Is now available. A brief excerpt:
Corporatism satisfies a desire for security. People want security of consumption, security of jobs, and security of their economic status. Corporatism replaces the decentralized competition of the market with political control over the economy. The forms of protection people obtain include occupational license restrictions, labor unions, and entitlement programs.
Would you also consider the corporation itself, along with its numerous privileges (limited liability, shareholder laws) as a “form of protection”? (Genuine question)
The corporation began as an extension of the sovereign, in the Roman empire. Towns and cities were the first corporations. In England, where our law comes from, but elsewhere as well, in the mercantilist era, corporations like licenses became ways for the crown to partner with others in economic ventures, such as exploring the new world. The crown bestowed charters on explorers in return for money or allegiance or other favors. Many colonies were founded by corporations – the Virginia Company, the Massachusetts Bay Company, the Hudson Bay Company etc. America maintained the same approach until mid 19th century when popular anger over too much corruption in the granting of charters caused states to liberalize the right to form one.
Corporations are privileges and do have “a form of protection”. OTOH, they have proven to be incredibly effective tools to mobilize capital and economic activity by avoiding the transaction costs that organization by series of individual contracts would have required.
Durn! now you’ve gone and got me another must read when I’m already 22 months behind.
I echo Richard’s sentiment in toto. Phelps, btw, taught me as an undergrad.
From what I can observe, those that don’t play the game (e.g. software engineer (what I do), cashier at Walmart, non-unionized manufacturing worker) are prime targets for gaming. They constantly encounter the pressures of immigration, automation, and globalization but the rewards for these sacrifices go elsewhere – the big money is in areas like finance, law, and medicine that are heavily regulated and licensed.
To judge from the review, the book does not seem to offer any new lines of reasoning, or new evidence for familiar lines of reasoning. Am I missing something?