Under central planning neither planners, managers, nor workers had incentives to promote the social economic interest. Nor did impeding markets for f… - Robin Hahnel

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Under central planning neither planners, managers, nor workers had incentives to promote the social economic interest. Nor did impeding markets for final goods to the planning system enfranchise consumers in meaningful ways. But central planning would have been incompatible with economic democracy even if it had overcome its information and incentive liabilities. And the truth is that it survived as long as it did only because it was propped up by unprecedented totalitarian political power.

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About Robin Hahnel

Robin Eric Hahnel (born March 25, 1946) is an American economist and Professor of Economics at . He was a professor at American University for many years and traveled extensively advising on economic matters all over the world. He is best known for his work on economics with Z Magazine editor .

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Alternative Names: Robin Eric Hahnel
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We should know that only replacing the economics of competition and greed with the economics of equitable cooperation will guarantee a globalization that takes advantage of potential efficiency gains in ways that also promote environmental protection, international equity, economic democracy, and variety.

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The fall of communism confirms century-old libertarian claims that equity and justice cannot be imposed by force, that interpreting "to each according to work" as "to each according to the marginal revenue product of one's labor" rationalizes privilege, and that central planning stifles workers' creative potentials. Clearly, enterprises whose inputs and outputs have been determined by a central planning procedure exclude workers and consumers from decision making, separate conceptual and manual tasks, and offer unequal consumption and work opportunities. For the Soviet, East German, Polish, Czechoslovakian, and Hungarian people to reject these injustices is encouraging. But it is dishonest to say this demonstrates that capitalism is optimal. It only bespeaks a lack of alternatives.

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