://news.yahoo.com/americans-worry-alzheimers-disease-survey-140644803.html" target="_blank" rel="noopener noreferrer">according to</a> Dr. Jason Karlawish, co-director of the Penn Memory Center, include repetitive questions and stories, difficulties with complex daily tasks, and trouble with orientation. </p><p>In terms of intervention, <a href="https://bigthink.com/21st-century-spirituality/does-lack-of-exercise-lead-to-dementia" target="_self">exercise</a>, <a href="https://bigthink.com/surprising-science/obesity-dementia" target="_self">diet</a>, building a <a href="https://bigthink.com/mind-brain/brain-reserve" target="_self">brain reserve</a>, and challenging your brain (such as learning a new language or musical instrument) are all proven methods for staving off the ravages of Alzheimer's. Oxytocin has also <a href="https://bigthink.com/mind-brain/alzheimers-oxytocin" target="_self">showed promise</a> in brain-addled mice, while researchers found positive results for a <a href="https://bigthink.com/mind-brain/intermittent-fasting" target="_self">group of intermittent fasters</a> in promoting neurogenesis. </p><p>Epidemiologist Bryan James says that dementia is <a href="https://www.npr.org/sections/health-shots/2013/04/15/176920391/how-exercise-and-other-activities-beat-back-dementia" target="_blank">not an inevitable result</a> of aging. </p><p style="margin-left: 20px;">"It's simply not pre-destined for all human beings. Lots of people live into their 90s and even 100s with no symptoms of dementia." </p><p>Professor of neurology at Boston University School of Medicine, Andrew Budson, <a href="https://news.yahoo.com/americans-worry-alzheimers-disease-survey-140644803.html" target="_blank" rel="noopener noreferrer">recommends</a> aerobic exercise and the Mediterranean diet. As has long been known, whole grains, fruits and vegetables, fish and shellfish, and healthy fasts like nuts and olive oil seem to have brain-boosting properties. </p><p>To learn more, take the <a href="https://www.mdvip.com/brain-health-iq-quiz" target="_blank">Brain Health IQ quiz</a>.</p><p><span></span>--</p><p><em>Stay in touch with Derek on <a href="http://www.twitter.com/derekberes" target="_blank">Twitter</a>, <a href="https://www.facebook.com/DerekBeresdotcom" target="_blank">Facebook</a> and <a href="https://derekberes.substack.com/" target="_blank" rel="noopener noreferrer">Substack</a>. His next book is</em> "<em>Hero's Dose: The Case For Psychedelics in Ritual and Therapy."</em></p>
Astronomers spot an object heading into Earth orbit.
Minimoons<p>Scientists have confirmed just two prior minimoons. One was <a href="https://en.wikipedia.org/wiki/2006_RH120" target="_blank">2006 RH120</a>, which orbited us from September 2006 to June 2007. The other was <a href="https://en.wikipedia.org/wiki/2020_CD3" target="_blank">2020 CD3</a>, which got stuck in the 2015–2016 timeframe, and is believed to gotten away in May 2020.</p><p>2020 SO, the new kid on the block, is expected to arrive in October 2020 and pop out of orbit in May 2021.</p><div id="37962" class="rm-shortcode" data-rm-shortcode-id="f4c0fc8a2cba6536ea4cd960ebed3e6e"><blockquote class="twitter-tweet twitter-custom-tweet" data-twitter-tweet-id="1307729521869611008" data-partner="rebelmouse"><div style="margin:1em 0">Asteroid 2020 SO may get captured by Earth from Oct 2020 - May 2021. Current nominal trajectory shows shows capture… https://t.co/F5utxRvN6Z</div> — Tony Dunn (@Tony Dunn)<a href="https://twitter.com/tony873004/statuses/1307729521869611008">1600621989.0</a></blockquote></div>
Identifying 2020 SO<p>The first clue 2020 SO isn't your ordinary asteroid is its exceptionally low velocity. It's traveling much more slowly that a typical asteroid — their <a href="https://www.lpi.usra.edu/exploration/training/illustrations/craterMechanics/" target="_blank">average rate of travel</a> <a href="https://www.lpi.usra.edu/exploration/training/illustrations/craterMechanics/" target="_blank" rel="noopener noreferrer"></a>is 18 kilometers (58,000 feet) per second. Even <a href="https://en.wikipedia.org/wiki/Moon_rock" target="_blank">moon rocks</a> sent careening into Earth orbit by impacts on the lunar surface outpace pokey 2020 SO.</p><p>For another thing, 2020 SO has an orbital path very similar to Earth's, lasting about one Earth year. It's also just slightly less circular than our own orbit, from which it's barely tilted off-axis.</p><p>So, what is it? <a href="https://cneos.jpl.nasa.gov/ca/" target="_blank">NASA estimates</a> that the object has dimensions very reminiscent of a discarded Centaur rocket stage from the <a href="https://en.wikipedia.org/wiki/Surveyor_2" target="_blank" rel="noopener noreferrer">Surveyor 2 mission</a> that landed an unmanned craft on the moon. Back in the day, rocket stages were jettisoned as craft were aimed toward their desired position. This stuff, if released high enough, remains in space. It appears that this Centaur rocket, launched in September 1966, is now making its way back homeward, at least for a little bit.</p><p>When 2020 SO arrives at its closest point in December, the rocket is expected to be about 50,000 kilometers from Earth. Its next closest approach is much further: 220,000 kilometers, in February 2010.</p><img type="lazy-image" data-runner-src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yNDQzMDk3NC9vcmlnaW4uanBnIiwiZXhwaXJlc19hdCI6MTYyODg1MTQ1MX0.HGknDwqp0GmeuczKY_AS7vrPG7KMFUc_XO95tNoI2xo/img.jpg?width=980" id="e5cda" class="rm-shortcode" data-rm-shortcode-id="85eb1f790d8c3ee5b261f7ba13eaa5e1" data-rm-shortcode-name="rebelmouse-image" alt="Centaur rocket stage" />
Centaur rocket stage
What we may be able to learn<p>Earthly space programs being as young as they are, scientists would love to know what's happened to our rocket during a half century in space.</p><p>While 2020 SO won't get close enough to drop into our atmosphere, its slow progress has scientists hopeful that they'll still get some kind of a decent look at it.</p><p>Spectroscopy may be able to reveal what the rocket's surface is like now — has any of its paint survived, for example? Of course, being out in space, it's likely to have been hit by lots of dust and micrometeorites, so the current state of its surfaces is also of interest. Experts are curious to know how reflective the rocket is at this point, valuable information that can help planners of future long-term missions anticipate how well a craft out in space for extended periods will remain able to reflect sunlight.</p>
The U.S., China, and Russia are in a "vaccine race" that treats a global challenge like a winner-take-all game.
All for one (vaccine)<p>Launched this April, <a href="https://www.who.int/initiatives/act-accelerator" target="_blank">the Access to COVID-19 Tools (ACT) Accelerator</a> brought together a panoply of governments, scientists, businesses, and global health organizations with the goal of accelerating the development, production, and distribution of an efficacious COVID-19 vaccine. The "vaccines pillar" of this initiative is <a href="https://www.gavi.org/vaccineswork/covax-explained" target="_blank">the COVAX Facility</a>.</p><p>COVAX is coordinated by the WHO, the Coalition for Epidemic Preparedness Innovations (CEPI), and Gavi, the Vaccine Alliance. The program maintains a diverse portfolio of COVID-10 vaccines, monitoring each to identify promising candidates. It has also partnered with manufacturers to ease investment risks and serves as a purchasing pool for self-financing countries, while offering fundraising efforts to poorer ones.</p><p>"[G]overnments from every continent have chosen to work together, not only to secure vaccines for their own populations, but also to help ensure that vaccines are available to the most vulnerable everywhere," Seth Berkley, CEO of Gavi, <a href="https://www.gavi.org/news/media-room/boost-global-response-covid-19-economies-worldwide-formally-sign-covax-facility" target="_blank">said in a release</a>. "With the commitments we're announcing today for the COVAX Facility, as well as the historic partnership we are forging with industry, we now stand a far better chance of ending the acute phase of this pandemic once safe, effective vaccines become available."</p><p><a href="https://www.vox.com/21448719/covid-19-vaccine-covax-who-gavi-cepi" target="_blank" rel="noopener noreferrer">In an interview with Vox</a>, Berkley noted that the ACT Accelerator is the largest global collaboration since the Paris Climate Agreement. He added, "This type of solidarity is critical because otherwise what you're going to end up with is just a constant reintroduction of infections and the inability to go back to normal."</p><p>As of Monday, 64 higher-income countries and 92 low- and middle-income countries—representing nearly two-thirds of the world's population—<a href="https://www.gavi.org/news/media-room/boost-global-response-covid-19-economies-worldwide-formally-sign-covax-facility" target="_blank" rel="noopener noreferrer">have signed commitments to COVAX</a>. Thirty-eight more are expected to sign soon.</p><p>COVAX's goal is to have 2 billion doses by the end of 2021. Experts estimate this amount will cover high-risk and vulnerable people, as well as healthcare workers, worldwide. Participating nations must cover those populations before administering vaccines according to national priorities. As part of the agreement, countries agree to support equal access to the vaccine once it becomes available, a move aimed at preventing hoarding and price gouging. </p><p>Currently, CEPI is supporting nine candidate vaccines, of which eight are in clinical trials.</p>
Why has the U.S. backed out?<span style="display:block;position:relative;padding-top:56.25%;" class="rm-shortcode" data-rm-shortcode-id="7167e0bf1593a7cb29c1a116041116e3"><iframe type="lazy-iframe" data-runner-src="https://www.youtube.com/embed/LUAsKbH7yeY?rel=0" width="100%" height="auto" frameborder="0" scrolling="no" style="position:absolute;top:0;left:0;width:100%;height:100%;"></iframe></span><p>The United States is gambling that its bilateral deals with various pharmaceutical companies will win the "<a href="https://www.washingtonpost.com/world/coronavirus-vaccine-trump/2020/09/01/b44b42be-e965-11ea-bf44-0d31c85838a5_story.html" target="_blank" rel="noopener noreferrer">vaccine race</a>." This U.S.-only initiative, named (sigh) <a href="https://www.hhs.gov/about/news/2020/06/16/fact-sheet-explaining-operation-warp-speed.html" target="_blank" rel="noopener noreferrer">Operation Warp Speed</a>, has already spent <a href="https://www.cnbc.com/2020/08/14/the-us-has-already-invested-billions-on-potential-coronavirus-vaccines-heres-where-the-deals-stand.html" target="_blank" rel="noopener noreferrer">approximately $10 billion</a> and is pushing to deliver 300 million doses by January 2021. Many experts worry this speedy push through the regulatory path could result in <a href="https://www.sciencemag.org/news/2020/08/here-s-how-us-could-release-covid-19-vaccine-election-and-why-scares-some" target="_blank" rel="noopener noreferrer">premature and dangerous approvals</a>.</p><p>China and Russia have likewise bet on their own high-priced ponies. Russia is touting <a href="https://arstechnica.com/science/2020/09/russia-offers-its-untested-covid-19-vaccine-for-free-to-un-officials/" target="_blank" rel="noopener noreferrer">an unvetted vaccine</a> nicknamed (double sigh) "Sputnik V." This vaccine has only concluded <a href="https://www.thelancet.com/journals/lanres/article/PIIS2213-2600(20)30402-1/fulltext" target="_blank" rel="noopener noreferrer">phase 1 and 2 trials</a> with a small number of participants, yet Russia claims to have already received international requests. Meanwhile, China has administered <a href="https://www.reuters.com/article/us-health-coronavirus-china-vaccines-foc/in-coronavirus-vaccine-race-china-inoculates-thousands-before-trials-are-completed-idUSKBN26705Q" target="_blank" rel="noopener noreferrer">tens of thousands of doses of a vaccine</a> before completing phase 3 clinical trials. </p><p>An additional barrier to the United States' participation: COVAX is a WHO-led initiative. Earlier this year, <a href="https://www.npr.org/2020/05/29/865685798/president-trump-announces-that-u-s-will-leave-who" target="_blank" rel="noopener noreferrer">President Donald Trump admonished the WHO as a corrupt organization</a> and claimed it assisted China in covering up the coronavirus outbreak and its severity. Though he presented no evidence for the accusation, Trump has used it as the basis for <a href="https://www.statnews.com/2020/09/21/64-high-income-nations-join-effort-to-expand-global-access-to-covid-19-vaccines-but-u-s-and-china-do-not/" target="_blank" rel="noopener noreferrer">his threat to cut ties with</a>, and funding for, the agency.</p><p>"The United States will continue to engage our international partners to ensure we defeat this virus, but we will not be constrained by multilateral organizations influenced by the corrupt World Health Organization and China," said Judd Deere, a spokesman for the White House, said <a href="https://www.reuters.com/article/us-health-coronavirus-usa-who/white-house-slams-who-over-criticism-of-push-for-covid-19-vaccine-idUSKBN25S62T" target="_blank" rel="noopener noreferrer">in a statement</a>.</p><p>He added, "This president will spare no expense to ensure that any new vaccine maintains our own FDA's gold standard for safety and efficacy, is thoroughly tested, and saves lives."</p><p>By shirking COVAX, these countries hope to gain peerless access to a vaccine. Each could secure large numbers of doses for its citizens while also reaping the political boons to follow. In the United States, President Trump has pinned his re-election bid on a timely vaccine, while Chinese officials seem posed to use a vaccine <a href="https://www.nytimes.com/2020/09/11/business/china-vaccine-diplomacy.html" target="_blank" rel="noopener noreferrer">to repair diplomatic ties</a>. </p><p>But the loss of such rich economies will prove a blow to COVAX and the ACT Accelerator. Vaccines are notoriously expensive and risky to develop; the costs to manufacture doses at scale will be immense. <a href="https://news.un.org/en/story/2020/08/1070162" target="_blank" rel="noopener noreferrer">WHO Director-General Tedros Adhanom Ghebreyesus</a> stated the ACT Accelerator would cost roughly $30 billion, and the final bill for the tools to combat novel coronavirus would be at least $100 billion. But that's a pittance compared to the <a href="https://www.reuters.com/article/us-health-coronavirus-imf/imf-says-10-trillion-spent-to-combat-pandemic-far-more-needed-idUSKBN23I27P" target="_blank" rel="noopener noreferrer">$10 trillion already spent on the pandemic</a> so far.</p><p>"COVID-19 is an unprecedented global crisis that demands an unprecedented global response," <a href="https://www.who.int/news-room/detail/21-09-2020-boost-for-global-response-to-covid-19-as-economies-worldwide-formally-sign-up-to-covax-facility" target="_blank" rel="noopener noreferrer">Tedros said</a>. "Vaccine nationalism will only perpetuate the disease and prolong the global recovery. Working together through the COVAX Facility is not charity, it's in every country's own best interests to control the pandemic and accelerate the global economic recovery."</p>
The winner won't necessarily take all<img type="lazy-image" data-runner-src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yNDQzNzY2My9vcmlnaW4uanBnIiwiZXhwaXJlc19hdCI6MTY0NjExMzA1M30.2kF2U_8veNWxmaxOnSned_WTQMRtscbB5dmT5efJHsc/img.jpg?width=1245&coordinates=0%2C180%2C0%2C181&height=700" id="55cd7" class="rm-shortcode" data-rm-shortcode-id="c56717cda300a40edc23795c8ee23c2f" data-rm-shortcode-name="rebelmouse-image" alt="SARS-CoV-2 vaccine" />