Concatenate Coordination and Mutual Coordination
AbstractWe tell of the evolving meaning of the term coordination as used by economists. The paper is based on systematic electronic searches (on “coord,” etc.) of major works and leading journals. The term coordination first emerged in professional economics around 1880, to describe the directed productive concatenation of factors or activities within a firm. Also, transportation economists used the term to describe the concatenation of routes and trips of a transportation system. These usages represent what we term concatenate coordination. The next major development came in the 1930s from several LSE economists (Hayek, Plant, Hutt, and Coase), who extended that concept beyond the eye of any actual coordinator. That is, they wrote of the concatenate coordination of a system of polycentric or spontaneous activities. These various applications of concatenate coordination prevailed until the next major development, namely, Thomas Schelling and game models. Here coordination referred to a mutual meshing of actions. Game theorists developed crisp ideas of coordination games (like “battle of the sexes”), coordination equilibria, convention, and path dependence. This “coordination” was not a refashioning, but rather a distinct concept, one we distinguish as mutual coordination. As game models became more familiar to economists, it was mutual coordination that economists increasingly had in mind when they spoke of “coordination.” Economists switched, so to speak, to a new semantic equilibrium. Now, mutual coordination overshadows the older notion of concatenate coordination. The two senses of coordination are conceptually distinct and correspond neatly to the two dictionary definitions of the verb to coordinate. Both are crucial to economics. We suggest that distinguishing between the two senses can help to clarify “coordination” talk. Also, compared to talk of “efficiency” and “optimality,” concatenate coordination allows for a richer, more humanistic, and more openly aesthetic discussion of social affairs. The narrative is backed up by Excel worksheets that report on systematic content searches of the writings of economics using the worldwide web and, using JSTOR, of Quarterly Journal of Economics, Economic Journal, Journal of Political Economy, American Economic Review, and Economica.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by The Ratio Institute in its series Ratio Working Papers with number 116.
Length: 32 pages
Date of creation: 03 Jan 2008
Date of revision:
Publication status: Published in Journal of Economic Behavior & Organization, 2009, pages 176-187.
Contact details of provider:
Postal: The Ratio Institute, P.O. Box 5095, SE-102 42 Stockholm, Sweden
Phone: 08-441 59 00
Fax: 08-441 59 29
Web page: http://www.ratio.se/
More information through EDIRC
coordination; concatenation; planning; coordination equilibrium; focal point;
Other versions of this item:
- A10 - General Economics and Teaching - - General Economics - - - General
- B00 - Schools of Economic Thought and Methodology - - General - - - History of Economic Thought, Methodology, and Heterodox Approaches
- C70 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - General
- D02 - Microeconomics - - General - - - Institutions: Design, Formation, and Operations
This paper has been announced in the following NEP Reports:
- NEP-ALL-2008-01-05 (All new papers)
- NEP-CBE-2008-01-05 (Cognitive & Behavioural Economics)
- NEP-HIS-2008-01-05 (Business, Economic & Financial History)
- NEP-HPE-2008-01-05 (History & Philosophy of Economics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Cooper, Russell & John, Andrew, 1988. "Coordinating Coordination Failures in Keynesian Models," The Quarterly Journal of Economics, MIT Press, vol. 103(3), pages 441-63, August.
- Diamond, Peter A, 1982.
"Aggregate Demand Management in Search Equilibrium,"
Journal of Political Economy,
University of Chicago Press, vol. 90(5), pages 881-94, October.
- Ball, Laurence & Romer, David, 1991.
"Sticky Prices as Coordination Failure,"
American Economic Review,
American Economic Association, vol. 81(3), pages 539-52, June.
- Sugden, Robert, 1989. "Spontaneous Order," Journal of Economic Perspectives, American Economic Association, vol. 3(4), pages 85-97, Fall.
- Coase, R H, 1988. "The Nature of the Firm: Meaning," Journal of Law, Economics and Organization, Oxford University Press, vol. 4(1), pages 19-32, Spring.
- Spencer, Herbert, 1862. "First Principles," History of Economic Thought Books, McMaster University Archive for the History of Economic Thought, number spencer1862.
- Coase, R H, 1988. "The Nature of the Firm: Origin," Journal of Law, Economics and Organization, Oxford University Press, vol. 4(1), pages 3-17, Spring.
- Klein, Daniel B. & Briggeman, Jason, 2008. "Israel Kirzner on Coordination and Discovery," Ratio Working Papers 127, The Ratio Institute.
- Daniel Klein, 1997. "Convention, Social Order, and the Two Coordinations," Constitutional Political Economy, Springer, vol. 8(4), pages 319-335, December.
- Smith, Adam, 1759. "The Theory of Moral Sentiments," History of Economic Thought Books, McMaster University Archive for the History of Economic Thought, number smith1759.
- Coase, R H, 1988. "The Nature of the Firm: Influence," Journal of Law, Economics and Organization, Oxford University Press, vol. 4(1), pages 33-47, Spring.
- H. Peyton Young, 1996. "The Economics of Convention," Journal of Economic Perspectives, American Economic Association, vol. 10(2), pages 105-122, Spring.
- Boettke, Peter, 2010.
"Corridors, Coordination and the Entrepreneurial Theory of the Market Process,"
33597, University Library of Munich, Germany.
- Peter J. Boettke & Daniel J. D'Amico, 2010. "Corridors, Coordination, and the Entrepreneurial Theory of the Market Process," Journal of Private Enterprise, The Association of Private Enterprise Education, vol. 25(Spring 20), pages 87-96.
- Harper, David A., 2013. "Property rights, entrepreneurship and coordination," Journal of Economic Behavior & Organization, Elsevier, vol. 88(C), pages 62-77.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Martin Korpi).
If references are entirely missing, you can add them using this form.