2013_10_30 Wolfram Elsner

Mixed Economy

• a little naive; markt vs plan, market is too much of an ideal type
• market is everything but nothing; institutions are important. is there a market for murder;
• discuss "american institutionalism" John R. Commons 1934 textbook, "negotiated economy" look into this, along the lines of pragmatism (Dewey, Pierce) also with Thorstein Veblen, Mitchell, the founding fathers of evolutionary economics. Commons: all prices are social values; the market does not determine objective values, how much should a bread vs a car cost.
• this has been taken up in the 1990s in scandinavia negotiated economy.
• long table of contents.
• theory of second-best; "Physik des sozialen" -- das geht nicht, free of conflict, (This is a great formulation from Elsner); Physiscist have always warned the economists; "there is no physics of the social" Let's get out of the conflict.
• multiple attractors in complex systems, may move with several attractors, multiple orbits etc. Endogene prozesse;
• Edward Elgar; 2012 microeconomics textbook von Elsner, THE alternative book.
• Prozesse;
• Dirk Löhr, new book on metropolis "Rentenökonomie"; Gesell (?) Autoren, taxation of unimproved land. Shows that we have regressed into a rent economy; land tax review.
• you're 180 against the mainstream; capitalism
• social economics aus den 1920er/1930er Jahren "land reform" USA, american journal of economics, some foundation for reform movements.
• Labor nochmal bei Traub fragen; Laborexperiment? Pätzel? Zum abstimmen zum Schluss?
• Experimental economics; game theory economics.
• Deliberationsphasen, um zu untersuchen ob prisoner Dilemmata abnehmen. Verlieren: Kann man Steuerwahl als PD modellieren?
• political equality: american institutionalism has developed a theory of democracy (wisconsin school), american social system of the 1920; also including the rheinland social insurance contribution. Read Marc Tool, book "discretionary economy"; show the discretionary public actor must take discretionary actions. Assume complex system. This is the opposite interpretation to "The road to serfdom", that leads to communism.
• market and plan, public choice theory. Spiegel.
• Albert Hirschmann, Diskurstheorie in der Ökonomie, Albert O. Hirschmann, maybe just hirschman. Recently found again, now professor in leeds, stefan kästing (?) in leeds. together with Wilfried dolsmaar (groningen), edited volume on hirschman, maybe read that. Diskurstheorie von Hirschmann; exit und voice etc.
• Deliberative, participative Demokratie; "social value principle" check this out. The attempt in discretionary economy, also check out social value principle, the attempt to operationalize a discursive democracy, high time 1930 with the new deal. Great collective interest coordination in this time; resuscitated in the 1960s, Pearse + Dewey.
• Social contract idea, make this relevant again; contrat social (Rousseau). There is a small discourse in economics, staghunt, Skyrms on the stag hunt game, there's some connection to rousseau. Has dilemma problems only when there is suddenly distrust; there's no possibility of communication, three days, must have sth at the end. Who looses trust in the colleagues and hunts bunnies, this is applied in amartyra sen (!!!). 1967 amartyra sen "assurance game" has formalized this: this is actually great! Individual logic is inferior to collective choice; can people agree to save today, how can these countries build money endogenously -- implying that everyone today must forego some consumption today, which does not happen because of trust, so it's the governments job to make everyone do it.
• cooperation works only about habitualization; we need to be "rational fools" -- don't maximize in every situation. Google Elsner about this; how institutions come into being. "Microeconomics of interactive economics". Elsner also does "mesoeconomics" look into this. Effective arenas for making institutions are relatively small, this somehow applies to man cur olson, makes sure you don't step into a puddle here. Make sure you can look, group size in which