A common opinion is that power has shifted from states to companies. This article discusses quantitative and qualitative aspects of power possessed by companies and by states. A more adequate comparison than that between company sales and gross national product is the one between company value added and GNP. Also more adequate is the comparison between the public sector and company net profit. These rival measures take down company power to about a tenth of the sales measure. Also in qualitative (...) terms the "exit power" of the company gives a low impact compared to governmental action and the article concludes that company power by common measures is overestimated. However, the aggregated long-term effect of the market economy on the development of society is most significant. But it is a mistake to use that judgment as an argument for the opinion that business executives are the major power holders in modern societies. Perceptions of power also have an impact on which expectations and commitments that can be judged as realistic and therefore the issue of power is central for the normative discussion about corporate social responsibility. (shrink)

This article draws on a five-year, multi-sited transnational research project on the global traffic in human organs, tissues, and body parts from the living as well as from the dead as a misrecognized form of human sacrifice. Capitalist expansion and the spread of advanced medical and surgical techniques and developments in biotechnology have incited new tastes and traffic in the skin, bones, blood, organs, tissues, marrow and reproductive and genetic marginalized other. Examples drawn from recent ethnographic research in Israel, the (...) Palestinian Authority and Turkey serve to cast light on the dark side of organs harvesting and transplantation. The article focuses on the dangers of the `fetishized kidney' for both sellers and buyers, for whom this new commodity has become an organ of opportunity and an organ of last resort. The bodily sacrifice is disguised as a donation, rendered invisible by its anonymity, and hidden under the medical rhetoric of `life saving' and `gift giving'. It suggests that the ultimate fetish as recognized long ago by Ivan Illich is the idea of `life' as object of manipulation. (shrink)

In the coming years people will live in an ever-globalizing world with possibilities and challenges that did not exist before. The contours of this new world are already with us—capital flow across the world with lightning speed; mass media events broadcast anywhere in the globe as if they happened next door; tests, food habits, consumer goods, cultural production and political ideas floating across the globe unhindered; the boundaries of nation states becoming more and more porous; and the Internet being a (...) major source of rapid unbound communication. All sectors of the society are affected by this global society, the technological revolution. In this connection ethics becomes an increasingly im portant issue in global decision making. The author suggests some solutions on the basis of Indian culture. (shrink)

The question posed is whether the optimization methods of calculus that are often used in social and scientific analyses offer an appropriate analytical approach to analyze problems that are immersed in systemic complexity and its consequences. This paper refers to the portfolio of such complex problems belonging to social and scientific forces. We refer to such a complex combination by the term ‘socio-scientific’. In the study of socio-scientific complexity, dynamic preferences, intricate decisions, and uncertain behavior, endogenous relations and systemic perturbations (...) abound. The arguments presented in this paper establish that the methodological approach of optimization and steady-state equilibrium turns out to be nicety rather than objectivity in the presence of complexity. Complex situations of the socio-scientific universe cause perturbations in the variables; there explaining complexity formed by the social embedding of variables. Indeed, human individuals, institutions and governments, and society at large are complex interrelated entities. Therefore, complex interrelations caused by social embedding remain submerged in social perturbations. However, interactions arising from social embedding also generate endogenous and complex relations. The contribution of this paper is in the area of endogenous learning in the wellbeing objective criterion function. The interrelationships between the emergent cognitive variables now cause interactive embedding, complexity, and social perturbations. Yet such perturbations are not altogether uncontrollable. They can be and need to be controlled for the purposes of social explanation—hence demanding predictability—even as the complex nature of evolutionary systemic learning proceeds. The controllability problem of extreme perturbations leads us to formalize a mathematical methodology to study controllable perturbations while avoiding extreme forms of perturbations in socio-scientific theory. (shrink)

In 1987, George Soros introduced his concepts of reflexivity and fallibility and has further developed and applied these concepts over subsequent decades. This paper attempts to build on Soros's framework, provide his concepts with a more precise definition, and put them in the context of recent thinking on complex adaptive systems. The paper proposes that systems can be classified along a ‘spectrum of complexity’ and that under specific conditions not only social systems but also natural and artificial systems can be (...) considered ‘complex reflexive.’ The epistemological challenges associated with scientifically understanding a phenomenon stem not from whether its domain is social, natural, or artificial, but where it falls along this spectrum. Reflexive systems present particular challenges; however, evolutionary model-dependent realism provides a bridge between Soros and Popper and a potential path forward for economics. (shrink)

Starting from the assumption that decision situations in economic contexts are characterized by fundamental uncertainty, this article argues that the decision-making of intentionally rational actors is anchored in fictions. “Fictionality” in economic action is the inhabitation in the mind of an imagined future state of the world and the beliefs in causal mechanisms leading to this future state. Actors are motivated in their actions by the imagined future and organize their activities based on these mental representations. Since these representations are (...) not confined to empirical reality, fictional expectations are also a source of creativity in the economy. Fictionality opens up a way to an understanding of the microfoundations of the dynamics of the economy. The article develops the notion of fictional expectations. It discusses the role of fictional expectations for the dynamics of the economy and addresses the question of how fictional expectations motivate action. The last part relates the notion of fiction to calculation and social macrostructures, especially institutions and cultural frames. The conclusion hints at the research program developing from the concept of fictional expectations. (shrink)

This article brings together the United Nations’ International Covenant on Economic, Social and Cultural Rights (ICESCR) and John McMurtry’s theory of value. In this perspective, the ICESCR is construed as a prime example of “civil commons,” while McMurtry’s theory of value is proposed as a tool of interpretation of the covenant. In particular, McMurtry’s theory of value is a hermeneutical device capable of highlighting: (a) what alternative conception of value systemically operates against the fulfilment of the rights enshrined in the (...) ICESCR; (b) the increased relevance of the ICESCR with regard to the current global economic crisis; (c) the parameters to determine the degree to which the rights at issue have been realized. Reflections on environmental implications of both the ICESCR and McMurtry’s axiology conclude the article. (shrink)

Is there a unique way to de-idealize models? If not, how might the possible ways of reducing the distortion between models and reality differ from each other? Based on an empirical case study conducted in financial markets, this paper discusses how a popular valuation model (the Discounted Cash Flow model) idealizes reality and how the market participants de-idealize it in concrete market situations. In contrast to Cartwright's view that economic models are generally over-constrained, this paper suggests that valuation models are (...) under-constrained. This serves as the reason why the relaxation of simplifying assumptions and concretization do not work as methods of de-idealization. The paper finds that financial market participants de-idealize models using commentary that takes the form of judgment. As a conclusion, a hypothesis is formulated that proposes that the more underdetermined the model is the bigger role narrative and other pragmatic elements play in the process of model application. (shrink)

This article analyzes some important aspects of socioeconomic and political development of the world in the near future. The future always stems from the present. The first part of the article is devoted to the study of some crucial events of the present, which could be regarded as precursors of forthcoming fundamental changes. In particular, it is shown that the turbulent events of late 2010 and 2011 in the Arab World may well be regarded as a start of the global (...) reconfiguration. The article also offers an analysis of some aspects of the global financial system that, according to the authors, notwithstanding all its negative points, performs certain important positive functions including the ?insurance? of social guaranties at the global scale. The second part of the article considers some global scenarios of the World System's new future and describes a few characteristics of the forthcoming ?Epoch of New Coalitions.? The article attempts to answer such questions as the following: What are the implications of the economic weakening of the United States as the World System center? Will the future World System have a leader? Will it experience a global governance deficit? Will the world fragmentation increase? (shrink)

As the critics of global financial capitalism recognize, there is excessive financial instability in today's international economy. However, this instability is due not to laissez faire, but to its absence. Comparing the current world financial system to a laissez‐faire benchmark highlights the very significant differences between the two.

Abstract In The Crisis of Global Capitalism, George Soros claims that the international financial economy is inherently unstable, and that while economists have failed to recognize this because of their commitment to static equilibrium theory, politicians have failed to stabilize the global economy because of their commitment to an unquestioned faith in the complete efficiency of laissez faire. While Soros is right to argue that market participants? expectations about the future can cause instability, he is wrong to maintain that this (...) has gone unrecognized by economists, and his notion that we live in a world of economic laissez faire is equally mistaken. Indeed, his own analysis of the Asian financial crisis points to the ?moral hazard? created by expectations of government intervention, rather than to laissez faire, as the culprit. (shrink)

This analysis examines fundamental questions at the intersection of social science and social technology as well as problems of disciplinary divisions and the challenge of cross-disciplinary cooperation. Its theoretical-empirical context is provided by post-communist transformations, a set of profound societal changes in which institutional design plays a central role. The article critically reappraises the contribution of Karl Popper's philosophy to this problem context, examines neoliberalism as social science and social technology, and examines the role of experts and disciplinary divisions in (...) the reform process. Building on Mario Bunge's social philosophy, it sketches basic elements of a cross-disciplinary approach to "social change by design." Key Words: post-communist transformation • social change • institutional design • Karl Popper • Mario Bunge. (shrink)

A manifestation of globalisation as an economic imperative has occurred at the national level in Australia.This manifestation is in the form of political policies, administrative practices and funding distribution ostensibly aimed at creating a more competitive national economy.Philosophy of Education, as a practice and product of some employees in the higher education industry in Australia, is being influenced by this manifestation of globalisation.Reflection on ways in which established concepts are being reshaped to suit the agenda of globalising political policies may (...) assist those engaged in philosophising about education to enhance their practice in ways they desire.It is argued here that such reflection should lead many academics in Australian universities to the conclusion that they should not undertake research and that research should not be part of the job specification for most academics employed in Australian universities.The argument in this paper is based on a set of epistemological assumptions about the nature of academic practices or traditions .Philosophy of Education is one such academic tradition or practice.A university may be conceived of as a community of academics engaged in a range of traditions or practices.A university may also be conceived of as a quasi‐governmental administrative entity employing workers to value‐add to customers intending to maximise personal economic rewards from future engagement in a more competitive national economy. (shrink)

The concept of the Transitional Economy denotes the problematic processes of change confronting nations wishing to achieve levels of economic development comparable with that of Western nations. Such an objective is problematic, as these nations may also be said to be in a state of transition. Globalization and E-commerce have necessitated a reconsideration of the nature of business activity and its implications for both society and the individual.Writers such as Gray (1998) warn against the "refashioning" of other nations in the (...) image of the American free market. Business ethics can be seen as a symbolic expression of Beck''s (1992) concern with the implications of Risk Society and the uncertainties arising from the realization that scientific, technological, and economic progress are not necessarily concomitant with social, cultural, and political progress. Locating business ethics within the theoretical context of Reflexive Modernity provides a means of evaluating the contribution that it can make to providing a critical forum for considering the ways in which business organisations are responding to concerns regarding business activity. (168). (shrink)

Gene-technology was developed in the eighties and stimulated an overmuch heated social debate. Let's think such problems as cloning, transgenic organisms, Human Genom Project, DNA diagnostics and therapy, the geneticalisation of society etc. While the gene manipulation develops rapidly the necessary social control is missing. Regarding the social co-ordination of gene technology, the decision-makers still excessively trust in the institution of market and in the experts' competence.

In this paper I provide a framework—what I refer to as ‘development theory’—for Ulanowicz’s ascendency theory of ecosystem development. Development theory is based in thermodynamics and information theory. A prominent feature of development theory is an understanding of senescence.

As a global futurist, I believe that humanizing capitalism means to make it ‘people friendly’. Market fundamentalism has twisted capitalism from Adam Smith's mid-1700s vision of a truly free market to a system that has devolved into one that serves one master, short-term exploitation of people and the earth for the sole purpose of making profits for the few. This incredible economic system needs to be changed so it nurtures the human spirit, affirms life, and offers sustainable options we can (...) feel proud to pass on to our children and grandchildren. We must envision a world where people are engaged in a truly free marketplace, with truly fair competition, where people feel excited and nourished by their work, and where technology serves humanity. I make the case that people have the power to change this system so it serves humanity instead of the other way around. This is a call for transcendence. (shrink)

This article argues that modern finance should be an important object of attention. Particularly worthy of study are three demarcations: the changing disciplinary boundary of economics, the distinction between private and public knowledge, and the legal and cultural demarcation between legitimate trading and gambling. The balance between what Barnes calls N-type and S-type terms in finance is different from, for example, that in physics, but that is no criticism of finance theory: the activities of those who disbelieve finance theory’s efficient (...) market hypothesis probably make the hypothesis more true. The case of Black-Scholes-Merton option pricing theory is drawn on to argue that the loops of self-reference intrinsic to S-terms seem predominantly performative: they increase the truth of finance theory’s typical assumptions. S-loops in the financial markets do not always promote stability, however, as is shown here by a case study of the fate of the hedge fund, Long-Term Capital Management. (shrink)

This article seeks to subject Fred Block and Margaret Somers’ influential reconstruction of Karl Polanyi’s The Great Transformation to a systematic review. I show that Block & Somers’s central claim—that Polanyi’s thinking underwent a “theoretical shift” as he wrote his seminal book—is not supported by archival evidence. I demonstrate that all the narrative keys that Block & Somers advance to lend plausibility to their discovery of a “theory of the always-embedded market economy” in The Great Transformation, wither under critical probing. (...) While this article does not advance a comprehensive alternative reconstruction of Polanyi’s main work, the essential continuities it uncovers in his social thought suggest that Polanyi’s book is best understood as the culmination of his long-standing efforts to rebuild a radically transformative socialism on non-Marxist foundations. The recognition that Polanyi’s political purposes extend far beyond regulated capitalism or social-democracy, I conclude, makes it possible—and indeed necessary—to read The Great Transformation as an internally coherent work of social theory. (shrink)

Contemporary social policy toward low-income women in the United States, as evidenced both by Personal Responsibility and Work Opportunity Reconciliation Act (PRWORA) and by the AFDC programme that preceded it, is in part an artefact of long-standing conceptions of the nature of citizenship. This view sees citizenship as resting primarily on civil and political rights, not on rights with respect to economic, social, and cultural matters. Drawing on scholarly literature on the development of international human rights regimes, the feminist literature (...) that analyses social policy both comparatively and in terms of US domestic policy, and literature regarding contemporary movements among low-income persons, this paper analyses the efforts of one organization, the Kensington Welfare Rights Union (KWRU), to challenge US policy via international human rights law and international enforcement mechanisms. We will suggest that, despite some of the flaws of the KWRU, their approach is a promising one for low-income women. In particular, we wish to suggest that a broader conception of citizenship that takes into account economic, cultural, and social rights is necessary to create a more equitable and democratic polity for women. (shrink)