Looking Forward. By Michael Albert and Robin Hahnel

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  9. Allocation Decision Making

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

"Ironically, deep prejudices based on years of experience in oppressive circumstances make seeing all this as a real possibility the most difficult step in the journey to a better economy, Those who hesitate to undertake the tasks of designing such an economy do so not because the tasks are so difficult but because doing so challenges ingrained prejudices and undermines elite interests,"

 

 

Working at a Facilitation Board

 

Working at a facilitation board isn't much different than working anywhere else in the economy. Work is partly conceptual and partly executionary, and work complexes are balanced by the usual approach of combining diverse tasks. IFB work may be more desirable and more empowering than average work complexes in the economy as a whole, but, if so, greater than average desirability would be compensated for just as it would in any other workplace, by assignments to less desirable tasks elsewhere. Greater than average empowerment, which seems likely, might require rotating people in and out of lFBs after some time period. Likewise, since working at an lFB is particularly likely to enhance people's understanding of the interlocking complexities of economic possibilities, it makes sense to rotate this work, of course taking the efficiency implications of experience into account as well.

 

Qualitative Information

 

In chapters 1 and 2 we emphasized the importance to producers and consumers of understanding the qualitative, human implications for others of their choices. Consumers, we argued, need to be able to assess the implications of their requests for workers. Producers need to know why consumers want what they are working on, not only so they can feel good about their contributions, but also to assess how hard they want to work.

 

We argued that in addition to quantitative estimates of social costs and benefits, average incomes, and average benefit/cost ratios, producers and consumers also need access to qualitative, descriptive information. In this section we discuss handling this information, a task that might seem daunting.

 

Consumer and producer councils can easily write up qualitative summaries of work they do and motives for their consumption requests. There is no sense overdoing it. There is no point in everyone saying, "I want milk because it is nourishing." Producers would provide a general description of the quality of work involved in their workplace as well as the desirable and undesirable traits their particular kind of work tends to generate. Consumers would concentrate on explanations of unusual requests. But people trying to assess their own choices in light of other people's qualitative descriptions would want access to summary information at the level of producer and consumer federations. So the tasks are:

 

1. To develop a data-bank system allowing easy access to all this information.

 

2. To aggregate the information from lower units into federation level summaries.

 


Can we imagine an effective way to do this? First, individuals would need "keys" to extract qualitative information. I would go to a console, and say, "Let me see what goes into producing such and such good," or "What is work like in such and such an industry?" or "What is generating the high consumer demand for refrigerators?" or "Why does a particular neighborhood want so many more than the national average?" We could also ask, "What are the strengths and weaknesses of such and such a product?"

 

If we think of all the money spent yearly in the U.S. on advertising-most of which is misinformation-we can see that the information system we need may not be such a burden on time and resources after all. Indeed, it may require significantly less than the total resources and energies currently allotted to less comprehensive and less truthful, though more repetitive and wasteful advertising.

 

Though the information-handling capabilities of such a system would have to be quite powerful, only the system's scale distinguishes it from data-bases already used in offices all over the country. The problem of storing and accessing descriptive information is nothing new for programmers, nor is establishing a rote system for updating or otherwise refining such a database, giving it a simple query system, or having it provide averages. Moreover, even for a large country, the system we need would not require much more memory and handling than current systems for large credit-card companies.

 

For the most part, IFBs would oversee the qualitative data-base system. Summarizing large numbers of individual reports would be demanding, but like other tasks it could be organized to minimize the likelihood that lFBs would bias the information councils use.

 

The Logic of Participatory Planning

 

Any economy must have a method for allocating goods and resources. Different ways of accomplishing this will naturally have different implications for who does what, who gets what, and what will be produced, consumed, and invested.

 

Someone committed to the view that civilization is best served by pitting people against one another will opt for allocation via competitive markets. Someone who thinks complicated decisions are best made by experts who should be materially rewarded for their expertise will opt for central planning. In either case, according to most economists these are the only feasible allocation procedures. We claim this "impossibility theorem" is little more than self-serving prejudice and to prove it we have tried to spell out how consumers and producers could participate equitably in planning and in coordinating their joint endeavors - without central planning and without markets.

 

Are people capable of taking control over their own lives, caring for one another, and acting to enhance their own situations and the situations of their fellow citizens? Can we have an allocation system that promotes solidarity by providing information necessary for people to empathize with one another and by creating a context in which people have not only the means to consider one another's circumstances but also the incentive to do so? Can we have an allocation system that promotes variety at the same time that it creates balanced complexes and egalitarian consumption opportunities tied to effort? Can we have an allocation system that promotes collective self-management by permitting every worker and consumer to propose and revise her/his activities? Can we develop an allocation system that promotes equity rather than class division and hierarchy?

 

We think other economists deny that all this is possible because to admit that people can conduct their economic affairs in these ways undermines rationalizations for all forms of existing privileges whereas historically it has been the job of economists to rationalize these privileges as inevitable.

 

Economic activity can be made equitable by ensuring that desirable and undesirable tasks am shared equally. Fulfilling and rote work can be mixed to create equitable work complexes. Consumption bundles can be balanced to ensure roughly equal access to consumption opportunities. Decision making authority can be assigned more or less in proportion as decisions affect people.

 

Ironically, deep prejudices based on years of experience in oppressive circumstances make seeing all this as a real possibility the most difficult step in the journey to a better economy. Those who hesitate to undertake the tasks of designing such an economy do so not because the tasks are so difficult, but because doing so challenges ingrained prejudices and undermines elite interests.