The Economy in Context: A Value-Based Approach

Klame , A jo A icle The Economy in Con ex : A Value-Based App oach Jou nal o Con ex ual Economics – Schmolle s Jah buch P o ided in Coope a ion wi h: Duncke & Humblo , Be lin Sugges ed Ci a ion: Klame , A jo (2020) : The Economy in Con ex : A Value-Based App oach, Jou nal o Con ex ual Economics – Schmolle s Jah buch, ISSN 2568-762X, Duncke & Humblo , Be lin, Vol. 140, Iss. 3-4, pp. 287-300, h ps://doi.o g/10.3790/schm.140.3-4.287 This Ve sion is a ailable a : h ps://hdl.handle.ne /10419/292583 S anda d-Nu zungsbedingungen: Die Dokumen e au EconS o dü en zu eigenen wissenscha lichen Zwecken und zum P i a geb auch gespeiche und kopie we den. Sie dü en die Dokumen e nich ü ö en liche ode komme zielle Zwecke e iel äl igen, ö en lich auss ellen, ö en lich zugänglich machen, e eiben ode ande wei ig nu zen. So e n die Ve asse die Dokumen e un e Open-Con en -Lizenzen (insbesonde e CC-Lizenzen) zu Ve ügung ges ell haben soll en, gel en abweichend on diesen Nu zungsbedingungen die in de do genann en Lizenz gewäh en Nu zungs ech e. Te ms o use: Documen s in EconS o may be sa ed and copied o you pe sonal and schola ly pu poses. You a e no o copy documen s o public o comme cial pu poses, o exhibi he documen s publicly, o make hem publicly a ailable on he in e ne , o o dis ibu e o o he wise use he documen s in public. I he documen s ha e been made a ailable unde an Open Con en Licence (especially C ea i e Commons Licences), you may exe cise u he usage igh s as speci ied in he indica ed licence. h ps://c ea i ecommons.o g/licenses/by/4.0/ The Economy in Con ex : A Value-Based App oach* By A jo Klame ** Abs ac A mo e comp ehensi e pic u e, o imagina y in Cha les Taylo ’s e m, pu s he sphe es o ma ke and o ganiza ions in a b oade pe spec i e. I calls o new concep s –like sha ed and common goods o p ac ices –and he willingness o con ibu e. We see ha cul u e, in he sense o sense-making p ac ices, ma e s a g ea deal, jus as Dei d e McCloskey and Vi gil S o , among o he s, a gue. By ocusing on alues, we see ha people alo ize hei alues no jus by way o ma ke s, bu mo e so by way o di e en , non-ma ke sphe es. The a icle e lec s a alue- based app oach o economics and he economy. JEL Codes: A1, B5, Z1 Keywo ds: Value-Based App oach, Social Goods, Cul u al Goods, Sha ed Goods, Willingness o Con ibu e, Cul u e, Oikos Pic u e you sel in a es au an wi h a g oup o colleagues. Wha do you see? Do you see you sel and he o he s engaged in a con e sa ion while enjoying he ood and d inks? O a e you ocused on he choices you and you colleagues make and he paymen o he bill a he end? In he con e sa ion o economis s he choices and he paymen seem all ha ma e . Economic alk is abou ansac ions in ma ke se ings. Economis s make you see choosing he es au an , choosing some i ems o he menu and paying o hem. In economic alk ha is called “consump ion.”You and you colleagues a e he buye s. Those who un he es au an a e he supplie s. The p ice is p esumed o be he c i ical a iable in luencing you decision o buy and he decision o he es au an o supply. Behind he supply cu e he es au an people a e pic u ed o p oduce he meal in a mo e o less p oduc i e and cos -e ec i e way. The poin is he income hey ea n hanks o you paymen s, a e deduc ion o he cos s. Tha is wha economis s call added alue. I makes you ealize ha you consump ion is good o he income o * The au ho wishes o hank he edi o s and pa icipan s in he cul u al economics semina a E asmus Uni e si y o use ul commen s. ** E asmus School o His o y, Cul u e and Communica ion, Depa men o A s &Cul u e S udies, E asmus Uni e si y Ro e dam, Bu g. Oudlaan 50, 3062 PA Ro e dam, Ne he lands. The au ho can be eached a [email p o ec ed].nl. Jou nal o Con ex ual Economics 140 (2020), 287–300 Duncke & Humblo , Be lin Jou nal o Con ex ual Economics 140 (2020) 3 –4 OPEN ACCESS | Licensed unde CC BY 4.0 | h ps://c ea i ecommons.o g/abou /cclicenses/ DOI h ps://doi.o g/10.3790/schm.140.3-4.287 | Gene a ed on 2023-10-13 12:12:33 o he s who can use ha o consume in hei u n. A e all, “[c]onsump ion is he sole end and pu pose o p oduc ion”as Adam Smi h al eady no ed in 1776 (Book i , Chap e 8, 49). This is one pe spec i e. Ano he pe spec i e makes you ocus on he pu pose o you sha ed dinne a a es au an . Then you may ask you sel : wha is impo an o me and my colleagues? This ques ions calls o wha you alue. You mos likely will men ion he con e sa ion, he socializing, he exchange o s o ies, anecdo es and ideas. Who knows, he con e sa ion allows you o es some new ideas you ha e o you esea ch. All ha makes he con e sa ion aluable apa om a i ming he collegiali y and iendship o you all. The ood is a good excuse. T ue o academics, app ecia ion o i s quali y is implici . And because he depa men picks up he bill, paymen is no an issue. The ea nings o he people o he es au an , and hei e o s, do no eally ma e , ei he . In his al e na i e pe spec i e he isi o he es au an is abou ealizing alues. 1. Mode n Social Imagina ies The no ion o “pe spec i e”e okes he possibili y ha people pe cei e he wo ld in di e en ways. Psychologis s pe cei e people dealing wi h pe sonal issues, aumas, and he like. Sociologis s ocus on social in e ac ions, and phenomena in which hey ecognize he mani es a ion o powe . Theologians pe cei e in he wo ld he hand o God, and hey ead he wo ld in ligh o he lessons o he Bible. Economis s pe cei e he economy in ligh o ma ke s guided by an in isible hand wi h he shadow o a la ge go e nmen . Some o hem see he ole o he go e nmen in a a o able ligh , o he s do no . I is all a ma e o pe spec i e. As Cha les Taylo (2003) sugges s, he economy has o be imagined as such. When people look a ound and y o make sense o wha hey obse e, hey need he ca ego y “economy” o iden i y a wo ld o p oduc ion, consump ion and dis ibu ion. As he example o he es au an shows, ha is a om ob ious. “The economy”is back- g ound a mos , i ha , in he wo ld iews o psychologis s, sociologis s, heologians, and, so I su mise, mos o dina y people li ing hei daily li e. I like o ask s uden s hei pic u e o he “economy.”E en economics s uden s p oduce a g ea a ie y o pic u es. Mos d aw a money sign, some d aw households and p oduce s wi h a ma ke in be ween, some a s ick igu e wi h a ques ion ma k o indica e choice, and one s uden e en d ew a bunch o e a ic lines o exp ess chaos. Non-economis s end o highligh he inancial side o he economy, d awing bank buildings and money signs. To hem “ he economy”is an abs ac wo ld, o en a h ea ening wo ld. Acco ding o Cha les Taylo “ he economy”cons i u es pa o he “sha ed social imagina y”o his ime. He in oduces he no ion o “sha ed social imagina y” o make us hink “o he ways people imagine hei social exis ence, how hey i oge he wi h A jo Klame 288 Jou nal o Con ex ual Economics 140 (2020) 3 –4 OPEN ACCESS | Licensed unde CC BY 4.0 | h ps://c ea i ecommons.o g/abou /cclicenses/ DOI h ps://doi.o g/10.3790/schm.140.3-4.287 | Gene a ed on 2023-10-13 12:12:33 o he s, how hings go on be ween hem and hei ellows, hei expec a ions ha a e no mally me , and he deepe no ma i e no ions and images ha unde lie hese ex- pec a ions (ibid., 23).”Taylo aces he beginnings o he mode n sha ed social imagina y o he eigh een h cen u y along wi h he imagina ion o a public sphe e (as in democ a ic p ocesses, poli ics). I was abou hen ha people began o dis inguish some hing like an economy and imagined a mo e o less au onomous economic sphe e wi h ma ke s, ading, p o i s, g eed and ee en e p ise. A he same ime hey began o displace he oyal cou as he cen e o hei uni e se wi h he imagina ion o a public sphe e in which hey, wi h o he indi iduals, could pa icipa e. And hey began o alue hei pe sonal sphe e as a p i a e sphe e ha could be shielded om social and public con ol. The sha ing o a social imagina y is c i ical o p oduc i e and e ec i e poli ical discou se. Poli icians need o be able o e oke a sha ed image o he economy o jus i y hei policies, and by doing so imply a public sphe e in which hey can speak and can be hea d. A he same ime hey need o hono and espec he p i a e sphe e ha people nowadays imagine o hemsel es. Economis s pay hommage o hese dis inc imagina ies claiming he economy as hei subjec ma e , iden i ying he go e nmen as ep esen ing he public sphe e and p esuming ha indi iduals make choices in hei p i a e sphe e. Tha is no o say ha economis s cha ge he public and p i a e sphe es wi h lo s o con en , as hey do o he economy, bu hey a e a leas p esen in hei pic u e o he wo ld. In he cha ac e iza ion o Taylo he image o he economy e okes an au onomous sphe e sepa a e om poli ical, mo al and pe sonal ac i i ies. P esumably, i is pe - cei ed as a sphe e in which people wheel and deal, exchange one hing o ano he , p oduce and wo k o p o i , and acqui e necessi ies guided by an in isible hand. I is a mode n image because i con as s wi h imagina y wo lds in which lo ds and kings pu sue hono and impose hei will on hei subo dina es, o in which a li e dedica ed o God is all ha ma e s and he au ho i y and p esence o he chu ch a e pe asi e. Howe e , is such a cha ac e iza ion igh ? Does i mi o li e as people pe cei e i ? Why? I b ing in he no ion o pe spec i e in o de o pu he w i ings o Dei d e McCloskey, Vi gil S o , Ginny Seung Choi, Pe e Boe ke and like-minded econo- mis s in pe spec i e. I sympa hisize wi h hese w i ings because hey add cul u e and i ues o he pic u e o he economy. In he mas e ul ilogy on bou geois i ues Dei d e McCloskey (2006; 2010; 2016) no only makes a con incing case o he p ospe i y ha ma ke s gene a e bu also o hei ole in gene a ing and bols e ing i uous beha io . He accoun aises all kinds o ques ions. Fo example, does all he c edi o he economic gains o he las cen u y o so go o he o ces o he ma ke ? Migh he de elopmen o go e nmen al o ganiza ions ha e con ibu ed o hose gains as well? How abou he emendous g ow h and de elopmen o comme cial and social o - The Economy in Con ex : A Value-Based App oach 289 Jou nal o Con ex ual Economics 140 (2020) 3 –4 OPEN ACCESS | Licensed unde CC BY 4.0 | h ps://c ea i ecommons.o g/abou /cclicenses/ DOI h ps://doi.o g/10.3790/schm.140.3-4.287 | Gene a ed on 2023-10-13 12:12:33 ganiza ions? And in which sphe es do i ues come abou ? A e all, people go o chu ch and spend ime a home as well. Migh hey pick up some hing abou em- pe ance, ai h, hope and lo e in passing? To add ess hese ques ions we a e in need o a b oade pic u e ha o e s a mo e a ied pe spec i e o he wo ld. A leas , ha is wha I endea o o show. 2. A B oade Pic u e Se e al au ho s ha e con ibu ed o he isualiza ion o he ma ke as a sphe e besides o he sphe es. Ka l Polanyi, o example, isualizes he sphe es o ecip oci y, o edis ibu ion and o householding in addi ion o he sphe e o he ma ke (Polanyi 1944). The sphe e o ecip oci y e okes he social ela ions ha people o m in in- o mal socie y (some imes called ci il socie y o he hi d sec o ). The sphe e o edis ibu ion e e s o he go e nmen wi h i s sys em o axes and expendi u es, and he sphe e o he household o he p i a e sphe e ha Taylo iden i ies as pa o he mode n social imagina y. The sphe e o ecip oci y and edis ibu ion cons i u es he public sphe e in Taylo ’s pe spec i e. O he s who wo ked wi h he pe spec i e o di e en sphe es, each wi h i s own logic, a e Hi schman (1970), Habe mas (1984), Luhmann ([1984] 1995) and Zelize ([1994] 2005). In my pu sui o unde s and he cul u al sec o wi h i s cul u al –o wha I would iden i y as sense-making –p ac ices I ha e ound hese isualiza ions use ul, bu el compelled o add a i h sphe e, i. e. he cul u al sphe e (Klame 2017). The idea is ha people alo ize hei p e e ences, needs and alues by engaging in p ac ices pe aining o one o mo e o hese i e sphe es. Each sphe e has i s own logic and dis inc i e p ac ices. You no ice he sphe e wi h he (M). Tha is he ma ke sphe e, he p eoccupa ion o economis s. Bu ha is no whe e li e s a s. A he base o his pic u e is he (O) o oikos. As economis s will know, oikos is G eek o household o home. I is he sphe e in which people s a hei li e and end i . When hey each adul hood, hey usually lea e hei pa en al oikos o de elop hei own. They do so o en wi h someone else, hei signi ican o he , wi h whom hey may gene a e o sp ing o ill hei home. Li e a home has a pa icula logic ha in o ms how o ope a e and wha o do. When a home is sha ed wi h o he s (a pa ne , child en, iends, pa en s maybe), people dis ibu e asks (“when you ake he kids o socce p ac ice, I will acuum he house”), sha e dinne , ca e o each o he , ha e aca ions oge he , and de elop common memo ies, usually wi hou he in e en ion o money as a uni o accoun o means o exchange, and wi hou a go e nmen al logic. The oikos enables people o ealize alues like ca e, lo e, a sense o amily, a he - and mo he hood, in imacy, and a sense o belonging. I s logic is based on loyal y, o oice (Hi schman 1970). Kids do wha he a he o mo he o de ed, and when hey do no A jo Klame 290 Jou nal o Con ex ual Economics 140 (2020) 3 –4 OPEN ACCESS | Licensed unde CC BY 4.0 | h ps://c ea i ecommons.o g/abou /cclicenses/ DOI h ps://doi.o g/10.3790/schm.140.3-4.287 | Gene a ed on 2023-10-13 12:12:33 app ecia e he o de s, hey can exp ess hei discon en by a guing, c ying o sc eaming. The oikos is also he si e o dependency, abuse, supp ession and in- doc ina ion, he shadow sides o a logic o (in e ‐)dependency. Pa o he oikos is he pe sonal sphe e. Tha is he sphe e o p i acy ha Taylo was e oking. I is he sphe e ha enables people o ealize alues, such as au onomy and a sense o sel . In his sphe e people elax, pu on com o able clo hes, and do hei hing dis ega ding wha o he people may hink o i . I is also he sphe e in which people wo k on hei skills and alen s, muse abou hei li e, ead, play music maybe. I is he sel -cen e ed sphe e. In he social sphe e (S) people en u e ou side hei home, go ou on he s ee . He e hey socialize and o m ela ionships wi h people ou side hei oikos, make iends, join clubs, go o school, su he in e ne , and become a membe o a neighbo hood, a g oups cha , a club o a chu ch. The social sphe e is he sphe e o he social logic, he logic o ela ionships, o ecip oci y, o sha ing, o pa icipa ing, o gi ing and con ibu ing. F iends sha e hings and do hings o and wi h each o he . Going u he away om he oikos people en e socie al li e, by engaging in poli ics, joining mo emen s, and pa icipa ing in con e sa ions ha o m he public sphe e. In his socie al sphe e people ealize hemsel es as ci izens. They do so by pa icipa ing in o con ibu ing o wha a e called common p ac ices, ha is p ac ices Figu e 1: The Model o Fi e Sphe es: he oikos, he social, ma ke , go e n- men al and cul u al sphe es (Klame 2017) The Economy in Con ex : A Value-Based App oach 291 Jou nal o Con ex ual Economics 140 (2020) 3 –4 OPEN ACCESS | Licensed unde CC BY 4.0 | h ps://c ea i ecommons.o g/abou /cclicenses/ DOI h ps://doi.o g/10.3790/schm.140.3-4.287 | Gene a ed on 2023-10-13 12:12:33 ha collec i es o people ha e in common. O he han in he social sphe e close o home, hey now in e ac wi h people whom hey do no necessa ily know. Open sou ce pla o ms a e mani es a ions o he social sphe e. People con ibu e o, and bene i om Linux, Wikipedia and o he such si es wi hou ge ing paid, o paying. Like he oikos he social sphe e has a shadow side, oo, as i excludes people and can be he si e o iolence, disc imina ion, acism and sexism. The beha io ha is equi ed o expec ed om us in he social sphe e is di e en om wha is equi ed and expec ed in ma ke s. I is beha io ha sui s ela ionships and gene a es a sense o sha ing o ha ing conce ns and alues in common. The social and socie al sphe es a e abou pa icipa ion and con ibu ion. In hese sphe es people in e ac socially. Inso a as mone a y ansac ions and he applica ion o ules and laws en e , hey a e he backg ound and me ely ins umen al. In o de o ha e a con- e sa ion you and you colleagues pay o dinne a he es au an and may ake in o accoun some legal cons ain s. Bu he paymen and he legal cons ain s a e no wha he socializing is abou . The con e sa ion ha you and you colleagues a e ha ing occu s in he cul u al sphe e (C). In his sphe e people make sense o hei li e and hei wo ld. Tha is wha we schola s do when we engage in con e sa ions abou ou subjec , w i e and ead a icles, and pa icipa e in semina s. In his sphe e people p ac ice a , a eligion, poli ics, ead books, make and wa ch mo ies and ele ision, w i e and ead jou nals and newspape s, and by doing all ha hey make sense o hemsel es in a con ex , pay homage o hei ci iliza ion, u he knowledge, and de e mine hei posi ion in he cul u al ield. This sphe e encompasses all o he s. Wi hou he (C) people would no be able o unde s and wha hey a e doing in all he o he sphe es. The cul u al sphe e is also he domain whe e ideologies ake shape, whe e people de elop undamen alis belie s, and hink hemsel es as di e en om –and possibly supe io o –o he s. I is he sphe e o p ejudices, ixed ideas, and he social imag- ina ies as cha ac e ized by Cha les Taylo . In his sphe e people de elop a sense o Du ch, Ge man, o Ame ican iden i y, hei mo al belie s, a sense o beau y, and hei wo ld iew. I is also in his sphe e ha people pick up o he idea ha he economy needs a s ong leade , o no , and he na ion needs o be p o ec ed om o eign compe i ion, o no . This sphe e ollows a cul u al logic. When people like McCloskey, Boe ke and I y o al e he unde s anding o some hing like “ he economy,” hey need o ake in o accoun wha o he s ha e said, use a simila idiom and language in o de o be un- de s ood. Usually, i equi es schooling and disciplining in o de o pa icipa e in speci ic cul u al p ac ices. I akes con empla ion and inqui y in o de o make sense o one’s li e. Reading and alking can help, oo. And yes, we make ansac ions. We do so in he ma ke sphe e, he sphe e o buying and selling, o p icing hings, o quan i ying ou income and weal h. In his sphe e we A jo Klame 292 Jou nal o Con ex ual Economics 140 (2020) 3 –4 OPEN ACCESS | Licensed unde CC BY 4.0 | h ps://c ea i ecommons.o g/abou /cclicenses/ DOI h ps://doi.o g/10.3790/schm.140.3-4.287 | Gene a ed on 2023-10-13 12:12:33 do business wi h people we may no know, and we buy s u o which we do no know he o igin o who p oduced i . When we buy ish, we usually ha e no clue who caugh he ish and whe e, who p ocessed he ish and cooked i o ou o de . We do no need o know all ha because, as economis s a e keen o poin ou , he p ice does he wo k o us. The ma ke sphe e is a ich sphe e, as economis s know all oo well and McCloskey is eage o p opaga e. I has a ema kable dynamic, wi h p ices mo ing all he ime, and o unes al e na ing con inuously. The p icing o hings has a p o ound e ec on ou li es. I has a disciplina y e ec , o one, bu also enables us o plan, budge , and e alua e. I s logic is basically one o accoun ing: s ocks and lows, income and ex- pendi u es. As McCloskey and I ha e a gued, accoun ing is he oo me apho o economics (1992). Bu i is also, acco ding o McCloskey, Robe Lane (1991) and o he s, he sphe e in which people de elop i ues like p udence, en ep eneu ial skills, and o he s which b ing abou inno a ion. How abou o ganiza ions? This is he ques ion ha I pose o McCloskey and o he s who p aise he i ues o ma ke s. How much o wha is accomplished in he las cen u y is due o he applica ion o he logic o o ganiza ion? A e all, a dis inc i e ea u e o mode n economies is o ganiza ional li e. Beginning in he la e nine een h cen u y o ganiza ions in he comme cial sphe e ook o . La ge co po a ions domina e a g ea pa o he economy. The majo i y o people wo k in and o an o ganiza ion; mos business is done wi h and among o ganiza ions. The go e nmen has an o - ganiza ion, oo, a p e y big one ac ually. I employs nume ous ci il se an s o occupy i s o ices and implemen he policies ha poli icians ha e de e mined. O ganiza ions cons i u e he go e nmen al sphe e (G). In his sphe e a go - e nmen al logic eigns. All o ganiza ions apply such a logic somehow. I is he logic o ules, o laws, o unc ions and asks, accoun ing, supe ision, hie a chy. An o - ganiza ion equi es a s uc u e o some so , wi h clea ag eemen s, and o en con ac s ha makes such ag eemen s legally binding. Comme cial o ganiza ions a e pa o G, bu so a e go e nmen s, social o gan- iza ions such as chu ches, schools, uni e si ies, and spo clubs. They a e because hey all use a go e nmen al logic. The e a e di e ences, o cou se. Economis s a e keen o poin ou ha comme cial o ganiza ions a e disciplined by ma ke o ces in a way ha go e nmen al o ganiza ions a e no . Ye , bo h o ganiza ions wo k by way o con- ac ual ag eemen s, depa men aliza ion, accoun ing ules, chains o command, and o he p ac ices ha a e adminis a i e and clea ly dis inc om he ansac ions ha ollow he logic o he ma ke sphe e. The academics among us will ecognize he o ganiza ional con ex in which hey ope a e, including c i e ia o p omo ion, exam p o ocols, deans who ell you wha o each, employmen con ac s ha speci y he ules and c i e ia o one’s sala y, pe ks, and condi ions o a sabba ical. They a e blessed wi h an o ganiza ion ha will ec ui he s uden s o hem, builds and main ains class ooms and o ices, and pays a a ewell pa y a e i emen . The o ganiza ion keeps he ma ke logic a bay. Jus imagine ha The Economy in Con ex : A Value-Based App oach 293 Jou nal o Con ex ual Economics 140 (2020) 3 –4 OPEN ACCESS | Licensed unde CC BY 4.0 | h ps://c ea i ecommons.o g/abou /cclicenses/ DOI h ps://doi.o g/10.3790/schm.140.3-4.287 | Gene a ed on 2023-10-13 12:12:33 we ha e o compe e o s uden s, ha ou sala y depends on how many s uden s we each and how many heses we supe ise? Imagine ha o he eache s compe e o ou cou ses and ge o each hem because hey a e willing o do so o much less money. The pic u e e lec s he mode n social imagina y as isualized by Cha les Taylo . Ye , by dis inguishing a sphe e o go e nance (G) his pic u e d aws mo e a en ion o o ganiza ional li e. This is wa an ed ce ainly since he eme gence o o ganiza ional sys ems in he nine een h cen u y (Chandle 1977), culmina ing in he de elopmen o la ge go e nmen al o ganiza ions s a ing in he wen ies and hi ies o he las cen u y. Ano he big di e ence is he addi ion o he cul u al sphe e (C). I needed ha sphe e o do jus ice o he sense-making ac i i ies ha a e so cha ac e is ic o he cul u al sec o . Suppo o his addi ion is gi en by an h opologis s and sociologis s who d aw ou a en ion o he gene a ion and communica ion o meanings (Douglas and Ishe wood 1979; Habe mas 1984; Kopy o 1988; Zelize [1994] 2005). 3. The Immedia e Payo This pic u e aises all kinds o ques ions ha a e less ob ious when he pic u e o (M) domina es. Fo one, we will wonde abou he in e ac ions be ween he sphe es. Wha is he ole o he cul u al sphe e? Does i impac he ma ke sphe e, as McCloskey and Webe ha e a gued?1 And how does he sphe e o (M) a ec he sphe e o (G), and ice e sa? Apa om he disciplining impac o ma ke o ces, go e no s can apply ma ke logic in hei go e nance, like when hey gi e bonuses o hei bes employees and ocus in e nally on quan i iable esul s. Ci il se an s can do he same by add essing ci izens as hei cus ome s, speci ying p oduc s, o ganizing compe i ions among supplie s, and decla ing ha hei ope a ions a e demand-d i en. (Such applica ion o (M) logic in go e nmen al con ex goes unde he lag o “neo-libe alism”). Ano he way o ealizing he impo ance o (G) is o ponde he impac o poo p i a e o ganiza ions and badly unc ioning go e nmen on he unc ioning o ma - ke s. We saw a e he down all o communis egimes ha he cons uc ion o s ong o ganiza ions p o ed o be a o midable challenge. Weak ci il socie y (pa o S) did no help ei he . The pic u e complica es he inqui y in o he causes o he weal h o na ions. S udying ma ke p ocesses will no su ice. The ques ion is wha he o he sphe es con ibu e, o how hey may hampe economic g ow h. Gi en he s ong ole o (G) in ou li es, i is somewha s ange o ealize how subdued i s p esence is in he s anda d economic pic u e. The o e sigh o (G) is e en 1In Klame (2019) I su ey he a ious in e ac ions be ween he sphe es o (C), (M) and (G). A jo Klame 294 Jou nal o Con ex ual Economics 140 (2020) 3 –4 OPEN ACCESS | Licensed unde CC BY 4.0 | h ps://c ea i ecommons.o g/abou /cclicenses/ DOI h ps://doi.o g/10.3790/schm.140.3-4.287 | Gene a ed on 2023-10-13 12:12:33