Looking Forward. By Michael Albert and Robin Hahnel

 Go to Table of Contents

 

  6. Participatory Allocation

 

 

 

 

 In the U.S. in 1988 there were 91 million households with an average of 2.69 members. Regarding consumer outlets, in 1986 there were, for ex­ ample, 187,430 food stores, 362,895 eating and drinking places, 36,037 general merchandise stores, 141,884 apparel and accessory stores, 205,597 real estate offices, 54,759 banks, 18,543 movie theaters, and 2,018 museums.

 

 

 

 

 

 

 

 "Similarly, our personal work proposal implies what we think the average work effort should be and therefore what society's total production and consumption should be. "

 




 

Preparing First Proposals

 

Last year our economy carried out various acts of production and consumption that constituted "plans" for individuals, consumption councils, workplaces, and industries. As this year begins we have records of all these "plans." We also know last year's final indicative prices and per capita consumption, as well as the average ratio of social benefit to social cost for workplaces last year. Additionally, each unit knows how it altered its proposals during last year's planning process, moderating its own requests in light of other's needs. Similarly, each unit has access to the same data for the history of any other unit's transactions.

 

Readers who think we are beginning to write science fiction should know that contemporary database systems are already sufficiently powerful to sustain this kind of information storage, manipulation, and retrieval. A few major credit companies now possess and regularly use substantial data files on tens of millions of consumers which approaches the level required to describe and record the various economic operations we want to track. Regarding the task of bringing everyone into communication with this data, we already have a comprehensive phone network, and the only thing needed to establish a fully interactive hookup is unlimited distribution of computer terminals and phone accessories called modems. Produced on the scale we require, cost per participant could drop as low as a hundred dollars or less for units that would last many years. Similarly, memory storage and operating capacity are growing so fast that technical means of accommodating participatory planning will surely exist before social demand for such a system matures.

 

So how does an individual consumer or worker plan? First we obtain relevant data about last year's plan. Second, we receive information from various Iteration Facilitation Boards (lFBs) about anticipated indicative prices, income, and value of product that should be attained per value of input used (benefit-to-cost ratio) this year, all arrived at by adapting last year's final figures in light of investment decisions and changes in the work force and consumer population. Third, we receive information from higher-level production and consumption councils and from production and consumption facilitation boards regarding major investments agreed to as part of long-run planning and their implications for the present.

 

Finally, taking into account our intended work levels and any borrowing or saving we are planning, we develop a personal consumption proposal for the coming year. Assuming the eventual result will be equitable, our proposal is implicitly our "vote" for the average consumption the economy should have, and, by way of the fact that all this must be produced, also the average amount of work we think people should do. Similarly, our work proposal implies what we think the average work effort should be and therefore what society's total production and consumption should be. In short, in making an initial personal proposal each actor proposes their own consumption and production but also, implicitly an average and overall workload, and an average and overall level of consumption. In fact, each individual implicitly proposes all this twice, once in their personal consumption proposal and once in their personal work proposal.

 

But does this mean we must itemize every single good down to size and color? No, because lFBs group goods into classes according as they are roughly interchangeable regarding the resources, intermediate goods, and labor required to produce them. So we need only choose from among types of goods. Similarly, we don't bother with sizes or colors, since demographic data allows producers to extrapolate within an acceptable range of error from total requests say, for 7 million sneakers, to more precise demands for so many size 8, so many size 9, and so many of each style and color.

 

As an individual, therefore, you present your consumption request to your neighborhood council. where it is summed with others. Neighborhood collective consumption requests are added to form the neighborhood council's complete request which is submitted to the ward council where a similar process ensues, on up to the national consumption council.

 

In the same way, workers access a summary of the history of their proposals last year including the initial proposal, changes made during planning iterations, what was finally agreed on, and also what was actually carried out if there was any discrepancy. lFBs also provide estimates of what changes in demand are likely this year based on extrapolations from demographic data and last year's demands before they were reduced during iterations.

 

Workers consider this information, discuss their own desires, and enter work proposals which are assembled into the workers' council's first proposal for "inputs" and "outputs" by procedures we discuss next chapter.

 

In addition, both workers' and consumers' councils provide qualitative addenda to their proposals, including descriptions of changes in their circumstances and conditions. If the quality of work in a workplace has altered due to previous investments that have reduced noise or made surroundings more agreeable, it would be noted. Similarly, if the purpose for which a consumer council requests a good is different from last year, this too would be noted. However, when we say units would assemble information and make their proposals available, we do not mean they trudge around searching for data and send off copies of proposals to every unit in the country. Planning is computerized. All councils can access data banks of all facilitation boards and all other councils. The only thing demanding about flexible information access is that the computer system not only automatically accept but also sum and compare proposals to ascertain the status of any good-which brings us to the problem of "planning iterations."