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Koch brothers taking control of academia in economics

Swedish model is better model/example for the work Theodore A. Burczak laid out. Germany is heavily regulated.
Are Swedish firms owned by workers? Also has anyone ever studied this? It seems like you coudl do so, just you would not want to do a raw comparison of data. You gotta adjust for certain variables.
 
Are Swedish firms owned by workers? Also has anyone ever studied this? It seems like you coudl do so, just you would not want to do a raw comparison of data. You gotta adjust for certain variables.

Not any that come to mind. So no major company. Like all countries there might be a few co-ops around.
 
Not any that come to mind. So no major company. Like all countries there might be a few co-ops around.
Then how is it a test for what Burczak laid out? He was primarily concerned with worker's democratically running their firms.
 
Then how is it a test for what Burczak laid out? He was primarily concerned with worker's democratically running their firms.

Um, Burczak is not arguing for that. You should read the article, first.

I just said Sweden was a better example then Germany. Sweden's model for Unions is actually pretty good and very efficient.
 
Um, Burczak is not arguing for that. You should read the article, first.
I've read his book!
I'll quote the beginning sentence of his 6th chapter, where he begins to talk about labor managed firms.
Socialism after Hayek said:
To make the case that a socialist future absent exploitation might be achieved by labor-managed entreprises....

a later on page 119 he clearly states that democratic management is the best of labor-managed enterprises, if you take Hayekian knowledge problems seriously.

Socialism after Hayek said:
They[Bowles and Gintis (1993)] argue that it is quite conceivable that firms in which worker democratically appropriate the entire product may utilize resources more efficiently than firms in which capital owners appropriate.

Rereading it, it mostly talks about labor-run firms, not specifically democratically run by labor firms. However I'd argue these are more consistent with hayekian local knowledge they allowing some high ranking union members to run the firm.


I just said Sweden was a better example then Germany. Sweden's model for Unions is actually pretty good and very efficient.
This may be true, but I did not find in my reading Burczak ever arguing in favor of unions, unless you were to argue they helped take back running the firms from the capital owners.
After Burczak wants a world where labor hires capital, not capital hires labor.

Edit: From the link that kushinator posted
Burczak envisions a "free market socialism" in which privately owned firms are run democratically by workers

.
 
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Interesting stuff. Thanks for posting.
 
I've read his book!
I'll quote the beginning sentence of his 6th chapter, where he begins to talk about labor managed firms.

I don't care about his book. It's not what was linked which is what I was talking about. But good for you reading his book but I bet you misunderstand his position since I've already see you are just pulling random quotes from it. I know Ted. He and I debate a few times a year when I am back in the Columbus area (He's a professor at Denison University). We've debated this several times. He's knows his Austrian Economics and Marxian Economics damn well which has allowed him to come up with theory but in itself it has flaws.

a later on page 119 he clearly states that democratic management is the best of labor-managed enterprises, if you take Hayekian knowledge problems seriously.

Again, nothing to do about the link (article JP posted.) And privately Ted knows it's impossible and has actually accepted the fact 7/8 years after the book was printed that it's flawed. Hence this article which is new is the most current position which JP nailed pretty well. But he's not here to defend his position or explain it so I won't speak for Ted.



Burczak is not a Marxist, nor is he an Austrian. He's basically Social Democrat of the European type which is heavily Union based but realize on centralization of power. Basically, private capital goods or private finance will still exist. So it's not the workers utopia you think it is. He's only arguing that if there is any surplus capital (profit) that the workers would get a say where it went. This is no different then a Co-Op. Co-Ops don't work very well in a society with capital nor does it work in a Marxist society thus Co-Ops will not work period which is why he tries to fundamentally change the structure of market-socialism.
 
I don't care about his book. It's not what was linked which is what I was talking about.
This is the heart of our misunderstanding. The book was linked, as that is what I thought you were talking about. The linked article I think was written by JP, which is why I was confused when you talked about burczak's argument. My bad.

But good for you reading his book but I bet you misunderstand his position since I've already see you are just pulling random quotes from it.
He wants labor to act like the entrepreneur, instead of the capital owners. This is what I was getting at when I said labor hires capital. Please don't be presumptuous and assume I did not understand something. I merely wanted to know how Sweden's tested out this worker' co-op stuff.

I was pulling quotes to show that in the book, he seems to be in favor of a less centralized way of running the firm, than using unions.

Then you know his position better than me. I apologize. I did not know he changed his position slightly. I've just read his book.

Also I actually have been to Denison and am semi-familiar with it! It's a good school! Also, it's a rather nice campus, IMO.


I did not know his position had changed. Again my apologies.




Burczak is not a Marxist, nor is he an Austrian. He's basically Social Democrat of the European type which is heavily Union based but realize on centralization of power.
Didn't know he wasn't a Marxist, especially since he seemed to understand it rather well, in the book at least. My apologizes


This is no different then a Co-Op. Co-Ops don't work very well in a society with capital nor does it work in a Marxist society thus Co-Ops will not work period which is why he tries to fundamentally change the structure of market-socialism.
Right, except he wants only Co-ops, I believe. No traditional firms allowed.

What are the flaws in Co-ops? I genuinely do not know. We never talked about this in school. I imagine the free riding problem still exists. Albeit shouldn't it be limited, via the profit sharing? I guess capitalist could be required to motivate and monitor workers and that could make traditional firms more efficient.

edits: clarified a few things, also it cut off half your quotes.
 
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Then you know his position better than me. I apologize. I did not know he changed his position slightly. I've just read his book.

The book itself has been out for awhile.

Also I actually have been to Denison and am semi-familiar with it! It's a good school! Also, it's a rather nice campus, IMO.

Yes, it's a pretty good school. Better be for $60k a year. And yes the campus is very nice. Granville is basically a New England town. But pretty boring at night.

I did not know his position had changed. Again my apologies.

I think his is working on his next book/edition right now. I'll have to check with him, but I am sure it will reflect the changes and go more indepth.

Didn't know he wasn't a Marxist, especially since he seemed to understand it rather well, in the book at least. My apologizes.

No worries. He work is a mix of Austrian and Marxism. He throws the two together and that's what he came with. If you use Austrian views it's not really Marxism is it? It's pretty damn close to Sweden's system which is free market socialism.




Well, like I said I am not gonna speak for him. But I don't think he outright thinks that. But I can actually see a blend such as profit sharing and stock options payments to workers which would be a blend of tradition and co-op.

Co-Ops flaws tend to show when they become bigger then the local area. Once it gets big it's relationship with customers and workers change. For example.. Mondragon group (out of Basque Country) is held up a good example. Well, it actually has a horrible reputation that is rarely reported. While the workers in the region and Spain do very but that's not how their foreign employees are treated. Fagor (Mandragon) just went Bankrupt. All of it's Spanish employees will get 80% of their wages for the next 2 years and most of them will be relocated to new job with in the corp. But those employees outside of Spain will be let go with no benefits.

Basically the Illyrian model is proven true. Successful worker-owned businesses can also keep the number of owners small and fatten their bonuses while passing on low wage functions to others (outsourcing).
 
In that case, I agree. I'd much rather learn from real-world experience than ivory tower eggheads preaching from a book.

You know what they say about those who can't do.
They cheat?
 
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