Dear Se, we have discussed this subject many, many times.  Justin is
indeed the most enthusiastic supporter of MS.  He is also knowledgeable.
I suggest that you look through the archives and see what he has written.

On Tue, Jul 09, 2002 at 02:34:19PM +0000, Justin Schwartz wrote:
> 
> Dear Se,
> 
> >I have set that assumption (that I support the development of a MS type 
> >economy) in a particular context. I would be happy to see things go further 
> >but just can't see that around the corner given the state of the left 
> >across the world.
> 
> Ah. Well, I guess I am principled supporter of MS; I am impressed with 
> Hayek-type arguments that a wholly nonmarket economy would not be propserous 
> enough to support socialism of a sort we'd like.
> 
> >
> >Schweichart:
> 
> SchweicKart
> 
> he looked to the Jugoslavian model as one for
> >replication, n'est pas?
> 
> Not exactly. For inspiration, yes. For the idea of worker control, among 
> other things. He was also inspired, perhaps more than by Yugo, by Mondragon.
> 
> I think that he failed to look at the model
> >within the context of Jugoslavia's preferential position within the world 
> >economy -it's relationship to imperialism (for example).
> 
> Well, all of us fans of worker self-management have to look hard at the 
> factors that contributed to the Yugo model's failure--just as the fans of 
> planned socialism have to look harder at the factors that contributed to the 
> failure of the Soviet model. I have just acquired Susan Woodward's book 
> Socialist Unemployment, which (on a superficial skim) attributes the problem 
> sto the model's failure to deal with the problem of unemployment. (I was on 
> a panel with Woodward once; she's very smart.) Other theories: Yugo got in 
> hoc to the IMF and the World Bank, which screwed things up with their 
> austerity programs; Tugo failed to systemnatically implement self-management 
> (Lydell's view); Yugo lacked a real hard budgetr constraint tjat would shut 
> down failing firms; and finally, Yugo ran into some problems for some 
> combination of reasons, but, in the context of the collapse of the rest of 
> socialism, was hijacked by ambitious politicians like Milosovec.
> 
> >
> >That said, there is much to be learnt from their system. My prefered model 
> >is a mixture of state intervention and a non-profit distributing service 
> >sector.
> 
> Schweickart's model has planned (new) investment, and lots of regulation. 
> What's your "service distribution sector"?
> 
> >The utilisation of non-profit distributing service enterprises will gain 
> >the efficiency benefits of the market yet they will not be redistributed in 
> >the form of profits, rather more investments. I feel that Governments have 
> >a role in supporting this sector (otherwise known as the social economy) 
> >and that this sector can have a dual role of reducing dependency on FDI and 
> >of increasing popular involvement in the economic development process.
> >
> >Anyway, enough on that.
> >Sé (I am using my wife's account).
> >
> 
> 
> jks
> 
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-- 
Michael Perelman
Economics Department
California State University
Chico, CA 95929

Tel. 530-898-5321
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