Must consistent liberals regard the firm as a public institution and hold it accountable to democratic norms? Samuel Bowles and Herbert Gintis have recently tried to establish this conclusion on the basis of a critique of the Walrasian analysis of labour market. This essay endeavors to show, however, that bowles and Gintis fail to make a persuasive case for the democratic entreprise because thay overestimate the importance of Walrasian analysis of liberalism.
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