Maslow’s theory of human motivation has shaped classrooms, therapy, and leadership seminars for decades as a framework for individual growth, yet we rarely acknowledge how the same concept is embedded in the DNA of our economic systems. The progression from meeting basic needs and security to achieving self-actualisation isn’t only about personal fulfilment: It underwrites how societies, markets, and nations evolve.
Look closer and you’ll find Maslow’s hierarchy in the scaffolding of every developed economy and in the aspirations of developing ones. We can see it in the policies, food security programs, in innovation cycles, stable employment, access to education, social inclusion: these are all policy and investment mechanisms that echo Maslow’s levels of need. They reflect our collective instinct to build from physiological survival toward shared prosperity.
Recent examples reveal how fragile this foundation can be: when the U.S. Supplemental Nutrition Assistance Program (SNAP) experienced funding uncertainty in October 2025, the resulting anxiety among low-income families had measurable effects on consumption and participation in community and workforce activities. This is a textbook case of how failing to meet basic physiological needs undermines collective progress. The stress of scarcity ripples upward, slowing society’s movement toward higher-order goals like innovation, happiness, and shared prosperity.
Those familiar with the United Nations Sustainable Development Goals (SDGs) may notice that it is no coincidence that those SDGs mirror this same layered logic. They take Maslow’s vision of human development and expand it from the individual to global economic development: ensuring no one is hungry or unsafe before enabling quality education, equality, and ultimately climate action and prosperity.
Maslow’s Hierarchy of Needs and Its Economic Reflection
Maslow proposed that humans are motivated by a series of needs, often illustrated as a pyramid as depicted below. Primary publication: Maslow, A. H. (1943). A Theory of Human Motivation. Psychological Review, 50(4), 370–396. https://doi.org/10.1037/h0054346
Diagram adapted by the author based on the conceptual model presented in Abraham Maslow’s A Theory of Human Motivation (1943). Maslow did not originally publish his theory as a pyramid.
While the model is often seen as linear, its power lies in how it illustrates the dependency between foundation and aspiration. Economic research consistently supports this view: societies that meet basic needs build resilience and productivity faster than those that do not. Studies have shown that income correlates with happiness and innovation up to the point of basic sufficiency after which progress depends on purpose, education, and social mobility. Maslow’s pyramid is as much a blueprint for economies as it is for individuals.
This framework recently inspired us at Clear Skies to examine how the Clear Skies Balanced Impact Fund naturally aligns with the implicit progression.
Our intention was never to design a fund “based on Maslow,” but rather to recognize that when we invest in systemic progress, we are inherently generating value for all stakeholders, including people, planet and shareholders. Because of that approach, the fund’s five themes of impact (1. Fundamental Human Needs, 2. Resilient Infrastructure, 3. Climate Action, 4. Preservation of the Planet, 5. Shared Prosperity) map intuitively the same natural progression of needs.
1. Physiological needs: Addressed by the Clear Skies Fundamental Human Needs & the Preservation of the Planet investment themes
Investments ensuring access to clean water, nutritious food, affordable housing, and healthcare while safeguarding the environmental systems that sustain them. Climate action and preservation of the planet sit at the core of this theme because environmental degradation directly threatens our most basic human needs.
2. Safety needs: Investments made through the Clear Skies Resilient Infrastructure theme & Climate Action themes
Building sustainable cities and communities, supporting energy transition, and fostering financial inclusion form the backbone of this theme. Just as individuals seek stability after meeting survival needs, societies invest in reliability in systems that protect against volatility, adaptation to climate and weather changes, and allow long-term planning.
3. Belonging needs: Overlap with the vision of the Clear Skies Shared Prosperity theme
Investments in education, equitable access, and inclusive systems enable people and communities to belong, engage, and thrive. Economic participation depends on belonging; exclusion erodes both morale and productivity.
4. Esteem needs: Also address by the Clear Skies Shared Prosperity investment theme
Investing in human potential means backing entrepreneurship, leadership, and innovation. Recognition and self-esteem are not abstract concepts; they are essential ingredients for sustainable growth and equitable economies.
5. The last level, self-actualization, I believe is the result and reflection of the entire “Clear Skies Balanced Impact Fund” portfolio of investments as a whole
All the investments sum up to a focus on transformative systemic change such as decarbonization, circular economy models, inclusive finance, and policies that enable societies to grow responsibly for all generations to reap the benefits of said growth. In the long-term investment perspective, this is creating prosperity that multiplies rather than divides.
Takeaways:
– When we look at the investable universe, there are quality companies intentionally transforming our world with a supply that meets the actual demands of tomorrow.
– When foundations weaken, higher-order ambitions falter. Ignoring food security, health, or infrastructure while focusing solely on innovation or digital transformation leads to fragile growth.
– Having studied psychology and behavior change, I see that markets, like people, are driven by unmet needs. Recognizing where those needs sit in the hierarchy helps us deploy capital where it will catalyze the greatest value.
– Modern economies assume that lower-order needs are already met, focusing policy and capital on higher-level growth and productivity. Yet persistent inequities show that those assumptions are false. The more we acknowledge the foundational layers, the more durable and equitable our economic systems become. Progress and growth compounds only when the base or foundation is stable.
– As investors, we are not simply financing companies; we are participating in the collective realization of the potential of each company’s growth story and intention for impact.
About my lens:
My perspective is grounded in an unusual melding of disciplines: psychology, education, philanthropy, board leadership, behavior change, and finance. I’ve studied how people make decisions, what drives communities to thrive, and how systems align with purpose. Over the years, I’ve worked in a foundation, served on non-profit boards, participated in behavioural interventions, and later turned that combined lens toward impact investing. That background gives me a unique vantage point: understanding what makes humans react, what makes capital move, and how both can serve to create greater value for all.
