Simit Economy

Simit Economy, originally known as the doughnut economy, is an innovative economic model developed by British economist Kate Raworth that centers on nature and people, with justice and equity as its core focus. This model moves away from industrial, growth-obsessed, and destructive economic paradigms to offer a sustainable development approach that enhances social well-being while respecting ecological limits.

Raworth first introduced this model in a 2012 report titled "A Safe and Just Space for Humanity: Can We Live Within the Doughnut?" written for Oxfam. The model was later detailed in her 2017 book, Doughnut Economics: Seven Ways to Think Like a 21st-Century Economist.

The model’s name and shape are represented by a simit figure. This graphical structure consists of two circular boundaries:

This represents the minimum standards of access to fundamental human rights and services. Falling below this boundary results in social deprivation. The inner foundation encompasses essential rights such as education, healthcare, housing, access to clean water and food, energy use, social equity, and political participation. Raworth draws on the indicators of the United Nations Sustainable Development Goals (SDGs) and defines this social foundation through twelve basic needs.

The outer boundary represents the carrying capacity of our planet. Exceeding this limit triggers ecological crises. It is grounded in the Planetary Boundaries framework developed by the Stockholm Resilience Centre. This framework includes critical environmental thresholds such as climate change, biodiversity loss, ocean acidification, disruption of nitrogen and phosphorus cycles, and deforestation.

This area between the inner and outer rings represents the ideal zone in which humanity can thrive without harming the natural environment. The goal of the model is to ensure that all people live within this space.

The seven key modes of thinking for the transition to a 21st-century economy, as defined by Kate Raworth, are:

1. Change the Goal: Replace GDP as the central measure with a system that prioritizes well-being, equity, and sustainability.
2. See the Big Picture: Analyze the economy not only in terms of production and money but also through its environmental and social impacts.
3. Evolve Human Nature: Shift from the model of the self-interested individual to one that aligns with community and nature.
4. Understand Systems: Deeply analyze how the economic system functions, its flaws, and how it generates inequality.
5. Design to Distribute: Build systems that ensure fairer sharing of resources and income.
6. Design to Regenerate: Develop production and consumption systems based on recycling, repair, and circular design.
7. Be Growth-Agnostic: Remove economic growth as an end goal; what matters are social and ecological outcomes.

The Simit Economy model proposes replacing the system of continuous growth and consumption with an economy that meets people’s basic needs without exceeding ecological limits and that ensures social justice. In this way, it places not only economic indicators but also social and environmental health at its center.