The dominant understanding of political corporate social responsibility suggests new, broader political roles for businesses in the globalized economy, challenging the classical liberal social order. In this paper, we show how the major framing of the political CSR discussion not only challenges the classical liberal social order but also goes against the more general political economic perspective of the regulated market economy. We argue that this latter tendency of the political CSR discussion is its main weakness. (...) We introduce a Rawlsian reframing of political CSR that is in line with the idea of a global-regulated market economy and compatible with some of the basic global ethical aims of the political CSR movement. (shrink)

Liberal market states promote the responsible consumption of potentially dangerous commodities. But the work of enforcing sumptuary law is in fact delegated to service employees in the private sector. In this article such work is termed sumptuary labor. Although the ability of states to privatize sumptuary enforcement is a remarkable accomplishment, it is by no means a seamless one. Drawing on ethnographic fieldwork among bartenders and casino dealers, the article elaborates patterned conflicts of interest that arise during the performance (...) of sumptuary labor. Both firms and workers may fail to ensure eligibility for consumption, prevent overindulgence, or guarantee the purity of the problematic commodity. The article concludes by theorizing how liberal market states manage the potential decoupling of sumptuary policy and practice. (shrink)

This article seeks to subject Fred Block and Margaret Somers’ influential reconstruction of Karl Polanyi’s The Great Transformation to a systematic review. I show that Block & Somers’s central claim—that Polanyi’s thinking underwent a “theoretical shift” as he wrote his seminal book—is not supported by archival evidence. I demonstrate that all the narrative keys that Block & Somers advance to lend plausibility to their discovery of a “theory of the always-embedded market economy” in The Great Transformation, wither under (...) critical probing. While this article does not advance a comprehensive alternative reconstruction of Polanyi’s main work, the essential continuities it uncovers in his social thought suggest that Polanyi’s book is best understood as the culmination of his long-standing efforts to rebuild a radically transformative socialism on non-Marxist foundations. The recognition that Polanyi’s political purposes extend far beyond regulated capitalism or social-democracy, I conclude, makes it possible—and indeed necessary—to read The Great Transformation as an internally coherent work of social theory. (shrink)

This article contains an abstract of Dr. Sanjay Patnaik’s dissertation as well as a commentary essay on the research process in the appendix. In his dissertation, Dr. Patnaik examines the importance of the non-market environment for firm strategy and performance within the context of newly introduced regulations for greenhouse gases in Europe. The dissertation abstract contains a description of each dissertation chapter, including research questions, methodologies, and results. The commentary essay describes the author’s perspective on conducting research as an (...) emerging scholar. (shrink)

In this paper, I will argue that the current discussions about regulating certain activities concerning the pharmaceutical industry do miss a crucial point. The Pharmaceutical Industry is a story of success, providing a wealth of new discoveries and applied technologies, which have greatly enhanced our lives. The current call for strict regulation of the Pharmaceutical Industry makes the unwarranted assumption that such regulation will not disturb the mechanisms of the Industry’s success. I will claim that a centralised regulation profoundly transforms (...) the direction of travel. I will also claim that the role of the executive in bypassing regulations creates a parallel industry of subsidiary regulations to counter such bypassing. The predictable consequence is the increasing role of central regulatory control and the progressive slowing down of the success of the Pharmaceutical Industry leading towards an undesirable mediocrity. The conclusion I wish to advance is that our choices are not limited to ‘a wild open market’ and ‘a regulated open market’ scenarios, and the strategy to avoid a robustly regulated but mediocre Pharmaceutical Industry may involve ‘non-open market scenarios’ which have so far been absent from the alternatives discussed. (shrink)

The financial crisis of 2008–2009 presents us with the opportunity to not only understand what has happened in the markets but also to reflect on the purpose of the marketplace. Drawing from expert economic analyses, we first assess the central lesson of the crisis—the failure of self-regulation by rational self-interest to moderate externalized risk in financial markets. Second, we ask the philosophical question occasioned by the crisis concerning the moral meaning of economic activity: Is market exchange solely for the (...) sake of self-interest? Reflecting on the poetry of Kahlil Gibran and engaging with the recent encyclical of Pope Benedict XVI, we turn our attention from political economy to moral economy: the relationships among market exchange, self-interest, and the common good—and, in particular, the prior conditions of market exchange and their moral significance for the present crisis. (shrink)

Can platforms close the governance gap in the sharing economy, and if so, how? Through an in-depth qualitative case study, we analyze the process by which new regulation and self-regulation emerge in one sector of the sharing economy, crowdfunding, through the actions of a meta-organization. We focus on the principal French sectoral meta-organization, Financement Participatif France. We show that this multi-stakeholder meta-organization not only closed the governance gap through collective legal, ethical, and utilitarian work but also preceded and (...) shaped the new market. We present a hybrid governance approach combining soft multi-agency regulation, self-regulation through a process of “partial meta-organizing”, and direct civil society participation. We expand the literature by highlighting features of platforms’ partial meta-organizing and by identifying conditions for successful joint regulation and self-regulation of the sector. (shrink)

The view from inside improves our understanding on market failure and regulation failure in financial market. The EMH fails to understand the causes of financial bubbles and crashes. Behavioral finance introduces insight from psychology. The heuristic and biases approach studied behavioral asymmetry in static environment that leads to market irrationality and information distortion. The fast and frugal thinking in decision-making further explore more complex situation under changing environment. They argue that soft-paternalistic regulation is needed under information overload. (...) The most critical issue is information uncertainty and complexity. Lacking information in frequency domain is the main barrier in managing business cycles. Data form inside reveals current limitations of financial data mainly in the short-term price changes. Microstructure studies show that pricing process is shaped by trading rules. Quantitative analysis reveals severe instability in high frequency trading and derivative market. Feasible regulation should aim to encourage new technology and sustainable growth, rather than protect obsolete technology and short-term speculation. The most fundamental challenge to sustainable economic order is the excessive size of the derivative markets that crowding out investment in real economy. This is a more severe issue than the climate change. (shrink)

The proposed European Artificial Intelligence Act (AIA) is the first attempt to elaborate a general legal framework for AI carried out by any major global economy. As such, the AIA is likely to become a point of reference in the larger discourse on how AI systems can (and should) be regulated. In this article, we describe and discuss the two primary enforcement mechanisms proposed in the AIA: the _conformity assessments_ that providers of high-risk AI systems are expected to (...) conduct, and the _post-market monitoring plans_ that providers must establish to document the performance of high-risk AI systems throughout their lifetimes. We argue that the AIA can be interpreted as a proposal to establish a Europe-wide ecosystem for conducting AI auditing, albeit in other words. Our analysis offers two main contributions. First, by describing the enforcement mechanisms included in the AIA in terminology borrowed from existing literature on AI auditing, we help providers of AI systems understand how they can prove adherence to the requirements set out in the AIA in practice. Second, by examining the AIA from an auditing perspective, we seek to provide transferable lessons from previous research about how to refine further the regulatory approach outlined in the AIA. We conclude by highlighting seven aspects of the AIA where amendments (or simply clarifications) would be helpful. These include, above all, the need to translate vague concepts into verifiable criteria and to strengthen the institutional safeguards concerning conformity assessments based on internal checks. (shrink)

Public policy in post-apartheid South Africa has been characterized by a mix of state regulation and ‘neo-liberalism’. This article argues that this mix is rooted in the model of economic modernity adopted in South Africa in the 1920s and 1930s, and underpinned by the institutions of a modern state. In an economy transformed by mining and subsequent secondary industrialization, the state played a central role in facilitating capitalist growth, including through the regulation of labour. I argue that, contrary to (...) the conventional understanding, the enduring characteristic of the political economy of modernization in South Africa was not so much the mobilization of cheap African labour, mostly migrants from across Southern Africa, but was rather the institutionalization of high wages and protected incomes for economic, social and political insiders. Anglo-centric institutions and conceptions of industrial and social citizenship were adapted to the colonial context in South Africa. The imperatives of both gold-led capitalist industrialization and the governance of a society in which the settler or immigrant population remained a minority required that the African population was excluded from most dimensions of this citizenship. But the institutions, discourses and ideologies associated with high wages (for citizens) continued to structure economic life in South Africa through and after the apartheid period. South Africa’s mode of economic modernization thus reflects the possibly unique interaction of a British model of economic modernization with the social, economic and political realities of a colonial society. (shrink)

Present, as Manuel Castells (1996) notes, we live in the information age. Knowledge and the way it is acquired and processed are the driving forces of the economy, and information processing systems are the strength of economies. The aim of this article is to identify the key role of the information supply phenomenon in contemporary socio-economic processes. The initial part of the article will define such concepts as: information, infodemia, information market, in the further part examples of the (...) use of information in the process of forming social behaviour in the market context will be presented. For this purpose, three major economic crises from the turn of the 20th and 21st century will be used cross-sectionally. The first will be described as the dot-com crisis, i.e. the first global Internet players, which led to the collapse or loss of value of many global Internet platforms through the creation and bursting of a speculative bubble. The second crisis described below was related to the collapse of Lehman Brothers, a leading US bank, and the US housing crisis. In the above case, both supply and concealment of information in the public sphere could be observed. The last crisis described is the crisis related to the SARS-COV2 pandemic, in which dis- and mis- information activities proved to be crucial. (shrink)

Sharing-economy firms have opposed the application of antidiscrimination law to their transactions. At the same time, these firms have heralded their ability to achieve antidiscrimination aims without the force of law, and have adopted various measures to address discrimination. This Article documents and assesses these measures, focusing on the relationship between law and norms. Relying on the sharing economy as a case study, this Article shows how law can play a crucial role in spurring antidiscrimination efforts by firms (...) that it does not regulate, but also how antidiscrimination law might nonetheless be undermined by these voluntary efforts. (shrink)

The political shift toward an economic liberalism in many developed market economies, emphasizing the importance of the marketplace rather than government intervention in the economy and society (Dorman, Systematic Occupational Health and Safety Management: Perspectives on an International Development, 2000; Tombs, Policy and Practice in Health and Safety 3(1): 24-25, 2005; Walters, Policy and Practice in Health and Safety 03(2):3-19, 2005), featured a prominent discourse centered on the need for business flexibility and competitiveness in a global economy (...) (Dorman, 2000; Tombs, 2005). Alongside these developments was an increasing pressure for corporate social responsibility (CSR). The business case for CSR - that corporations would benefit from voluntarily being socially responsible — was increasingly promoted by governments and corporations as part of the justification for self-regulation. The aim of the article is to examine more closely the proposition that self-regulation is effective, with particular reference to the business case for workplace equality and safety. Based on a comprehensive literature review and documentary analysis, it was found that current predominant management discourse and practice focusing on diversity and safety management systems (OHSMS) resonate well with a government and corporate preference for the business case and self-regulation. However, the centrality of individual rather than organizational factors in diversity and OHSMS means that systemic discrimination and inherent workplace hazards are downplayed, making it less likely that employers will initiate structural remedies needed for real change. Thus, reliance on the business case in the argument for self-regulation is problematic. In terms of government policy and management practice, the business case needs to be supplemented by strong, proactive legislation, and worker involvement. (shrink)

This article tells the story of an Israeli regulatory program aimed at luring back home Israeli companies listed only on U.S. stock markets, to facilitate dual listing of their stocks on the Tel Aviv Stock Exchange. Beyond documenting a piece of Israeli political economy, this article provides several lessons of general relevance to small or emerging markets as well as to large ones. In this story, the regulator of the small market finds itself a regulatory price-taker. In a (...) mirror image, the U.S. market emerges as a global regulatory price-setter. This regulatory externality, or regulatory arbitrage, is disturbing because the standard with which Israeli regulation had to align is the watered-down version for non-U.S. issuers. Indeed, any effort to require an iota of additional disclosure beyond the American foreign issuer regime has failed due to vehement objections from the Tel Aviv Stock Exchange and business interest groups. The role of the stock exchange as regulator and the interplay between corporate law and securities regulation are also discussed in this context. This article thus casts some doubt on the desirability of piggybacking on foreign markets. Sometimes, it turns out, piggybacking can be a ride to the bottom. (shrink)

The purpose of the study is to develop proposals for the liberalization of the financial services sector of the economy of Turkmenistan in the context of the country's potential accession to the World Trade Organization. The article considers the problems and challenges that Turkmenistan may face in the process of negotiations on the terms of accession to the WTO. The scientific novelty lies in the theoretical justification of the expediency of maintaining the status quo in trade in financial services (...) in the short and medium term within the initial list of specific obligations of the country provided for by the GATS. As a result, in the conditions of macroeconomy and its transitional nature, taking into account the unpredictable volatility of hydrocarbon prices, it is recommended to leave the existing restrictions on access to the financial services market and on the national regime unchanged in the context of a gradual process of lifting restrictions on the movement of capital and its complete liberalization. (shrink)

The traditional command and control approach and the more recent free market have proven inadequate for promoting ecological agricultural development in China. Organic certification represents a regulated market mechanism with the potential to stimulate ecologically based agricultural research, extension, and investment. Recent linkages between the global organic food industry and local agricultural development in China provide an opportunity to test this potential. The article examines China’s two largest organic certification systems for their potential to promote the adoption (...) of integrated pest management (IPM) as a key component of ecological agriculture. Organic certification is providing a format for research, extension, and implementation of IPM principles and practices, and has the potential to do much more. However, possible contradictions between ecological and market rationality, inherent in organic certification and marketing systems, may be exacerbated by the authoritarian political economy of rural China. (shrink)

Does the level of marketing activity in a country contribute to societal well-being or quality of life? Does economic efficiency also play a positive role in societal well-being? Does economic efficiency also moderate or mediate the marketing activity effect on societal well-being? Marketing activity refers to the pervasiveness of promotion expenditures and number of retail outlets per capita in a country. Economic efficiency refers to the extent to which the economy is unhampered by corruption, burdensome government regulation, and a (...) large informal economy. We used secondary data from the World Bank and other statistical sources to answer these questions. Our study findings suggest that both marketing activity and economic efficiency contribute positively to societal well-being, and that economic efficiency plays more of a mediator than moderator role between marketing activity and societal well-being. The public policy implication of this study is that increases in marketing activity and economic efficiency in countries characterized as low on both dimensions should significantly increase the quality of life in those countries. (shrink)

"Of all the economic bubbles that have been pricked," the editors of The Economist recently observed, "few have burst more spectacularly than the reputation of economics itself." Indeed, the financial crisis that crested in 2008 destroyed the credibility of the economic thinking that had guided policymakers for a generation. But what will take its place? In How the Economy Works, one of our leading economists provides a jargon-free exploration of the current crisis, offering a powerful argument for how economics (...) must change to get us out of it. Roger E. A. Farmer traces the swings between classical and Keynesian economics since the early twentieth century, gracefully explaining the elements of both theories. During the Great Depression, Keynes challenged the longstanding idea that an economy was a self-correcting mechanism; but his school gave way to a resurgence of classical economics in the 1970s-a rise that ended with the current crisis. Rather than simply allowing the pendulum to swing back, Farmer writes, we must synthesize the two. From classical economics, he takes the idea that a sound theory must explain how individuals behave-how our collective choices shape the economy. From Keynesian economics, he adopts the principle that markets do not always work well, that capitalism needs some guidance. The goal, he writes, is to correct the excesses of a free-market economy without stifling entrepreneurship and instituting central planning.Recent events have shown that we cannot afford to treat economics as an ivory-tower abstraction. It has a direct impact on our lives by guiding regulators and policymakers as they make decisions with far-reaching practical consequences. Written in clear, accessible language, How the Economy Works makes an argument that no one should ignore. (shrink)

This book analyzes the political economy governing energy regulation across the African continent. Presenting case studies that span diverse energy sectors and countries, it provides an overview of their complex political and regulatory frameworks. The book explores emerging technologies and energy markets, highlighting Africa’s preparedness for the energy transition, and sheds light on the pivotal role of cross-border energy trade with regard to energy access. Further, it examines regulators’ influence within regional power pools, as well as their contribution to (...) gender mainstreaming in the energy sector, addressing vital social issues. This book is divided into five parts, the first of which focuses on the political economy of energy regulation. The second part discusses emerging technologies and climate change issues, while the third examines regional energy markets, and regional institutional collaboration. The fourth part features contributions on gender mainstreaming, while part five rounds up the coverage. The book will be of interest to policymakers and investors in Africa, as well as scholars interested in energy regulation and economics. (shrink)

A growing amount of media is paid for by its consumers through their very consumption of it. Typically, this new media is web-based and paid for by advertising. It includes the services offered by Facebook, Instagram, Snapchat, and YouTube. We offer an ethical assessment of the attention economy, the market where attention is exchanged for new media. We argue that the assessment has ethical implications for how the attention economy should be regulated. To conduct the assessment, (...) we employ two heuristics for evaluating markets. One is the “harm” criterion, which relates to whether the market tends to engender extremely harmful outcomes for individuals or society as a whole. The other is the “agency” criterion, which relates not to the outcomes of the market, but rather, to whether it somehow reflects or has its source in weakened agency. We argue that the attention economy animates concerns with respect to both criteria and that new media should be subject to the same sort of regulation as other harmful, addictive products. (shrink)

Control over food supply was advanced in the kingdom of France in the Eighteenth century by Physiocrat economists under the seemingly advantageous label of 'freedom of grain trade'. In 1764 these reforms brought about a rise in grain prices and generated an artificial dearth that ruined the poor, some of whom died from malnutrition. The King halted the reform and re-established the old regime of regulated prices; in order to maintain the delicate balance between prices and wages, the monarchy (...) tried to limit speculation in subsistence goods and achieved some success in regulating the provisioning of public markets. Le Mercier de la Riviere concluded that executing these reforms required more effective political control. After 1774 the new king gave the Physiocratic reforms a second chance, reforming property rights and establishing an aristocracy of the landed rich. Again, this led to price hikes and as a result so-called 'popular emotions' erupted. Turgot ordered military intervention to dispel the protesters, marking a first rupture between the monarchy and the people over speculation on subsistence. Turgot's experiment failed and he was dismissed, but the Physiocracy had discovered that the market in subsistence offered new opportunities for economic power under the misleading legitimacy of 'economic laws'. Turgot's followers, Dupont de Nemours and Condorcet, continued to develop this 'theory' that was later translated into a 'scientific language' that ultimately asserted the autonomy of the economic sphere and its alleged independence from ethics and politics. The paper examines the continuity of events through the six great jacqueries and the French Revolution, including the all- important agrarian reform that ensued after 1792. Robespierre's concept of 'popular political economy' is analysed and compared with the notion of unfettered private property rights that lies at the heart of neoliberalism. (shrink)

I argue for an egalitarian conception of market exchange that places the idea of equal power at the center of a procedural evaluation of markets. I explain the fundamental concept of equal power in markets and show that the egalitarian conception gives us a remedial basis for society shaping markets so that they allow a significant place for worker participation in firms. I use the phrase “worker participation” to mean that workers participate in the authoritative direction of the firm. (...) This can include collective bargaining and worker management to introduce the kind of flexibility that is desirable in regulating market economies. Worker participation is a remedy to the presence of rigidities in markets that strongly favor authoritarian firms and that follow from and maintain unequal power in markets. The argument differs from the traditional argument that draws a parallel between state and firm, and so does not entail a general requirement of worker participation. It allows for some degree of participation of owners of capital also in the governance of firms. (shrink)

Thus far, psychological input has been used in economics mainly to highlight the cognitive imperfections of market participants. The normative implication of behavioral economics in its current state is that imperfections of market participants should be rectified by psychologically informed regulators. However, regulators are themselves imperfect actors with limited cognitive capacities. I propose some biases and illusions documented by cognitive psychologists that may be relevant to the political economy of government regulation.

This essay armies that Kant's philosophy provides a justification for free markets. The myths about Kant are that he was a recluse, knew nothing about business, and that his epistemology divorced reason from reality, while his primary interest was metaphysics. Yet Kant's categorical imperative demands obedience even in the face of uncertainty about the external world. Adam Smith described this principle as the inward testimony of an impartial observer. Smith and Kant put individual decisions at the center of morality, but (...) agreed that people have a tendency to make morally inferior choices. Those who propose to regulate the economy are as troubled by this tendency as those they regulate. The self-sacrifice prescription is economically, psychologically, and morally unstable. In recommending market competition. Smith was unconsciously applying a Kantian formula. Market decisions are individual decisions. Individuals prefer to do business with those they trust: this is an incentive to honesty. A morality that depends upon incentives is imperfect but superior to a morality imposed by force. (shrink)

Intellectual property law plays a pivotal role in ensuring that luxury goods companies can recoup their investments in the creation and dissemination of their copyrighted works, trademarked logos, and patented designs. In 2011, global sales for luxury goods reached about $250 billion, and consumers in East and Southeast Asia accounted for more than 50 percent of that figure. The rapid expansion of the market has prompted some retailers to wield intellectual property against the influx of imitators and counterfeiters. The (...) Luxury Economy and Intellectual Property comprehensively explores the rise of the luxury goods economy and the growing role of intellectual property in creating, sustaining, and regulating this economy. Leading scholars across various disciplines critically consider the industry, its foundational intellectual property laws, and the public interest and social concerns arising from the intersection of economics and law. Topics covered include defining the concept of luxury, the social life of luxury goods, concerns about distributive justice in a world flooded by luxury goods and knockoffs, the globalization of luxury goods, and the economic, social, and political ramifications of the meteoric rise of the Asian luxury goods market. (shrink)

This essay explains how to use the calculus of consent framework to think more rigorously about self-governance, and applies this framework to the issue of evaluating federal regulatory agencies. Robust political economy is the idea that institutions should be designed to work well even under weak assumptions about decision-makers’ knowledge and benevolence. I show how the calculus of consent can be used to analyze both incentives and knowledge problems. The calculus is simultaneously a theory of self-governance and a tool (...) for robust political economy analysis. Applying this framework to the case of public administration leads to the conclusion that private goods (such as medicine) tend to be over-regulated, public goods tend to be under-regulated (such as enabling too much pollution), and regulatory agencies tend to be over-centralized (and should in most cases either be replaced with certification markets or moved to state level). (shrink)

Ce qu'on désigne par «nouvelle économie» regroupe un ensemble d'activités disparates: électronique, informatique, télécommunications, audiovisuel. Ces secteurs ont un certain nombre de caractéristiques communes qui peuvent justifier leur rassemblement dans une seule catégorie: économies d'échelle avec le développement de leur taille, productivité accrue, élévation du niveau de concurrence. Mais cela ne saurait cacher la profonde diversité des logiques de marché à l'oeuvre dans les différentes formes d'activité. Internet représente à cet égard un bon exemple de la variété des modèles économiques (...) qui devraient assurer les fondements des divers services présents sur la «toile». Même pour des services qui ressemblent, ou peuvent être assimilés, à l'offre de programmes télévisés, l'indicateur d'audience, tel qu'il est utilisé en télévision classique, ne pourra jouer le rôle central qu'il occupe dans cette dernière. D'autres instruments de régulation économique sont à inventer.The term "new economy" gathers together a set of ill-matched activities: electronics, computer science, telecommunications and the audiovisual industry. These sectors have some characteristics in common which them being put into the same category. They are economies of scale with size development, increased productivity and an increased level of competition. But this cannot hide the profound diversity of market logics used in these different forms of activity. In this respect, the internet represents a good example of the diversity of economic models aimed at constructing a basis for the various services available on the "net". Even for services which look like or can be assimilated with the television schedules on offer, audience indicators such as those used by traditional television will not be able to play the central role they play for television. Other economics regulation tools have to be invented. (shrink)

The history of market regulations provides an important perspective on the gendering of systems of food within the evolution of urban economies. This article addresses an important and distinctive period in this process, when New York shifted away from colonial and English-derived institutions in the first four decades of the nineteenth century. The legal status of women was unsettled during this time, introducing uncertainty into women's economic activities. New York City's public marketplaces were carefully regulated through a network (...) of ancient and sometimes arcane laws that inscribed particular activities within well-defined spaces while prohibiting them elsewhere. While these laws were derived from traditional English practices, enforcement was becoming increasingly legalistic rather than customary. While these market laws did not specifically invoke gender, they produced a system that was less navigable to women due to their problematic status as legal subjects. Because the system's navigability differed by commodity, these laws significantly shaped the gendered identity of foodstuffs, such as meat and fruit. Carefully delineating these legal constructions allows us to better understand how women navigated the real and conceptual spaces of the food system, and to see how the changing legal realities of New York impinged on women's employment. (shrink)

Recent popularity of the relationship of 'ethics' and 'economics' is at once revealing and misleading. It marks the withering away of a dogmatic confidence in a self-regulating and water-proof economic 'sphere'. It is also a muddled way of treating a number of interrelated but different issues: the interrelations between moralities (as historically given institutions) and markets (as partially self-regulating socially institutionalized mechanisms), the relationship between ethics and economic theory, and finally issues of distributive justice.

Cet article cherche à comprendre en quoi les initiatives d'économie solidaire can generate a process of democratisation of economic practices through local public spheres of deliberation and co-operation. The use of the political and philosophical concept of public space to explain certain economic regulation phenomena questions the common representation of the economic and political as two separate social spheres. After presenting different kind of local public spheres, we study the question of whether going beyond the public legitimization of other economic (...) local initiatives than market-exchanged oriented they can act as a new form of economic regulation which can influence the model of development. (shrink)

Under the market economy, a contract serves as the main regulatory instrument of mutual rights and obligations of private law subjects. Many different types of contracts allow people to satisfy their needs and to achieve the desired results. Most contracts are concluded subject to established common criteria, yet almost every type of contract has also its own specifics. The article examines the marriage contract with its particular features (subjects, content, etc.) and analyses its complex nature and its main (...) purpose. The institution of marriage contract is relatively poorly covered by academic research in Lithuania (academic papers on legal science provide only patchy analysis of these contracts); case law in the resolution of arguments originating from such contracts is also limited and thus not completely established. Despite controversial attitudes towards the purpose of marriage contract, the numbers of concluded prenuptial and postnuptial agreements increase from year to year, i.e. more and more individuals express their will to specify the content of property obligations and to define the legal regime of property. These contracts are usually concluded to avoid unpredictable division of property in case of divorce and to protect family members against possible future claims of third parties (creditors). Bearing in mind that legal provisions governing marriage contracts are subject to diverse interpretation, analysis of this institution appears timely and relevant. (shrink)

Mounting evidence suggests that socioeconomic status is a determinant of health. As nations around the globe increasingly rely on market-based economies, the corporate sector has come to have a powerful influence on the socioeconomic gradient in most nations and hence upon the health status of their populations. At the same time, it has become more difficult for any one nation to influence corporate activities, given the increasing ease with which corporations relocate their operations from country to country, As a (...) result of all of these factors, nations wishing to assure the health of their populations will need to both involve the corporate sector and cooperate with other nations.In this article, we review the business ethics literature and consider what justification it might provide for requiring multinational corporations to attend to concerns about population health. (shrink)

Faced with high levels of unemployment and discrimination in Poland, Polish women have made up a very large proportion of those leaving the former Communist states of central Europe, to work in EU member states. They have constituted a large undocumented migrant workforce in Europe, usually working as domestic workers and carers in the informal economy. Poland’s membership of the EU is starting to regulate Polish women’s work abroad and to increase their access to better paid and skilled work (...) in the formal labour market. New market-led immigration policies in Europe are still selective and restricted however. What Polish women really need from the EU is help in securing a new framework of gender equality and equal treatment in Poland that offers hope for an improvement in their rights at home. (shrink)

Is the modern large publicly traded business corporation compatible with a truly free market? The question itself may seem strange, even silly. Corporations are primary actors in what the media refer to as ‘the market economy’. Also, when the media refer to ‘the market’, they as often as not mean the stock exchange, which is the place where the shares of large corporations are traded. Moreover, during the age of socialist ascendancy, many defenders of the free (...) market have felt themselves moved to defend the corporation against socialist or ‘liberal’ attacks. Many genuine advocates of the free market even appear willing to make the stronger claim that a defence of the free market requires a defence of the corporation. In their view, defending the corporate form of business organisation is an essential part of the argument for the free market. Prima facie, there seems to be a strong case for saying that the large ‘publicly traded’ corporation is compatible with the requirements of the free market. Nevertheless, I believe classical liberals and libertarians have good reasons to question that view. First, what the media say is not always accurate even on the count of reporting facts, which supposedly is their core business. Conceptual analysis is not their forte. They do not have much consideration for the theoretical contexts from which terms such as ‘free market’ derive their significance or for the requirements of consistency in their use of such ‘theory laden’ terms. The stock exchange is a market of sorts, but it is not ‘the market’. In any case, the stock exchanges with which the media are familiar are not really free but rather heavily regulated markets. Second, socialist critiques of the corporation often were presented as critiques of free market capitalism and merited a vigorous response from the latter’s defenders.. (shrink)

Friedrich von Hayek’s classical liberalism argued that free markets allow individuals the greatest opportunity to achieve their ends. This paper develops an internal critique of this claim. It argues that once externalities are introduced, the forms of economic knowledge Hayek thought to undermine government action and orthodox utilitarianism also rule out relative welfarist assessments of more or less regulated markets. Given the pervasiveness of externalities in modern economies, Hayek will frequently be unable to make comparative welfarist claims, or he (...) must relax his epistemic assumptions and allow for greater government action than his classical liberalism would wish to accept. (shrink)

With the advent of the cloud computing era, big data technology has also developed rapidly. Due to the huge volume, variety, fast processing speed and low value density of big data, traditional data storage, extraction, transformation and analysis technologies are not suitable, so new solutions for big data application technologies are needed. However, with the development of economic theory and the practice of market economy, some links in the industrial chain of natural monopoly industries already have a certain (...) degree of competitiveness. In this context, the article conducts a research on the anti-monopoly supervision mode of platform economy based on big data and sentiment analysis. This paper introduces the main idea of MapReduce, the current software implementation specifies a Map function that maps a set of key-value pairs into a new set of key-value pairs. It specifies a concurrent Reduce function that guarantees that each of all mapped key-value pairs share the same set of keys. establishes a vector space model, and basically realizes the extraction of text emotional elements. It introduces the theoretical controversy of antitrust regulation of predatory pricing behavior of third-party payment platforms, and conducted model experiments. The experimental results show that the throughput of 40 test users in 1 h of test is determined by two factors, QPS and the number of concurrent, where QPS = 40/ transactions/second. The time for each test user to log in to the system is 10 min, and the average response time is 10*60 s, then the number of concurrency = QPS*average response time = 40/*10*60 = 6.66. This paper has successfully completed the research on the anti-monopoly supervision model of platform economy based on big data and sentiment analysis. (shrink)

AbstractDuring the last 20 years, the financial sector has undergone an unprecedented transformation due to new regulations and the implementation of several technological advancements. The combination of regulation and technology has brought about new financial processes that have fundamentally changed how financial market making is done. This paper studies the ethics of financial market making and its implications for one of the most controversial financial innovations of modern times, namely high-frequency trading (HFT). We claim that the Aristotelian distinction (...) between natural chrematistics, which is aimed at serving the real economy, and unnatural chrematistics, whose ultimate purpose is wealth accumulation, can be a useful criterion to assess the ethics of financial market making and the goodness of an innovation as HFT, and how it can serve the common good of society. This approach can be defined as ‘purpose oriented’ or ‘purpose fulfillment’. (shrink)

‘Isn’t it clear that a man must have the right to warn the majority, to argue with the majority, to fight with the majority if he believes he holds the truth? Before many can know something, one must know it!’ The words are Dr Stockman’s of An Enemy of the People1 and in a competitive market building upon a Smithian self-interest there might seem to be no room for people like him. Whatever the personal attitudes of the owners, managers (...) and employees, they would feel forced to behave in business like all of their competitors. Such is the logic of the basic driving forces in Western societies. It is a logic that necessitates lean and mean production, the substitution of labour with capital, relocation of production to places with low labour costs — also known as social dumping — or to places with less stringent environmental demands and/or less costly safety regulations. The traditional way to prevent this happening has been to use state intervention and regulation to curb the worst cases. But today many of the traditional harnesses on an unbridled market economy have been removed, such as controls on capital movements, trade across borders or regulation of sectors like transport, telecommunication, energy, utilities and so on. With this in mind we may ask whether there exists an alternative to state intervention that would contain or change the direction of the logic from within the logic itself. In other words, is it possible for a single or a few entrepreneurs to change the logic in such a way that external regulation is avoided or reduced, while finding answers to the problems and concerns caused by that logic? Of course there is a risk that these answers may consist of just a kind of exploitative riding of the waves of concerns and offering strange, Potemkin-like answers to for instance the clamour for environmental responsibility. Responsible entrepreneurship is something else, though. It consists in understanding genuine concerns and using one’s special knowledge in a certain field, to experiment and develop constantly improving answers to these concerns, giving a concrete form to emerging values, and raising the expectations of all those having these concerns. (shrink)

The US food regime maintained some degree of stability in terms of prices and production levels for commodities in the world economy. This food regime, resting on supply management policy, began to falter in the early 1970s. In the late-1980s and 1990s, notable changes occurred in the world economy regarding agriculture as the food regime became more market-oriented. The end of the twentieth century saw the breakdown of many institutions, organizations, and international agreements that had tried to (...) stabilize prices and production from 1945 to 1975. This paper examines this period of change and explores the effects on five commodities: cocoa, coffee, corn, soybeans, and wheat. These commodities offer important points of comparison. First, while cocoa, coffee, and wheat were regulated by international organizations and agreements, corn and soybeans were not. Second, the US dominated the international corn and soybean markets, but the cocoa, coffee, and wheat markets were much more competitive. And third, corn, soybeans, and wheat were commodities largely produced in the core of the world economy, while cocoa and coffee were produced in the periphery. Thus, comparing the effect of the fall of the US food regime on these commodities reveals the importance of previous regulation, the level of market competition, and geographic origin in the world economy. (shrink)

The present essay contends that progressive readings of Smith ignore the influence of theological concepts and religious ideas on his work, notably three distinct strands: first, seventeenth- and eighteenth-century natural theology; second, Jansenist Augustinianism; third, Stoic arguments of theodicy. Taken together, these theological elements help explain why Smith’s moral philosophy and political economy intensifies the secular early modern and Enlightenment idea that the Fall brought about ‘radical evil’ and a ‘fatherless world’ in need of permanent divine intervention. As such, (...) Smith views the market as divine regulation of human sinfulness and an instrument to serve God’s providential plan. Indeed, the ‘invisible hand of the market’ represents a nominalist realm where human cooperation intersects with divine providence, blending private self-interest with the public commonweal. I will also argue that Smith’s conception of a morally neutral market is ultimately incompatible with creedal Christianity, in particular orthodox catholic Christian ideas of the common good in which all can share and the practice of charity for those most in need who have been abandoned by state bureaucracy and the marketplace. The main reason is that Smith, not unlike Calvin, tends to divorce human contract from divine gift by dividing the theo-logic of gratuitous reciprocal giving from the economic logic of contract – a dualism that bears an uncanny resemblance with Suárez’s Baroque scholasticism of which Smith’s friend David Hume was rightly critical. In particular, the Reformation and Counter-Reformation theology of Calvin, Luther and Suárez sunders ‘pure nature’ from the supernatural and develops a ‘two ends’ account of human nature, according to which human beings have a natural end separate from their supernatural finality. So instead of participating in the divine oikonomia of asymmetrical gift-exchange, human society and the economy operate autonomously and are ordered towards a purely natural end. Smith conceptualises the market mechanism as both a fundamental precondition for interpersonal relationality and at the same time separate from the sociality it engenders. Smith’s anthropology hovers half-way between Machiavelli and Mandeville’s homo œconomicus in search for maximal profit, on the one hand, and the diametrically opposed conception of man as a gift-exchanging animal striving for mutual social recognition, on the other hand. By viewing market exchange as separate from the private virtues of benevolence, justice and prudence, he introduces a split between the exercise of moral virtues and the operation of commercial society. Such a divide is wholly foreign to the project of an overarching civil compact in the writings of Smith’s contemporary Antonio Genovesi and other members of the Italian schools of civic humanism and civil economy. In consequence, Smith’s œuvre marks a decisive shift from civil to political economy. (shrink)

The moral economy of American medicine has been transformed by contentious innovations in organization, administration, regulation, and finance. In many settings old fee-for-service incentives and disincentives have been replaced by those of ``managed care,'' while in other settings they have been diluted or distorted. In the everyday care of patients, old and new may alternate or interact. These innovations may also be having secondary effects on participation in life-sciences research and the development and employment of new technologies, discouraging collective (...) support for preliminary investigation and delaying adoption of improved goods and services until cost-reducing potential has already been realized. This motivational complexity, particularly in its moral dimensions, is hard to address using standard assumptions and methods. I argue for different assumptions, based on the clinical behavior of individual patients rather than the market behavior of aggregated consumers, and I describe a different method, based on an old idea in political economy. I then present a new way to explain the core obligations of clinicians, researchers, and planners and to interpret the policy problems they must now share. (shrink)

Since the sharing economy is a rather new phenomenon, there is still no official definition of it in the legal framework of Croatia. The continuous development of sharing economy started a few years after the 1998 global and domestic economic crisis stroked Croatia. Namely, a total of eight platforms in the sectors of transportation, accommodation, finance, and online skills could be identified. The total market share of these platforms amounts to estimated market revenue of roughly 106 (...) million EUR. When compared to the other EU Member States, it could be noticed that Croatia falls within the group of countries with a below-average performance by a number of platforms per 1 million population, as well as in the level of revenues compared to national GDP. Figures that are more promising can be detected regarding the collaborative economy’s contribution to national employment, which positions Croatia within the EU average. Future studies should explain in greater depth how the sharing economy poses several new challenges for regulators in Croatia and countries across the EU. In particular, policymakers must comprehend the big picture and provide regulatory guidelines to manage the long-term changes in job markets, public safety, competition, and digital trust. (shrink)

The purpose of this chapter is to analyse approaches to the sharing economy from the perspective of public policy science. In the first part of the text, attention is paid to perceiving the development of the emerging sharing economy not only as phenomenon with positive economic effects but also as a set of public problems (e.g., on the labour market and for existing economic structures) that require intervention at the level of national governments as well as at (...) international level. Subsequent sections identify possible actions for regulating the development of the sharing economy. The role of soft law, stakeholders’ networks, self-regulation and standardisation are discussed in the chapter. The summary includes potential directions for further research. (shrink)

Externalities are an important concept in economic theories of market failure, aiming to justify state regulation of the economy. This article explores the concept of externalities from a philosophical perspective. It criticizes the utilitarian nature of economic analyses of externalities, showing how they cannot take into account values like freedom and justice. It then develops the analogy between the concept of externalities and the 'harm principle' in political philosophy. It argues that the harm principle points to the need (...) for a theory of basic interests to judge when a harm is imposed. Similarly, externality analyses should use such a theory of basic interests as the basis for judgments about legitimate state intervention. This proposal is defended against objections, and illustrated with a case study of the US Supreme Court's ruling on the Affordable Care Act, which shows how the judicial reasoning implicitly interprets externalities in terms of basic interests. (shrink)

The E.U. is shortly before implementing the Digital Markets Act (DMA), which aims to regulate digital markets and (ideally) rein in the power of big tech gatekeepers. Several researchers claim that this proposal – and especially its goal to ensure the contestability and fairness of digital markets – is ordoliberal in nature, yet what is missing in the academic literature is a closer look at the parallels (and differences) between the E.U.’s competition policy (and the DMA) and ordoliberalism. This paper (...) tries to close the gap and help answer the question of whether the DMA is indeed standing in an ordoliberal tradition. Furthermore, it evaluates the Act’s institutional strengths and weaknesses – as seen from an ordoliberal perspective – and points out potential ways to strengthen E.U. competition policy (and the DMA) and bring it closer to the ordoliberal ideal. (shrink)

Can private companies legitimately regulate sharing markets, and if yes, how? Whereas scholars have either criticized sharing platforms for expanding into private and public arenas or welcomed them to counterbalance encroaching government regulations, studies document their unbridled popularity. On the basis of a special version of social contracts theory pioneered by James Buchanan, we develop a heuristics that helps guide reasoning about the legitimacy of the sharing economy’s regulatory function. First, we discuss the conditions under which free and responsible (...) individuals deliberately subject themselves to rules without their prior direct participation, that is, exit, voice, and constitutional limits. Second, we suggest sharing platforms can use novel ordo-responsibilities to establish a sharing constitution that takes these conditions into account. Third, we argue that sharing platforms can legitimately do so within an enabling institutional environment in society, the provision of which relies on the joint efforts of sharing platforms, political actors, and civil society. (shrink)

I discuss how the scientificity characterizing Adam Smith’s political economy has to exteriorize social conflict in order to sustain its objectivation of social interaction in terms of regulative laws. I claim that this exteriorization constitutes an internal point of subversion, not only because it resists economic objectivation, but first and foremost because it forces Smith to employ political strategies that both contradict and guarantee the scientificity of his theory. I show how the place of conflict in modern economy, (...) according to Smith, can actually be determined in three different ways: as a concrete place when it comes to the confrontations between workers and capitalists; as a theoretical place in the sense of being an arbitrary disturbance of the spontaneous organization of the market; and as a place that, as being the intersection between economic naturalization and social contingency, problematizes the scientificity of Smith’s political economy. In this sense, I develop three cases where Smith invokes an argumentative circularity that reveals the paradoxical politics of his economic scientificity, beyond its official laissez-faire politics: State coercion, monetary power and capitalist competition. (shrink)

I discuss how the scientificity characterizing Adam Smith’s political economy has to exteriorize social conflict in order to sustain its objectivation of social interaction in terms of regulative laws. I claim that this exteriorization constitutes an internal point of subversion, not only because it resists economic objectivation, but first and foremost because it forces Smith to employ political strategies that both contradict and guarantee the scientificity of his theory. I show how the place of conflict in modern economy, (...) according to Smith, can actually be determined in three different ways: as a concrete place when it comes to the confrontations between workers and capitalists; as a theoretical place in the sense of being an arbitrary disturbance of the spontaneous organization of the market; and as a place that, as being the intersection between economic naturalization and social contingency, problematizes the scientificity of Smith’s political economy. In this sense, I develop three cases where Smith invokes an argumentative circularity that reveals the paradoxical politics of his economic scientificity, beyond its official laissez-faire politics: State coercion, monetary power and capitalist competition. (shrink)

In 1972 a public choice model predicted that the incipient environmental movement in the United States would grow but encounter overwhelming industrial opposition. Twenty years later we find the model overstated this opposition. Environmental pressure groups were able to pass substantial legislation, resist counter forces, and reduce most targeted pollutants. A revised public choice model predicts that the success of the present global environmental movement depends on (1) information flows between scientists and the public on the potential costs of deterioration, (...) and (2) means for reducing the costs of regulation such as relying more on market incentives. (shrink)