British fashion is being correct, not fashionable

The Guardian complains:

‘Profit is being prioritised over climate action’ – British fashion is falling behind on sustainability

How excellent say we. One useful definition of the word “profit” is the value added in whatever it is that is being done. We like value added. All of us do. Value added is what we consume of course - in the GDP definition all consumption equals all production amd production is measured as value added. The existence of profit, in this sense, is exactly what makes us all richer.

True, we can also define profit as the amount of that earlier profit meaning that the producer manages to retain. We’re only worried about that in the sense of there being enough to incentivise the production of profit in that wider meaning. We want capitalists (or workers’ coops, whatever) to retain enough of the value add to make sure they keep adding value, that’s all.

If sustainability is something that all of us out here desire enough that we’ll pay for it then a profit maximising firm will bow obeisance to that sustainability. If we out here give sustainability the same respect we give to the average catwalk fashion - interesting perhaps but no one’s actually going to wear that, are they? - then a profit maximising firm won’t. Therefore profit maximisation is perfectly aligned with the revealed preferences of the population of consumers.

Thus, despite the Guardian’s shock at this finding, fashion firms are perfectly aligned with the consumer. We out here apparently don’t give the proverbial monkey’s about sustainability so nor do they. How perfect is that profit driven world, eh?

Tim Worstall