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This chapter examines Polanyi’s institutional theory of market-capitalist society. It shows that market society is, according to Polanyi, a peculiarly “economic” society: its economy appears both autonomous and dominant, constraining the structure and evolution of other social subsystems. The chapter also demonstrates that Polanyi’s theory and method allow an explanation of the institutional transformations of market society. In the face of today’s great economic difficulties, social...
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Institutional economics is a sociocultural discipline and policy science which draws on the idea that economies are best understood through an appreciation of history, real-world institutions, and socioeconomic interrelations. This book brings together leading institutionalists to examine the tradition’s most essential perspectives and methods. The contributors to the book draw on a broad range of institutional thought from the classic work of Thorstein Veblen, John R. Commons, and Karl...
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Happiness economics unearths the undesirable effects of economic growth and criticizes the economic model based on the belief in the supremacy of market relations over the relational bonds of society. Economic growth brings about substantial increases in material well-being; yet, it has the potential to destroy the social and environmental fabric of society. This is visible in the post-World War II cross-country variability of the subjective well-being measures, which shows the importance of...
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Neoliberalism has been able to change the markets and the economy of societies around the world. These transformations are especially important with regards to fictitious commodities: land, labor, and money. However, the 2020 pandemic imposes new limits, when life itself is at risk globally. This work highlights the major neoliberal reforms relating to fictitious commodities, the difficulties of society to resist and create counterweights. The health crisis that has emerged with the COVID-19...
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Capitalism is a social relation that cannot be reduced to the characteristics associated with it - markets, private property, profit and profit orientation. This relation can be shaped in different ways. The article refers to Karl Polanyi’s idea of the ›always embedded market economy‹ in order to develop basic characteristics of an example of post-capitalist economic ethics. Alternate abstract: Der Kapitalismus ist ein soziales Verhältnis, das sich nicht auf die mit ihm in Verbindung...
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We examine parallels and differences in the analyses of societal transition by Karl Polanyi and Joseph A. Schumpeter. We argue that although their understanding of historical processes differs - transformational-political vs. evolutionary-natural - the central mechanism of change they describe is the same. We identify three spheres essential to both authors' works: the economic, the political and the socio-cultural sphere. Polanyi and Schumpeter describe an expansion of the economic sphere...
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The article deals with the first stage of the market economic system - the traditional market economy. The traditional market economy is considered in the assessment of its main researchers. The main goal of the study is to identify the main characteristics and features of the traditional economy, which would explain the absence of pronounced cyclical elements in it. It is assumed that several essential elements of such an economy carry the strongest countercyclical potential. The article...
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