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I am of the opinion that the solution is Free Market Socialism: a market economy where the businesses are governed by their workers. Capital is allowed a reaso
by dbingham 4y ago
I am of the opinion that the solution is Free Market Socialism: a market economy where the businesses are governed by their workers. Capital is allowed a reasonable, regulated return on its investment (which takes the form of loans, not equity) and further financing can happen through crowd funding (since this system would naturally result in a much more even distribution of capital, an order of magnitude more people will have spare money to contribute to projects that interest them).
Workers have a much weaker incentive to consolidate than investors do, since the consolidation results in them losing voice and power and there are no big cash payments in return (no equity financing means no big equity sales). So this system would tend to work against monopolization.
In addition, workers have much deeper connections to the communities impacted by their business's operations than investors do - they usually live in them. So the tendency to externalize costs on to communities will be much lower (not gone, just reduced), since the workers will experience those costs along with the rest of their communities.
Unions become completely unnecessary in this system. The people doing the work are governing the business, they get to set their own working conditions.
And you still get all of the benefits of the free market - no government control, competition, the freedom to start new enterprises - with many of the rough edges sanded off.
- mind-blight 4y ago> Unions become completely unnecessary in this system. I don't think that's true. Unions exist to negotiate working conditions with management. Management doesn't disappear in the system that you're describing. Some of the incentives for poor working conditions disappear, but not all of them. There are non-profits that have unionized due to worker abuses. Ironically, I've worked in VC-backed startups most of my career, and I've experienced much less abuse than friends who work at non-profits
- dbingham 4y agoNon-profits aren't usually governed by their workers. They're usually governed by an elected or appointed board. What I'm describing is a system in which all businesses become what are currently known as "worker cooperatives". In that system, if management produces conditions that the workers don't like, the workers vote management out. I'm not aware of any worker cooperatives that have unionized, though I believe Mondragon (one of the biggest, oldest, and most successful worker cooperatives) does have what amounts to a multicameral system with one of the councils filling the roll of the union in advocating for line workers. [1] [1] https://en.wikipedia.org/wiki/Mondragon_Corporation https://en.wikipedia.org/wiki/Mondragon_Corporation