Originating in the Anglo-American management literature, stakeholder thinking embraces a set of common reasoning and rests on a range of assumptions that pay little attention to the institutional variations across countries and regions with different economic systems. Our aim in this article is to contribute to the stakeholder literature by discussing the significance and implications of this institutional diversity for the stakeholder model.

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)

Since 1970 the United Kingdom, like the United States, has developed a “winner-take-all” political economy characterized by widening inequality and spectacular income growth at the top of the distribution. However, Britain’s centralized executive branch and relatively insulated policymaking process are less amenable to the kind of “organized combat” that Hacker and Pierson describe for the United States. Britain’s winner-take-all politics is better explained by the rise of political ideas favoring unfettered markets that, over time, produce a self-perpetuating structural (...) advantage for the richest. That advantage is, in turn, justified and sustained by reference to the same ideas. Inequality growth in the United Kingdom has been primarily driven by the financialization of the economy that began under the Thatcher government and continued under New Labour. The survival of pro-finance policies through the financial crisis provides further evidence that lobbying by a weakened City of London was less decisive in shaping policy than the financial sector’s continuing structural advantage and the tenacity of its supporting political consensus. (shrink)

In transitional economies, the governing central authorities impose heavy regulatory burdens on firms, which results in great costs for business in terms of time, resources, and other constraints. However, quality assurance through decentralized institutions (such as private certified management standards) is rapidly becoming more prevalent. This study examines the contingent implications that such decentralized institutions have for centralized regulation by focusing on the relationship between international certifications and regulatory burdens. As two prominent features of the institutional environment in emerging (...) economies, the threat of competition from the informal sector and corruption may influence the relationship between international certifications and regulatory burdens. These features are therefore examined in terms of their moderating roles. The study draws on institutional and signaling theories to interpret data from a survey conducted by the World Bank in China in 2012. The empirical results show that international certification is negatively associated with regulatory burdens. This relationship is strengthened by the threat of competition from the informal sector, but mitigated by a corrupt business environment. Our study contributes to the institutional literature and to research on international certifications, and it has implications for both business management and governmental policy. (shrink)

While Hume had a favorable opinion of the new commercial society, Reid envisioned a utopian system that would eliminate private property and substitute the profit incentive with a system of state-conferred honors. Reid’s predilection for a centralized command economy cannot be explained by his alleged discovery of market failures, and has to be considered in the context of his moral psychology. Hume tried to explain how the desire for gain that motivates the merchant leads to industry and frugality. (...) These, in their turn, benefit all society. Reid still saw the desire for money as a degenerate form of the desire for power. The contrast between Hume and Reid, however, has not to be taken too far. On some particular matters of economic policy, such as paper credit, Hume and Reid eventually came to similar views. (shrink)

This article explores the differences between two strategies of persuasion. The first strategy, called drawing things together, is Actor-Network Theory's classic analysis of how modern science has gained tremendous persuasive powers through systematic inscription and centralized accumulation of information traces. The second strategy, called drawing contrasts together, is derived from the author's empirical analysis of the rhetorics and materialities of a Scandinavian New Economy firm. The persuasive powers of this firm, it is argued, are based on its ability (...) to evoke and articulate a series of pointed contrasts between the attractive working life within the firm and the ordinary and problematic work life elsewhere. The article argues that both persuasive strategies work in a pragmatic sense. But where “drawing things together” enacts a relatively stable and knowable world, the persuasive strategy of “drawing contrasts together” depends on, and enacts, a world of dramatic epochal changes. (shrink)

Abstract:For decades, education has been inundated with neoliberal policies described as enabling its structures to adjust to a global knowledge economy. Located at the intersection of such "reform" language and classical liberal economic theory is a troubling paradox–the idea that knowledge should be centrally concentrated in order to "liberalize" education along free market lines. This essay considers implications of centralized knowledge for music education in light of this contradiction and the rhetoric that obscures it. To raise awareness of (...) this paradox, I briefly summarize some of the literature on neoliberalism and state intervention before examining the ideas of an individual skeptical of central knowledge planning despite his pivotal role in the birth of modern educational "reform": Peter Drucker. The ideological collapsing of Drucker's nuanced views by neoliberal interests stands in stark contrast with what could be a less instrumental argument for the development of problem-solving skills for lifelong benefit. Finally, I ask whether we reinforce this contradiction if we champion music's curricular legitimacy and relevance, yet fail to teach students to think musically for themselves as evidenced by prescriptive instructional methods or participation in standardizing musical knowledge through failure to resist the totalizing ideology of the audit culture. (shrink)

In a recent paper, Chomsky (1989) has proposed two principles which choose among competing transformational derivations. He calls them principles of “Economy of Derivation”. These are the Least Effort principle and the Last Resort principle, seen in (1a-b). (The _________ _________ _ _ nomenclature is partially my own: Chomsky uses the term “Principle of Least Effort” for (1a-b) together.).

China is moving from a centralized to a market economy to bring about efficiency in its economy and to form a business partnership with the West. With its reform adopting an open-door policy, there may be a need to assure its partners in the western world that appropriate steps would be taken to develop and foster a business culture with which the western countries and the Chinese businesses can work. The present study attempted to find whether there (...) has been a change in business ethical culture, accounting system and practice in the Chinese business between 1978 and the present, and the degree of similarity in the Chinese ethics and guidelines compared to Western ethics and guidelines. The result of the study has been analyzed from an institutional perspective to explore institutional change. The result showed that there is general growing support of Chinese management toward change in business ethical culture and practice. It was observed that there was not much similarity in the documents used for ethical guidance and control with those of the West. The findings of the paper are expected to be relevant to international investors and executives interested in investing or working in China. (shrink)

Criticism of the welfare state is mostly economic and administrative, relating to the resultant national debt and state bureaucracy. Budget cuts and privatization may help but not eliminate the difficulty. Yet, the primary concern of the welfare system is neither economic nor administrative; so, the force of this criticism is limited. To restrict the discussion to the defunct free-markets and centralized economies is to distort and to obstruct clear thinking on national priorities. Criticism of any welfare system should not (...) aim at the revival of these extremist solutions, but raise cost-effectiveness. All this holds for the medical sector in particular. (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)

Healthcare under the auspices of late‐stage capitalism is a total institution that mortifies nurses and patients alike, demanding conformity, obedience, perfection. This capture, which resembles Deleuze's enclosure, entangles nurses in carceral systems and gives way to a postenclosure society, an institution without walls. These societies of control constitute another sort of total institution, more covert and insidious for their invisibility (Deleuze, 1992). While Delezue (1992) named physical technologies like electronic identification badges as key to understanding these societies of control, the (...) political economy of late‐stage capitalism functions as a total institution with no cohesive, centralized, connected material apparatus required. In this manuscript, we outline the ways in which the healthcare industrial complex demands nurse conformity and how that, in turn, operationalizes nurses in service to the institution. This foundation leads to the assertion that nursing must foster a radical imagination for itself, unbound by reality as it presently exists, in order that we might conjure more just, equitable futures for caregivers and care receivers alike. To tease out what a radical imagination might look like, we dwell in paradox: getting folks the care they need in capitalist healthcare systems; engaging nursing's deep history to inspire alternative understandings for the future of the discipline; and how nursing might divest from extractive institutional structures. This paper is a jumping‐off place to interrogate the ways institutions telescope and where nursing fits into the arrangement. (shrink)

The meaning of sustainability is the subject of intense debate among environmental and resource economists. Perhaps no other issue separates more clearly the traditional economic view from the views of most natural scientists. The debate currently focuses on the substitutability between the economy and the environment or between “natural capital” and “manufactured capital”—a debate captured in terms of weak versus strong sustainability. In this article, we examine the various interpretations of these concepts. We conclude that natural science and economic (...) perspectives on sustainability are inconsistent. The market-based Hartwick-Solow “weak sustainability” approach is far removed from both the ecosystem-based “Holling sustainability” and the “strong sustainability” approach of Daly and others. Each of these sustainability criteria implies a specific valuation approach, and thus an ethical position, to support monetary indicators of sustainability such as a green or sustainable Gross Domestic Product. The conflict between “weak sustainability” and “strong sustainability” is more evident in the context of centralized than decentralized decision making. In particular, firms selling “services” instead of material goods and regarding the latter as “capital” leads to decisions more or less consistent with either type of sustainability. Finally, we discuss the implications of global sustainability for such open systems as regions and countries. Open systems have not been dealt with systematically for any of the sustainability criteria. (shrink)

A comparative study of business related values among business students was conducted over the last 10 years in two neighbouring countries. Although Estonia and Finland are culturally related, according to an empirical study of managerial values, including the ethical values of business students, the two countries display significant differences. During the last decade, Estonia has changed from being a country characterised by an authoritarian, centralized, totalitarian state socialism, to a democratic country with a free market economy and different (...) attitudes and values. At the same time Finland has experienced almost a century of capitalism and democracy. It is argued that the differences in values exhibited by these two countries could be explained by using the institutional and historical context. The authors propose a model of value hierarchies in relation to institutionalism. (shrink)

A. Two conceptions of moral legitimacy Socialism, understood as the rejection of markets based on private property in favor of comprehensive centralized economic planning, is no longer a serious political option. If the core of capitalism is the organization of the economy primarily through market competition based on private property, then capitalism has certainly defeated socialism. Markets have been accepted—and central planning abandoned—throughout most of the “third world” and the formerly Communist states. In the advanced industrial states of (...) the West, Labor and “democratic socialist” parties have rejected socialism, having deregulated markets and privatized industries, utilities, and transport. The United Kingdom Labour Party’s 1945 manifesto declared it to be a “Socialist Party, and proud of it. Its ultimate aim is the establishment of the Socialist Commonwealth of Great Britain.”1 Today it insists that markets are a given. (shrink)

In lieu of an abstract, here is a brief excerpt of the content:Two Cheers for Blueprints, or, Negative Reasons for Positive UtopianismAntonis Balasopoulos (bio)It is well known that the decline of programmatic or so-called blueprint utopias and utopianism came on the heels of a widespread and concerted attack against them during the first two decades of the Cold War. In the writings of thinkers like Hayek, Popper, Talmon, Kolakowski, and many others, program became synonymous with hubris.1 It was construed as (...) a dangerous effort to regulate the diversity of human subjectivity and the complexity of the social organism, a repressive will-to-order and predictability that tainted utopias by associating them with Totalitarianism. In Popper’s exemplary exposition:The Utopian attempt to realize an ideal state, using a blueprint for society as a whole, is one which demands a strong centralized rule of a few, and which therefore is likely to lead to a dictatorship. [...] [Utopia] claims to plan rationally for the whole of society, although we do not possess anything like the factual knowledge which would be necessary to make good such an ambitious claim.2 [End Page 489]Yet, though this view of how Utopia, to recall Robert C. Elliott, became “a bad word,” is accurate in itself, it also reflects only the negative or destructive side of Cold War anti-utopianism, a trend whose logical inconsistencies and ideological biases have already been ably dissected in the work of Russell Jacoby, Marc Olssen, and Darren Webb, to name but a few.3What one could term the “positive” or “productive” side of anti-utopian denunciations of the dogmatically programmatic character allegedly inherent in utopias went well beyond the exigencies of generating a geopolitical and ideological enemy image. It involved an effort to reconcile western subjects to seismic and highly consequential shifts within postwar, late-capitalist societies themselves. If, as I have argued elsewhere, utopian fictions (and, indeed, nonfictions) before the Cold War period can be read as fictions of organization—of everything from architecture and urban planning, to production, sexuality and biological reproduction, clothing, or diet—it is also the case that in them, “organization” is a response, a reaction to traumatic historical experiences of disorganization, from the decline of the ancient city-state in the case of Platonic utopianism; to the impoverishment and dislocation of rural communities in the era of Thomas More; to the experience of the fracturing of religious community during the religious, civil, and international wars that marked the seventeenth century; to the dramatic impact of early nineteenth-century industrialization on artisanal and agrarian communities, on family cohesion and on the rhythms of the premodern working day.4My argument is, then, that the anti-utopian denunciation of blueprint and program was not simply motivated by the liberal capitalist attack against the planned and highly regulated character of economy and society in the countries of so-called actually existing socialism. It was also motivated by the ideological need to normalize and legitimize the transition, within western capitalist societies themselves, to what Scott Lash and John Urry called “disorganized capitalism.” Lash and Urry’s book, originally published during the decade of the triumphant rise of neoliberalism, in 1987, launches its investigation by tellingly quoting the passage of Marx and Engels’s Communist Manifesto that focuses on the creatively destructive aspects of capitalist social transformation: the bourgeoisie, Lash and Urry observe, is a class “with vested interest in change, crisis and chaos”; the social world over which it presides is one “which swings wildly out of control, menacing and destructive.”5 In their introduction, the authors outline the basic features of the postwar shift from the organized capitalism of the mid-nineteenth and early twentieth centuries to its disarticulated successor formation during the rise of [End Page 490] neoliberal governance. Under the rubric of “disorganization” (which is to say, of a mutation within the western capitalist economic and social order), they include de-industrialization and the decline in the absolute and relative size of the working class in the core capitalist economies; the rise of flexible forms of labor organization in the place of defunct Taylorist principles; the weakening of trade unionist organization; the increasing decoupling of large monopolies from the control and regulation... (shrink)

The Nordic countries aim to have a unique place within the European and global health data economy. They have extensive nationally maintained and centralized health data records, as well as numerous biobanks where data from individuals can be connected based on personal identification numbers. Much of this phenomenon can be attributed to the emergence and development of the Nordic welfare state, where Nordic countries sought to systematically collect large amounts of population data to guide decision making and improve (...) the health and living conditions of the population. Recently, however, the so-called Nordic gold mine of data is being re-imagined in a wholly other context, where data and its ever-increasing logic of accumulation is seen as a driver for economic growth and private business development. This article explores the development of policies and strategies for health data economy in Denmark and Finland. We ask how nation states try to adjust and benefit from new pressures and opportunities to utilize their data resources in data markets. This raises questions of social sustainability in terms of states being producers, providers, and consumers of data. The data imaginaries related to emerging health data markets also provide insight into how a broad range of different data sources, ranging from hospital records and pharmacy prescriptions to biobank sample data, are brought together to enable “full-scale utilization” of health and welfare data. (shrink)

p208 A century ago, during the early stages of the corporatization of the United States, discussion(about these matters)was quite frank. Conservatives a century ago denounced the procedure, describing corporatization as a "return to feudalism" and "a form of communism," which is not an entirely inappropriate analogy. There were similar intellectual origins in neo Hegelian ideas about the rights of organic entities, along with the belief in the need to have a centralized administration of chaotic systems like the markets, which (...) were out of control. It's worth bearing in mind that in today's so called "free trade economy" a very large component of cross border transactions (which are misleadingly called trade), probably about 70 percent of them, are actually within centrally managed institutions, within corporations and corporate alliances, if we include outsourcing and other devices of administration. That's quite apart from all kinds of other radical market distortions. (shrink)

The gender-based wage gap in Swedish banks began to increase in 1983 after many years of decline. The growth in the gap between the wages of nonmanagerial women and men employees was particularly high. This article asks, How did this happen? Wage setting, part of the processes of control in capitalist economies, is accomplished through concrete practices under specific historical conditions. The author studied these practices and conditions to understand the increasing wage gap. Through interviews and examination of union and (...) management documents, the author constructs an account of a wage-setting process that, in spite of a strong union and centralized bargaining, allows management to make discretionary wage decisions that favor raises for men over raises for women. Since 1983, competition and deregulation in the banking sector as well as union strategies have created conditions in which an increasing proportion of annual wage increases have been distributed on a discretionary basis. This has led to an increase in the wage gap. The author concludes that policies to raise women's relative wages should pursue general, across-the-board bargaining rather than individualized wage setting. (shrink)

All our previous political experience, and especially, of course, the experience of Eastern Europe and Central Asia, offers little hope that democracy can coexist with the centralized allocation of economic resources. Indeed, simple observation suggests that a market economy with private property rights is a necessary, although not sufficient, condition for the existence of a democratic political regime. And this accords fully with the political theory of liberalism, which emphasizes that private rights, both civil and economic, be protected (...) and secure. At the same time, our previous experience also indicates that market economies are more successful than centrally planned economies not only in producing, but also in distributing, both private and collective goods. This economic experienee is supported by neoclassical economic theory, which treats clearly defined and secure rights to private property as essential to a market economy. (shrink)

The meaning of sustainability is the subject of intense debate among environmental and resource economists. Perhaps no other issue separates more clearly the traditional economic view from the views of most natural scientists. The debate currently focuses on the substitutability between the economy and the environment or between “natural capital” and “manufactured capital”—a debate captured in terms of weak versus strong sustainability. In this article, we examine the various interpretations of these concepts. We conclude that natural science and economic (...) perspectives on sustainability are inconsistent. The market-based Hartwick-Solow “weak sustainability” approach is far removed from both the ecosystem-based “Holling sustainability” and the “strong sustainability” approach of Daly and others. Each of these sustainability criteria implies a specific valuation approach, and thus an ethical position, to support monetary indicators of sustainability such as a green or sustainable Gross Domestic Product (GDP). The conflict between “weak sustainability” and “strong sustainability” is more evident in the context of centralized than decentralized decision making. In particular, firms selling “services” instead of material goods and regarding the latter as “capital” leads to decisions more or less consistent with either type of sustainability. Finally, we discuss the implications of global sustainability for such open systems as regions and countries. Open systems have not been dealt with systematically for any of the sustainability criteria. (shrink)

The price of Bitcoin is once more soaring. From early October 2020 to early January 2021, the price of a single Bitcoin token went from roughly $10,000 to nearly $65,000, reinspiring the hopes of the crypto-faithful in the inevitability of a future beyond centralized banking and leaving the rest to dread the jargon of computational libertarianism. The speculative betting driving this recent price action, however, belies a more rudimentary and overlooked shift in the digital economy signaled by cryptocurrencies (...) and Bitcoin in particular. Unlike an earlier industrial logic that sought to reduce heat loss and improve efficiency to maximize surplus value, Bitcoin’s proof-of-work system shifts the basis of value production from efficiency to inefficiency. Moreover, it does so by using a cryptographic algorithm whose purpose is to destroy the meaning of its inputs. Through an exploration of Bitcoin’s proof-of-work technics and its inversion of traditional models of value extraction, the text argues that Bitcoin reveals a profound transformation in the nature of surplus represented by computational capitalism. (shrink)

Based on quantitative indicators for fifteen advanced countries between 1974 and 2005, and case studies of France, the United Kingdom, Germany, Italy, Sweden, and Ireland, this article analyzes the trajectory of institutional change in the industrial relations systems of advanced capitalist societies, with a focus on Western Europe. In contrast to current comparative political economy scholarship, which emphasizes the resilience of national institutions to common challenges and trends, it argues that despite a surface resilience of distinct national sets, all (...) countries have been transformed in a neoliberal direction. Neoliberal transformation manifests itself not just as institutional deregulation but also as institutional conversion, as the functions associated with existing institutional forms change in a convergent direction. A key example is the institution of centralized bargaining, once the linchpin of an alternative, redistributive and egalitarian, model of negotiated capitalism, which has been reshaped in the past twenty years to fit the common imperative of liberalization. (shrink)

Changes brought by the rise of the global economy and the end of the Cold War era have resulted in industry, government, and university rethinking their roles vis-à-vis research and development, basic versus applied research, and the role of corporate research. Since the mid-1980s, industrial research in the United States has been going through restructuring. Interviews with seventy-two scientists and eighteen managers working in six centralized corporate R&D laboratories in high-technology industry show that a new culture of dependence (...) with a mission-oriented approach is replacing the cherished culture of independence with a result-oriented approach. (shrink)

We can think of the club not as a small business, but as a would‐be “anarchist‐syndicalist commune.” Anarcho‐syndicalism is a kind of anarchism based in labor unions, where workers take control of the economy not through a top‐down government bureaucracy but through revolutionary labor associations called “syndicates. The club resembles just such a syndicate: it's hierarchical, but, unlike capitalist enterprises, it is a democratically governed hierarchy. The state is essentially an instrument of class struggle and will gradually “wither away,” (...) as both the “anarchy” of capitalist markets and the centralized command economy are replaced with socialist anarchism. This chapter portrays the difference between Marxists and classical anarchists such as the French Pierre‐Joseph Proudhon and the Russian Peter Kropotkin, for whom the state should immediately be abolished. SAMCRO seems anarchistic in its principal economic relations, too, with decisions about production, distribution, and labor made by members of the MC collectively. (shrink)

The government of Ontario has adopted wind energy development as an alternative energy source. It enacted the Green Energy and Economy Act, May 2009, with the intention to fast track the approval process regarding industrial wind turbines. The Act legislated a centralized decision making process while removing local jurisdictional authority. Throughout this process, the government reassured the public of inexpensive and reliable electricity. This article explores the costs and benefits related to the renewable energy policy established in Ontario, (...) Canada. (shrink)

continent. 1.1 (2011): 22-25. The Author gratefully acknowledges the financial support of CAPES (Coordenação de Aperfeiçoamento do Ensino Superior), Brazil. From the multifarious subdivisions of semiotics, be they naturalistic or culturalistic, the realm of semiotics of value is a ?eld that is getting more and more attention these days. Our entire political and economic systems are based upon structures of symbolic representation that many times seem not only to embody monetary value but also to determine it. The connection between monetary (...) and linguistic exchanges is self-evident: the former requires the latter and develops in direct relation to it. Creative experimentation and design of digital systems of value exchange are blossoming on the web. Dr. Gilson Schwartz, an economist turned media theorist and professor at the University of São Paulo, adopted the concept of Iconomics, originally created by Michael Kaplan, an author concerned with the linguistics of economic value. Empowering local communities and unlocking new levels of value creation and representation via digital technologies are the main goals of Dr. Schwartz’s projects, aiming at the re-designing of our relationship to the economic value of imagination and the social control of property. Schwartz is Assistant Professor at the School of Communication and Arts of the University of São Paulo, a former Chief Economist at BankBoston, Brazil and Advisor to the President of the National Social and Economic Development Bank (BNDES). FURTHER READING: Kaplan, Michael. “Iconomics: The Rhetoric of Speculation.” Public Culture . 15.3 (2003): 477-493. Renata Lemos-Morais: You have recently produced and directed a short documentary about Creative Currencies in Latin America. Could you tell us a bit about its process and its findings? Gilson Schwartz: The “Creative Currencies” project is a work-in-progress platform which unfolds as an action research agenda connected both to the production of audiovisual content and the development of social currency software. The initiative dates back to 2003 when I led an experimental project supported by the Presidency of Brazil. At that time, we issued paper currency in a small, touristic village in the Northeast Region which stimulated local cultural projects. But it was only in 2009 that the Central Bank of Brazil acknowledged “social currencies” as a legitimate economic agenda, calling for more debate at the I Financial Inclusion Forum. This year, the monetary authorities organized a second forum that also opened the room to discussions on mobile payment systems and new perspectives on poverty alleviation via State subsidies. The Ministry of Culture funded the “Creative Currencies” project in 2009-2010 and our next stage in this discovery process is to be supported by the National Social and Economic Development Bank (BNDES). In short, there is genuine interest among public officials in different areas and public funding for social currencies is on the rise in Brazil. However, after all these years we are still at a very early stage of research and practice. Some of the most successful initiatives (such as Banco Palmas) actually evolved out of local monetary creation to become correspondent banking operations for commercial banks and other financial groups. After eight years of price stability and social inclusion, Brazil stands out as a major opportunity for social experimentation, even the Grameen Bank is now entering the Brazilian market and many NGOs are geared towards different forms of entrepreneurialism in the base of the pyramid, riding solidarity economic models, microfinance and microcredit for local development. It is yet to be seen, however, whether these developments are just one more stage of “bankarization”, that is to say, an extension of regular banking services or actually a new form of social and symbolic self-determination at the local level. So far, the Central Bank of Brazil is open to new forms of credit and local finance as long as they are strictly territorial and very close to barter among the poor. In other words, whether the process of monetary creation could be made to fit an open source paradigm is yet to be seen. Community banking and social currencies might as well end up as just another channel for access to and use of banking services. The “Creative Currencies” project aims at promoting the discussion of more fundamental issues, such as the limits of central banking, the prospects for local financial development and the possibility of creating and managing financial icons as cultural assets. The purpose of this project is to produce short documentaries that will bear testimony to this evolving regulatory framework while inducing more discussion about the fundamental iconomic issues concealed in the process of money and wealth creation. RLM: What new potential is there in applying digital technologies to currency creation? GS: Globalization is a result of the virtualization of money, that is, the overcoming of illusions such as the “gold standard”. Money is an icon created by institutions, not on supposedly natural or material foundations but out of political and financial interests. The “dollar standard” is an outstanding evidence of this phenomenon and Kaplan´s paper, the first to use the expression “iconomics”, insists on the rhetoric and semiotic effects associated to a supposedly scientific model of money creation and management. This is a fundamental change that was perceived and discussed much before the digitalization of the world by unorthodox economists such as John Maynard Keynes since the early 20th century. The digitalization of global financial flows accelerated this immateriality and the creation of the Euro was yet another evidence of the political foundations of currencies. The banking establishment, however, is keen on the idea that scientific formulae hold the key to sound money creation. Keynesianism has been repeatedly associated to “inflationism” while the supposedly sound monetary policies of the Orthodoxy serve well the political and financial interests of a technocratic elite. Corporate media also serve this fictitious depiction of the monetary process despite the cyclical bust of monetary rules and financial regulations. The internet, however, has created numerous opportunities for the disintermediation in industries such as film, music and commodities. There is no reason to doubt that the financial industry can also be transformed by Peer-to-Peer (P2P) infrastructures. Money is media as well. Credit is but confidence. Once people realize that the distributed computing power of networks can also be the platform to weave new monetary and credit operations, there is room for grassroots emancipation out of the established owners of monetary institutions. So far, however, there has been a privatization of monetary management and there is not a clear path or model for the emergent (P2P) property democratization that is inherent to the internet. Digital assets, however, clearly have an inherent potential to escape central control and proprietary regulatory frameworks. RLM: How are social networks transforming the ways in which we exchange value? Do you believe that online influence and reputation might be translated into a new kind of currency? GS: The foundation for social currencies as envisaged by solidarity economics is the territory. Authorities are willing to concede local monetary creation as long as it is restricted to poor neighborhoods, as a proxy to barter. In this relevant but limited context, reputation, personal knowledge and informal ties form the matrix of local or “proximity” finance which are expected to keep credit and leverage to a sustainable level. Anything beyond that should and would lead to an integration of local finance into the established banking system. However, inasmuch as the internet promotes virtual territories and reputation is now subject to all sorts of digital manipulation and stardom becomes an everyday cultural process among teenagers and elders alike, the territorial “foundation” is substituted for more complex patterns of solidarity, cooperation and exchange that reach beyond the physical territory and even the “human.” Digital assets embody knowledge, technology, cultural and educational values that are exchanged at a global scale beyond the control of democratic States (Chinese-like intervention is the exception, not the rule). Hacktivism is unstoppable and so is monetary hacktivism. Especially in the Third World, mobile communications fast became conveyors of money transfers and other appropriation strategies. Banking and telecom sectors already battle for the control of these emerging markets and, as a matter of fact, have so far contributed to the containment of these processes. Governments serve these moguls and have usually adopted a wait-and-see attitude. If open source hardware and grassroots social movements combine to challenge these proprietary battles, then social networks may evolve into new forms of social capital and thus form the ground on which to design and implement social currencies. The global financial crisis, as well as the dollar demise, are an event of such a proportion that social networks may open the path for emancipator subjects to seize the opportunity. RLM: What are some of the social experiments that you think are revolutionizing the way in which value is exchanged? GS: There is a broad evolution of economic systems towards the valuation of intangible assets such as knowledge, reputation and sustainability. There are many examples of local as well as global events that call the traditional systems of exchange into question, from carbon credits to educational bonuses, digital barter frameworks and locally based solidarity and fair trade networks. These emerging examples, no matter how different in nature or scale, represent a challenge to the traditional value creation schemes and theories which are based on use and exchange value, supply and demand. This is not to say that utility and labour or scarcity are to be totally dismissed, but there is now an emerging perception that value is also a function of behavioral codes, symbolic patterns and the energy of institutional frameworks. The plasticity of digital platforms is relevant insofar as intellectual property becomes the central source of value creation. But when you discuss the property rights of public goods such as the environment or basic social rights (of minorities or localities), then a new paradigm seems to emerge. RLM: Are gaming and online storytelling digital practices that might have an impact on the way new currencies are created and developed? GS: “Play money” has been one of the early and most intriguing phenomena associated to the diffusion of virtual worlds. These virtual currencies have also been prone to “boom and bust” dynamics, speculation and pure theft (Second Life scams were common and led to “intervention” by the owners of the game). Storytelling is a major source of value, that is, the value of attention and the markets for audience. There are plenty of private monies created and managed by corporate entertainment groups, telecom operators (via mobile virtual network operators) and marketing frameworks. The casino economy, as already depicted by Keynes and other unorthodox economists, is always storytelling about future states of the world, confidence building and leverage of animal spirits. The novelty of current events is not the fictitious nature of any form of capital, but the potential for digital democratization of controls over the imaginary nature of value creation. But this is just a potential, a possibility, a figment that more often than not is appropriated by centralized and opaque private powers. The game industry is a testbed for new connections between storytelling and money creation. RLM: Monetary value was originally connected to the scarcity of precious metals, such as gold. Our entire monetary system seems therefore to function according to a logic of scarcity. Do you believe it is possible to reverse this logic into a logic of abundance? GS: The gold standard was a fiction itself, the “scarcity” is always produced by institutions that regulate confidence and access to credit. The key issue is not to fabricate abundance, but to question the institutions which produce scarcity out of any standard, gold or whatever. Central banks are at the service of private banks in the creation and management of scarcity. RLM: The promise that nanotechnology holds for our future is one of radical abundance (or so say transhumanists). The possibility of creating any kind of material substance through nanoengineering seems each day more feasible. What would this possibility entail in terms of systems of value exchange? GS: Nanotechnology, environmental concerns and grassroots appropriation of distributed knowledge are the frontiers of a new horizon of energy creation and management. Social groups in charge of managing scarcity for the sake of wealth and power concentration must be held accountable for the destruction of our future. Once this key political conundrum is accounted for, new systems of value exchange and even a non-mercantile society will come into existence. Revolutionary theorists such as Marx envisaged transformation via the extreme clash of contradictions between capital and labour. This approach has never led to a change in the systemic logic of scarcity for the sake of social control. We are once again facing the threshold of large scale societal change, but the outcome of the current crisis should come from our imagination, not from yet another paradox of abundance and scarcity. As long as we remain attached to the materiality of value, the illusion of freedom will but reinforce the massive manipulation of necessity. RLM: What do you think is the role of crowdfunding in this context? GS: Crowdsourcing as well as crowdfunding are examples of the peer to peer opportunities that come along with distributed computer power. However, the power structure behind wealth and scarcity creation may or may not be changed by crowd management. But it should not be taken at face value, so to speak. The stock market of course is an early form of crowdfunding without calling into question the proprietary framework of the companies offering their investment projects to the market. Any market is a form of crowdsourcing, that is to say, of distributed forms of supply and demand matchmaking. The wealth of networks, however, depends on the contractual ecosystem, the institutional framework, the channeling of social imagination, not on the purely quantitative distribution of bids and offers. I see economics as supply, demand and code. Once you have access to the code, once openness becomes part of the game, then there is a chance of crowd behavior becoming collective intelligence and sustainable imagination. RLM: Is the development of digital currencies headed towards a pluralistic ecology in which many micro currency systems co-exist, or is it penetrating the mainstream monetary system? If it is affecting the mainstream financial system, what would be its effect in the long-term? GS: The same issue is at stake both at local and global levels. The global system is, as a matter of fact, an unstable ecosystem of “micro currencies” whereas the dollar has so far exerted an overwhelming influence. Local currencies and private monies coexist with national currencies only to the extent that the Central Bank admits, for instance, that grassroots monetary emissions remain territorial and strictly connected to poverty. However, the question of how new developments in digital technologies and nanotechnologies might alter not only our current monetary systems but also our understanding of value in itself, is still an open question. (shrink)

The classical liberal approach to deregulation is based on the consecutive elimination of state regulatory activities and their substitution by competitive market structure. Increasing competition accompanied with decreasing arbitrary state agencies’ interventions will undoubtedly cultivate the behaviour of market agents and bring benefits to consumers.The classical liberal approach to deregulation is incompatible with the EU deregulation model, which in case of network industries is still based on the permanent existence of regulatory agencies, Third-Party-Access, public service liability, centralized control of (...) investments and the negative reciprocity. The adoption of these principals will at least delay deregulation process in transition economies but will likely preserve the cartel structure on the utility markets.Economics of regulation and implicitly economics of deregulation is a product of the Chicago School of Economics. Since current “deregulation process” leads to tighter regulation, the adequate term for it should be the reregulation.L’approche libérale classique de la réglementation repose sur l’élimination de la réglementation étatique et leur substitution par des structures marchandes concurrentielles. Une concurrence accrue et une diminution des interventions arbitraires de l’état ne pourront que modifier le comportement des agents sur le marché et engendrer des bénéfices pour les consommateurs.L’approche de la déréglementation du libéralisme classique est incompatible avec le modèle de déréglementation de l’Union Européenne : dans le cas des industries en réseau, ce dernier demeure fondé sur l’existence continue d’agences de réglementation, la responsabilité du service public, le contrôle centralisé des investissements et la réciprocité négative. L’adoption de ces principes aura pour effet au moins de retarder le processus de déréglementation dans les économies en transition et probablement aussi de préserver la structure cartellisée des marchés de services publics.L’économie de la réglementation, et par implication, l’économie de la déréglementation est une contribution émanant de l’Ecole d’Economie de Chicago. Parce que les “processus de déréglemen- tation” en vigueur induisent des réglementations plus drastiques, l’expression appropriée devrait plutôt être la re-réglementation. (shrink)

The preceding chapter listed the measures Ch'in Shih-huang took to consolidate the unification. Before all this, the state of Ch'in, through Shang Yang's reforms, had eliminated the hereditary privileges of the aristocracy, dealt a severe blow to the power of the slave-owning aristocracy, instituted the system of landownership by the landlords, established the system of commanderies, unified weights and measures, and carried out the policy of "emphasizing agriculture and restricting commerce," so as to enable the landlord economy to achieve (...) greater expansion in the state of Ch'in. Now Ch'in Shih-huang went a step further to propagate Shang Yang's Legalist policies, liquidated the aristocracy in the six states to the east, abolished the system of installing hereditary nobles to rule their domains throughout the country, and universally implemented the system of commanderies and prefectures. He also abolished the old aristocratic political structures maintained by the six states, established a centralized feudal system of dictatorship, and thus dealt a blow to the landownership system of the remnant slave-owning aristocracy. By means of laws and regulations, he established throughout the country the system of landownership by landlords and continued to adhere to the policy of "emphasizing agriculture and restricting commerce," promoted the development of the landlord economy, abolished the divergent laws and regulations of the six states, and put into effect throughout the country new laws and regulations representing the interests of the newly rising landlord class. He also standardized weights and measures, unified the written language, and fixed the length of axles of all carts. Generally speaking, during the first stage of the establishment of a unified, centralized feudal state, Ch'in Shih-huang, as the general representative of the newly rising landlord class, carried out a series of measures that "emphasized the present while slighting the past" and initiated a series of important political, economic, and cultural reforms. The "present" he "emphasized" was the newly rising landlord class, and the "past" he "slighted" was the declining old aristocracy. As a result, the Ch'in dynasty was able to exert a definite stimulating influence in the process of monumental historical transformation, to put an end to the prolonged period of division and rivalry among the feudal states, to unify our great multinational country, and to set up the largest centralized feudal state up to that time. To be sure, the Ch'in dynasty was after all a political regime of the landlord class. It was a machine of the landlord class to exploit and oppress the peasant masses. This is something we must recognize. (shrink)

It is still hard to ascertain when the landlord economy (in the exploitation form of a tenancy system) in China got started. At least, however, it was during the middle of the Warring States period, that is, the time of Mencius, that the earliest land issue in China was brought up. Raising the issue was a reflection of how the phenomenon of uneven distribution of wealth surfaced and developed in ancient times. The landlord economy based on the exploitation (...) form of a tenancy system came into existence in the wake of the widening of the uneven distribution of wealth in society. Therefore, we can presume that the landlord economy began to emerge during the middle of the Warring States period at the latest. It seems certain that the landlord economy was already an established fact toward the end of that period. For example, Han Fei noted in his representative writing "On Outstanding Schools": "When discussing the problem how to rule, most of the contemporary scholars propose: ‘Divide the land among the poor to provide resources for the have-nots.’" This shows the problem of uneven distribution of wealth, and the issue of land grew quite serious by that time. This was the first instance that the ruling class advanced the policy of "even distribution of land" in order to mitigate class contradiction. (In the time of Mencius, it seemed the system of "granting land" had not been totally abolished in the eastern states. Therefore Mencius proposed the land policy, aside from maintaining the system of "nine squares," of "restricting the people's property." From this phenomenon we can presume that the landlord economy had, it seemed, already begun to gain ground.) In consequence, out of the Confucians representing the reformists among the patriarchal nobilities emerged such intellectuals as Xun Zi who basically represented the interests of the landlord class. From that time onward, the Confucians gradually integrated themselves with the landlord class. Following the emergence and growth of the landlord economy, it became increasingly evident for China to move toward a unified country. There was the necessity for the small-sized centralized feudal states which arose during the early years of the Warring States period to merge toward the end of the period into a centralized feudal monarchy which stood for the landlords' interest. Han Fei's doctrine was precisely a set of ideas that fitted in with the situation toward the end of the Warring States period and served the autocratic feudal country. (shrink)

ExcerptIn light of the 2008 global financial crisis and its underlying causes, a reassessment of our global market system seems to be afoot, at least in some quarters. If neoliberalism (too much market) yields the Great Recession, if socialist planned markets (not enough market) produce the failed economies of the former Soviet bloc, and if social-market combinations (too much centralization of the market) progress toward the high-cost, centralized programs and slow growth of Western Europe, what are better options? One (...) line of questioning asks, can the dynamism and inventiveness of the market be harnessed not only for corporate and individual…. (shrink)

Abstract Several scholars have observed that in contrast to ?socialism,? ?capitalism? was not an ideology promoted by a social class or movement but an economy that emerged ?spontaneously? from particular historical conditions. Since the decline of the Soviet Union, no new version of socialism has been promulgated, although complaints about the inequalities of capitalism inevitably persist and will certainly continue. Capitalism, if not ?eternal,? remains a highly probable form of economy under conditions of economic surplus, extensive division of (...) labor, urbanism, and the absence of fully centralized state power. An inevitably wide variation in its forms will certainly endure and in no way amounts to the ?end of history,? as a few writers have suggested. (shrink)

This paper argues that cultural analyses of electric light, including aspects of actor-network theory, may raise the spectre of complexity, but do not do it justice when they omit to provide analysis of the intertwined roles of culture and political economy in the formation of the provision and use of electric light. The essay looks at the marketization of electric power, at outages in the eastern and western US megacities, at the collapse of the public utility model and chaotic (...) implementation of market models in Mumbai, Lagos and other poor megacities, and concludes that while theft of power provides a temporary solution, abandoning centralized market models in favour of microgrids is the only sure way to return agency to slum dwellers. (shrink)

In real‐world markets, individual intentions cannot be brought into perfect harmony before decisions are taken. Choices made without this pre‐ordering—choices made in ignorance of one another—produce unwanted outcomes. It is this absence of coordination among plans, not centralized banking, that is the primary cause of macroeconomic market failure. Steven Hor‐witz's free‐banking alternative would aggravate the collective‐action problems inherent in economies without complete markets.

A clean energy future is both plausible and in the best interests of the country. The Upper Midwest, acting in concert with appropriate policy changes at the national level, could play a pivotal role in helping the nation move in that direction. As the past century’s embrace of centralized power is beginning to weaken, a variety of policy drivers, including concerns about energy system capacity and reliability, the improvement of public health by reducing pollution, the enhancement of national security (...) by decreased reliance on nuclear power, and the need to curtail greenhouse gas emissions, are beginning to make clear the outlines of this energy transition. The proposals offered by the Environmental Lawand Policy Center and Minnesotans for an Energy-Efficient Economy rely on proven, economical, and environmentally sustainable technology options. An aggressive development plan featuring efficiency, wind, and other renewable resources will be a significant first step in solving the climate change problem. (shrink)

With increasing market competition and rapid development of service economy, more and more enterprises are shifting from providing products or services to providing product-service systems that integrate products and services, in order to improve competitiveness and profitability. Meanwhile, consumers have strategic delayed purchasing behavior when purchasing the PSS and high requirements for service quality. This paper investigates the two-period pricing and service quality decisions of product-service supply chain considering consumers’ strategic behavior under decentralized and centralized scenarios. The equilibrium (...) results are compared in two scenarios. In order to eliminate performance loss under the decentralized scenario, we design two-period dynamic contracts to coordinate the PSSC. Furthermore, numerical simulation is provided to verify the feasibility of the contracts. The following conclusions can be drawn: the higher the service input-efficiency, the more beneficial for alleviating consumers’ strategic purchase behavior under two scenarios, but this mitigation effect is more obvious under the centralized scenario. Compared with the centralized scenario, the service quality is lower, the two-period PSS sales prices are higher, and the two-period profit is lower under the decentralized scenario. The proportion of service valuation will promote the widening of the service quality gap under two scenarios, but in some cases, the service input-efficiency will weaken the promotion effect of the proportion of service valuation. The design of the two-period combined contracts depends on the proportion of service valuation. When the proportion of service valuation is high, the “two-period revenue sharing + service-cost sharing” combined dynamic contract can achieve PSSC perfect coordination. However, when the proportion of service valuation is low, it is necessary to design complexity combined dynamic contract which can achieve PSSC perfect coordination. (shrink)

Zakat is a monetary form of religious worship that establishes a bridge between a rich and a poor, helps those who are in need and contributes to peace and tranquillity within a society. When zakat is collected properly under a government control and transmitted to those who deserve, it helped to decrease the gap between the poor and the rich, supported activities of social solidarity and revived the economy as well. Malaysia after its independence in 1957 has developed an (...) interest in Islamic practices by drawing attention to a distinctive practice with the public zakat system. Even though a national- central system of zakat could not be established due to the federal structure of the country, the collection and distribution of zakat has been centralized on a state level. Parts of the practice are being criticized, reviewed and new regulations are introduced. Unlike Malaysia, the zakat practice in Turkey is out of state control, thus it hinders zakat from achieving its real purpose. There is a need to make use of the well-functioning zakat systems around the world and establish a public zakat system in our country so that we can make the most of the benefits that zakat has for individuals and societies. This article aims to be a step in that direction. -/- SUMMARY Zakat is one of the main forms of worship and is at the same time one of the main sources for the state budget in Islam. It aims at making sure that the rich –those with higher wealth and income– protects the poor and the powerless and through this it contributes to the peace in the society. In the Islamic creed wealth in reality belongs to Allah; therefore, those who live an affluent life should not attribute their wealth to themselves alone and help those who, for whatever reason, are unable to meet their needs. Because there is a social dimension to this form of worship, it is the duty of the head of state to collect the zakat and distribute it to the right people. Historically this duty has taken different forms and today, many Muslim countries sustain this collection and redistribution under state supervision. Malaysia is a country where zakat is collected and distributed officially at the state level. In each state, there is an Islamic council responsible for taking care of activities related to Islam and is semi-independent from the government that organizes the zakat process. Some of these do the collection and distribution together, some do it separately. In some states, the process has been totally privatized. Constitutionally, each state is dependent on its own sultan in religious affairs, thus each has its own mufti and partially different zakat practices and eac collect and distributes its zakat within that state. Because religious affairs have been codified as the privilege of the sultans of each state in the constitution during Malaysia’s foundation, there is no attempt at centralizing religious affairs and a centralization of zakat practices; the establishment of an institution to achieve this is not possible. Moreover, the secular character of the federation does not seem yet compatible with making zakat obligatory. However, due to the dominant Shafi‘i tradition and the convention in the country, people see it as imperative to hand over the charity and tithe to state institutions. Furthermore, there are local fatwas – which are considered as legal regulations in Malaysia – that require people with an income over a certain amount to pay zakat. Those who have the most are expected to give it voluntarily. In the 19th century, when wealth sources such as palm oil, cacao, rubber, tin were discovered, Malaysian officials were not able to extend the tithe to these; however, in the last twenty-five years, based on fatwas that income should be taxable under zakat has led to a boom in zakat. In all states, the largest portion of zakat is collected through income, usually automatically deducted from payroll. An influential factor in this outcome is that individually paid zakat can be deducted from income tax. From 2005 on, there have been other regulations to make it possible for legal personalities to deduct zakat from taxes. To increase zakat payment, especially publications have been produced to inform and encourage people, and modern opportunities to make payment easy have been developed. The most often used method is direct deduction from payroll. The second most common method is payment through zakat machines in different parts of the city by cash, check, Islamic credit card and, debit card. In addition to these, online, internet banking, telephone banking, ATM machines, post offices, kiosk machines, sms-zakat options are all available. The distribution of zakat differs from year to year and state to state. In general, there is an observable effort to pay all groups from zakat, but because there are no slaves in some states no payment is done under this category. There are both direct transfers and indirect transfers, such as through the construction of houses for poor people. There have been cases where poor people who had projects were supported with funds and those later returned in zakat. There is support for students in terms of scholarships through fuqarā’, fī sabīl allāh and ibn al-sabīl classes. For the muallafa al-qulūb class, there is a foundation to encourage local people to convert to Islam and help them for food, shelter, clothes and education. For Muslims who suffer as minorities in other countries help is provided through the riqāb, muallafa al-qulūb, fī sabīl allāh and ibn al-sabīl classes. In the ghārimīn class, especially victims of natural disasters such as flood and earthquake are supported. For those who have a right to receive zakat be able to receive it, the state has to side with the powerless and help zakat fulfill its social and individual functions. The way zakat is spent requires state policy and will. For this reason, zakat should be institutionalized and all activities should be organized by a single institution with state power behind it. Determining the recipients and the zakat-payers, and using the funds efficiently is easier with the coordination of state institutions. Extensive zakat councils that include state institutions should consider the ijtihāds in the area of zakat anew and make decisions to create a just and consistent zakat system. For these decisions to be applicable, the question of what kind of a system could be founded in our country should be on the agenda in these councils. Once an institution – official or autonomous but with state power behind it- is created, solutions can be found as they arise in the way. (shrink)

In The Political Limits of Environmental Regulation: Tracking the Unicorn, Bruce Yandle identifies some of the key weaknesses of federal environmental regulation, including its regressive effects, its tendency to better serve selected political interests than the cause of environmental protection, and the EPA's failure to follow sensible priorities. Additional problems may also be cited, including the tendency to exclude citizens? voices from deliberations regarding the degree of pollution control. But Yandle's conclusion regarding the likely superiority of decentralized and market?sensitive alternatives (...) to centralized regulation is overstated. Any such alternatives necessarily will continue to be grounded in relatively uniform national standards. Moreover, in the context of American political economy, market?based controls would continue to deny many citizens real voice and choice. The quest continues to be for the combination of controls that best preserves both the environment and liberty. (shrink)

In lieu of an abstract, here is a brief excerpt of the content:Reviewed by:Catholic Social Teaching and Economic Globalization: The Quest for AlternativesAmy LevadCatholic Social Teaching and Economic Globalization: The Quest for Alternatives John Sniegocki Milwaukee, Wis.: Marquette University Press, 2009. 335 pp. $37.00.John Sniegocki’s dense volume argues for rethinking development policies in light of widespread poverty, inequality, and environmental degradation that have resulted from these policies over the last century. This argument does not mark Sniegocki’s text as particularly original. (...) However, the dialogue that he constructs between Catholic social teaching (CST) and three schools of thought on development, which he describes as “neoconservative,” “radical,” and “grassroots” views, provides a compelling argument for new directions for both CST and economic globalization.Sniegocki’s book begins with three chapters that provide an overview of development theory (beginning with calls for “modernization” of the “Third World” beginning in the 1950s), examine failures of this theory in practice, and discuss the growth of CST concerning development. While these chapters provide important groundwork for understanding the context of Sniegocki’s argument, the heart of the argument comes in the fourth chapter, where he places CST in dialogue with neoconservative and radical approaches to development (represented, respectively, by Michael Novak [End Page 209] and Mary Hobgood). Neoconservatism is clearly incompatible with CST, as any denial of structural inequality or whole-hearted embrace of capitalism— even “democratic capitalism”—would be. However, radical approaches maintain that CST does not sever itself completely from the economic liberalism that underlies neoconservatism. As a result, even when CST recognizes the pitfalls of capitalism and the realities of structural injustice, it still often resorts to liberal assumptions. Radicals maintain that if CST were more consistent, it would more adamantly call for social struggle resulting in “democratic socialism.”Sniegocki finds resources for CST in radicalism but also introduces a third perspective from grassroots critics of development, exemplified by Vandana Shiva. These critics question whether “development equals Westernization via industrialization” (242, quoting Herb Addo), as maintained by both neoconservatives and radicals; they instead call for revitalization of local economies and traditional cultures. Sniegocki concludes that this vision could enhance CST in several ways: resolving the tension in CST between modernization and respect for local cultures, improving its framework for understanding ecological issues, encouraging recognition of grassroots action and social struggle for change, and attending to the role of women in economic and social processes. In the two concluding chapters, Sniegocki proposes that radical and grassroots perspectives together provide a basis for critiquing neoconservatism and improving CST.At least two issues deserve more attention in Sniegocki’s text. First, the principle of subsidiarity, “which asserts that issues should be dealt with at the most decentralized level appropriate to the issue at hand” (121), would seem to offer a strong grounding in CST for many grassroots arguments, yet Sniegocki gives this principle little attention. Second, Sniegocki criticizes the decision-making practices within many international development organizations, such as the International Monetary Fund (IMF), the World Bank (WB), and the World Trade Organization (WTO), for suppressing democratic participation. In many ways, this critique could also be leveled against the Roman Catholic hierarchy. Could deficiencies of CST concerning development be an outgrowth of the decision-making practices of the hierarchy, just as problems with IMF, WB, and WTO policies are an outgrowth of their decision-making practices? Sniegocki seems to recognize this possibility in a single sentence: “The resurgence within the Catholic Church in recent years of more top-down, centralized, and secretive ecclesiastical practices, while the church at the same time recommends to the broader world the importance of grassroots participation, dialogue, and human rights, makes ongoing attention to these issues especially urgent” (331). Although this sentence touches on an important question, Sniegocki leaves it here. It seems that addressing this question, however, may be crucial for [End Page 210] bringing about the enhancement of CST by radical and grassroots views that Sniegocki envisions.Amy LevadUniversity of St. Thomas St. Paul, MinnesotaCopyright © 2012 Society of Christian Ethics... (shrink)

The paper is concerned with the role of spatial delineations in Walzer’s theory of distributive justice. The argument put forward here is that Walzer’s concept of the existence of spheres of justice requires socio-spatial and territorial differentiations as a precondition. Walzer himself analyses different socially delineated places of distribution, such as the market (i.e. the economy) or the school (i.e. education). This contribution concentrates on the problem of distribution of political membership, advancing the thesis that we cannot understand Walzer’s (...) approach without giving consideration to his concept of concrete delimited territory. According to Walzer, distributive justice needs the framework of the territorial state, but this entity should not be identified with a centralized, ethnically homogenous nation state: One of the merits of Walzer’s theory of justice is to draw attention to the value of the locale. (shrink)

Computer simulation of an epistemic landscape model, modified to include explicit representation of a centralized funding body, show the method of funding allocation has significant effects on communal trade-off between exploration and exploitation, with consequences for the community’s ability to generate significant truths. The results show this effect is contextual, and depends on the size of the landscape being explored, with funding that includes explicit random allocation performing significantly better than peer review on large landscapes. The article proposes a (...) way of incorporating external institutional factors in formal social epistemology, and offers a way of bringing such investigations to bear on current research policy questions. 1Introduction2Theoretical Background3Model Description4Simulation Details 4.1Simulating the epistemic landscape4.2Simulating agents4.3Simulating communal knowledge4.4Simulating funding strategies4.5Simulating merit dynamics5Results and Discussion 5.1Experiment 1: The winner-takes-it-all mechanism only5.2Experiment 2: All dynamic mechanisms5.3Experiment 3: Adding a new funding mechanism 5.4Experiment 4: Varying the degree of myopia5.5Experiment 5: Variability of individual epistemic gain5.6Experiment 6: Likelihood of renewal6Discussion7Conclusion. (shrink)

Computer simulation of an epistemic landscape model, modified to include explicit representation of a centralized funding body, show the method of funding allocation has significant effects on communal trade-off between exploration and exploitation, with consequences for the community’s ability to generate significant truths. The results show this effect is contextual, and depends on the size of the landscape being explored, with funding that includes explicit random allocation performing significantly better than peer-review on large landscapes. The paper proposes a way (...) of incorporating external institutional factors in formal social epistemology, and offers a way of bringing such investigations to bear on current research policy questions. (shrink)

The current debate on recreational drug policy is roughly a contest between prohibition advocates and legalization advocates. This paper offers a third alternative that is a compromise between those two. The centralized-use compromise can secure the autonomy interests that are important to defenders of legalization, and it can prevent harms to others that are the focus of prohibition arguments. The centralized-use compromise also offers a possible way to reduce the black market while also reducing the rate of addiction (...) and the associated debasing harms to self. (shrink)