Originally posted by ExPostFacto
reply to post by LadySkadi
Imagine a partnership business where everyone owns a portion of the business and all work in that business, the success or failure of their work and
profit divided up amongst themselves as income.
This is similar to the Mutualist school of thought in Anarchism advanced by Pierre-Joseph Proudhon.
A free market doesn't exist with negative regulation, nor does it exist with positive regulation. Our current economy eschews negative regulation
(and I agree, it should), but it also advances positive regulation (e.g. limited liability).
A major corporate conglomerate is not necessitate in a free market. In fact, in a truly free market, a retailer like Best Buy or a company like Boeing
wouldn't be able to exist except in rare circumstance. They exist only because of the legal concept of the juristic person and the de facto insurance
subsidies wrought by limited liability laws.
Proudhon, for all intents and purposes, favored the absolute minimization of coercive institutions, both state and corporate based. Most of the
state's non-critical (police, armed forces, etc.) functions could be performed by consumers cooperatives. Parks, libraries, schools, unemployment
insurance, disability insurance, health care, etc. could be run by voluntary cooperatives financed by individual monthly payments. If you didn't want
XYZ set of services you simply don't join that cooperative. If you didn't like the libraries maintained by "A" cooperative, you could transfer
your membership to a competing cooperative.
The role of corporations would be replaced by producers cooperatives. We might still have a Boeing, or a Best Buy or a General Electric, but they
would be equal-stock corporations, only employees owned shares and each employee owned exactly 1 share. The government would not be involved in
running the economy like in a communist state, nor would there be enforced equality. One would still be free to - truly and as an individual - invent
or innovate a product, idea or service and monetize it as an individual or - if it required advanced labor infrastructure to support - sell it to that
producer's cooperative that bid the highest. Likewise, being an equal shareholder in a producer's cooperative would mean only your split of annual
profit would be equal, your salary would as high - or low - as your talents demanded.
Solving the endemic problems of capitalism isn't achieved through some middle-way, like increased regulation or social spending. The solution is only
in the abolition of the modern concept of the State.