What is a participant economy?

The participating economy, also known as Parecon , is an economic theory designed as an alternative to traditional socialism and capitalism in the free market. The theory, popularized by activist Michael Albert and economist Robin Hahnel, has gained considerable interest and criticism since its foundation. Probably the most interesting factor in the participatory economy is that it is issued with the idea that capitalism and socialism are the only possible economic principles, and introduce some new possibilities and concepts into the economy world.

Parecon supporters tend to believe while the centrally planned socialist economy has been repeatedly shown to fail by suppressing individual needs and several flashes for corruption, capitalist economies restricting public access to preference technology, allowing mass gains and accompanied by political power C corporations and several individuals. incompatible with the principles of equality built into a democrecie. At the deepest level, what participate economic rebels against is the idea that there are only two options; By creating a third potential model, the authors try to open a discussion about the economy with new possibilities.

There are several major principles of participating economics, some of which revolve around the restructuring of workplaces. According to the model, the business decision would make the entire strength of employees rather than only for higher management. In addition, the idea of ​​upper management would be removed by the extension of the responsibility of each position to create an average balance of power rather than a hierarchy. Payment would be provided on the basis of effort and victims, so those in dangerous positions like firefighters could be paid more than those in relativly safe work, such as janks.

System would rely on community and regionally established councils in which all of them haveEne voting, and decisions take most of with some exceptions. Those interested in a specific problem can have more statements in it; For example, construction workers may have a respected vote on whether the city should build a bridge because they will make a building. Prices would be set regularly or annually by determining how many and what goods the community is able to produce and which items are planned for consumption. These lists of supply and demand would undergo a multiple adjustment for clarification based on contradictory needs.

The theory of participating economy also indicates the elimination of smoothly circulating money. People would only receive commercial credits through work on the basis of the effort and model of the victim for receipt that could be exchanged for goods and services. When a person buys an apple, credits suitable for value are deducted from an individual's account, but simply disappear rather than being added to the merchant account. Since the money is obtained only for work, profits are not a factor.

criticism of the participatory economy is huge and come from several directions. Some quote the prevalence of bureaucracy created by the Council system, while others ask how the worker could be trained to perform all the necessary role to create the balance of power. Critics also report inconsistency in theory, such as the fact that someone at a certain level will have to determine the "effort and victim" and that the physical danger and hours worked come from the only considerations of the importance of employment. Regardless of criticism, he receives a participant economics of praise from some neighborhoods simply for opening a new level of debate on modern economic theory.