How to Build a Circular Economy
Summary
The document advocates for a circular economy to replace the linear "take-make-waste" model, which currently results in over 60% of the 100 billion tons of resources flowing into the economy annually ending up as waste or emissions. It proposes three pathways for transition: consuming less, consuming better through sustainable choices and sharing platforms, and implementing systemic changes such as designing products for longevity and introducing policy incentives for recycled materials. The guide highlights that circularity in five key sectors could reduce CO2 emissions by 3.7 billion tons by 2050 and presents a $4.5 trillion economic opportunity.
Key insights
- The current global economic model is characterized as "take-make-waste," where more than 100 billion tons of resources enter the economy annually, with over 60% resulting in greenhouse gas emissions or waste.
- Implementing a circular economy across five specific sectors—food, plastics, steel, aluminum, and cement—has the potential to reduce CO2 emissions by 3.7 billion tons by 2050, a reduction equivalent to the current emissions of all transport.
- Transitioning to a circular economy represents a $4.5 trillion economic opportunity by reducing waste and fostering business growth and employment.
- The document identifies three methods to address consumption: consuming less (supported by policy and behavior change), consuming better (via sustainable products, plant-based diets, and sharing platforms), and creating systemic change (designing for longevity and using policy to incentivize recycled materials).
- Specific national policy examples of circularity include Kenya's 2017 ban on single-use plastic bags, which led 80% of the population to stop using them, the UK's tax on plastic packaging with less than 30% recycled content, and the Republic of Korea's compulsory food waste recycling program that achieved a 95% recycling rate.
Cite the original document
- APA
- McGinty, D. (2020). How to Build a Circular Economy. World Resources Institute. https://www.wri.org/insights/how-build-circular-economy
- Chicago
- McGinty, David. How to Build a Circular Economy. World Resources Institute, 2020. https://www.wri.org/insights/how-build-circular-economy.
- Wikipedia
- {{cite report |last1=McGinty |first1=David |title=How to Build a Circular Economy |publisher=World Resources Institute |date=6 August 2020 |url=https://www.wri.org/insights/how-build-circular-economy |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{mcginty2020how, author = {McGinty, David}, title = {{How to Build a Circular Economy}}, institution = {World Resources Institute}, year = {2020}, month = aug, url = {https://www.wri.org/insights/how-build-circular-economy}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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