IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/89521.html
   My bibliography  Save this paper

Calcul socialiste et socialisme de marché
[Socialist Calculation and Market Socialism]

Author

Listed:
  • Jael, Paul

Abstract

This paper focuses on the debate held in the twenties and thirties of the last century between libertarian economists and socialist economists, following the denial by the first ones of the feasibility of a socialist economy. This controversy is well known to specialists and has been widely commented. It seemed to me useful to initiate non-specialists in an original way: by having the controversy speaking by itself. We review the main contributions and summarise their arguments with, initially, the bare minimum of personal comments. Walrasian general equilibrium serves as a reference for the defenders of market socialism in the controversy. But the concept of competition behind this theory is very incomplete; it is purely passive. It follows that the market socialism which emanates from it is not really a MARKET socialism. It is lacking the competition which innovates. Markets for capital goods are also lacking in theses models. Our paper then turns to a new generation of socialist models involving this real competition. We review two models proposed by Bardhan and Roemer and then exhibit a personal model. This type of model is facing a modern criticism whose central concept is the "soft budget constraint".

Suggested Citation

  • Jael, Paul, 2018. "Calcul socialiste et socialisme de marché [Socialist Calculation and Market Socialism]," MPRA Paper 89521, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:89521
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/89521/1/MPRA_paper_89521.pdf
    File Function: original version
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Roemer, J.E., 1995. "Joseph Stiglitz's Whither Socialism?: An Anti-Hayekian Manifesto," Department of Economics 95-15, California Davis - Department of Economics.
    2. Oskar Lange, 1937. "On the Economic Theory of Socialism: Part Two," Review of Economic Studies, Oxford University Press, vol. 4(2), pages 123-142.
    3. Pranab Bardhan & John E. Roemer, 1992. "Market Socialism: A Case for Rejuvenation," Journal of Economic Perspectives, American Economic Association, vol. 6(3), pages 101-116, Summer.
    4. James A. Yunker, 1995. "Post-Lange Market Socialism: An Evaluation of Profit-Oriented Proposals," Journal of Economic Issues, Taylor & Francis Journals, vol. 29(3), pages 683-717, September.
    5. Maurice Dobb, 1935. "Economic Theory and Socialist Economy: A Reply," Review of Economic Studies, Oxford University Press, vol. 2(2), pages 144-151.
    6. Abram Bergson, 1967. "Market Socialism Revisited," Journal of Political Economy, University of Chicago Press, vol. 75, pages 655-655.
    7. János Kornai, 2014. "The soft budget constraint," Acta Oeconomica, Akadémiai Kiadó, Hungary, vol. 64(supplemen), pages 25-79, November.
    8. repec:hrv:faseco:33077903 is not listed on IDEAS
    9. Andrei Shleifer & Robert W. Vishny, 1994. "The Politics of Market Socialism," Journal of Economic Perspectives, American Economic Association, vol. 8(2), pages 165-176, Spring.
    10. Auerbach, Paul & Sotiropoulos, Dimitris P., 2012. "Revisiting the socialist calculation debate: the role of markets and finance in Hayek’s response to Lange’s challenge," Economics Discussion Papers 2012-6, School of Economics, Kingston University London.
    11. Pranab Bardhan & John E. Roemer, 1994. "On the Workability of Market Socialism," Journal of Economic Perspectives, American Economic Association, vol. 8(2), pages 177-181, Spring.
    12. A. P. Lerner, 1934. "Economic Theory and Socialist Economy," Review of Economic Studies, Oxford University Press, vol. 2(1), pages 51-61.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jael, Paul, 2015. "Socialist Calculation and Market Socialism," MPRA Paper 64255, University Library of Munich, Germany.
    2. Dic Lo & Russell Smyth, 2004. "Towards a re-interpretation of the economics of feasible socialism," Cambridge Journal of Economics, Oxford University Press, vol. 28(6), pages 791-808, November.
    3. Abigail N. Devereaux, 2019. "The nudge wars: A modern socialist calculation debate," The Review of Austrian Economics, Springer;Society for the Development of Austrian Economics, vol. 32(2), pages 139-158, June.
    4. Chong-en Bai & Yijang Wang, 1997. "Agency in Project Screening and Termination Decisions: Why is Good Money Thrown after Bad?," Boston College Working Papers in Economics 347., Boston College Department of Economics.
    5. Levy, David M. & Peart, Sandra J. & Farrant, Andrew, 2005. "The spatial politics of F.A. Hayek's Road to Serfdom," European Journal of Political Economy, Elsevier, vol. 21(4), pages 982-999, December.
    6. Jean-Sébastien Lenfant & Jérôme Lallement, 2004. "L'équilibre général comme savoir : de Walras à nos jours," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) hal-01765036, HAL.
    7. Dalibor Roháč, 2013. "What Are the Lessons from Post-Communist Transitions?," Economic Affairs, Wiley Blackwell, vol. 33(1), pages 65-77, February.
    8. Keun Lee & Hong Yong Lee, 1992. "States, Markets and Economic Development in East Asian Capitalism and Socialism," Development Policy Review, Overseas Development Institute, vol. 10(2), pages 107-130, June.
    9. Fogel, Kathy & Morck, Randall & Yeung, Bernard, 2008. "Big business stability and economic growth: Is what's good for General Motors good for America?," Journal of Financial Economics, Elsevier, vol. 89(1), pages 83-108, July.
    10. Walter Block & Ivan Jankovic, 2016. "Tragedy of the Partnership: A Critique of Elinor Ostrom," American Journal of Economics and Sociology, Wiley Blackwell, vol. 75(2), pages 289-318, March.
    11. Alexandre Chirat, 2020. "Démocratie de la demande versus démocratie de l’offre : Reconstruction et interprétation des analogies démocratie-marché," Working Papers 2020-10, CRESE.
    12. Peter J. Boettke & Christopher J. Coyne & Peter T. Leeson, 2014. "Hayek versus the neoclassicists: lessons from the socialist calculation debate," Chapters, in: Roger W. Garrison & Norman Barry (ed.), Elgar Companion to Hayekian Economics, chapter 12, pages 278-293, Edward Elgar Publishing.
    13. Chong-en Bai & Yijiang Wang, 1995. "A Theory of the Soft-Budget Constraint," Boston College Working Papers in Economics 298., Boston College Department of Economics.
    14. Cannizzaro, Anthony P. & Weiner, Robert J., 2015. "Multinational investment and voluntary disclosure: Project-level evidence from the petroleum industry," Accounting, Organizations and Society, Elsevier, vol. 42(C), pages 32-47.
    15. Fahrholz Christian & Freytag Andreas, 2014. "Finanzpolitik in Europa zwischen Subsidiarität und Vergemeinschaftung: Eine ordnungsökonomische Analyse / Between subsidiarity and Europeanization: An ordo-liberal perspective on financial policy," ORDO. Jahrbuch für die Ordnung von Wirtschaft und Gesellschaft, De Gruyter, vol. 65(1), pages 99-116, January.
    16. Akai, Nobuo & Sato, Motohiro, 2008. "Too big or too small? A synthetic view of the commitment problem of interregional transfers," Journal of Urban Economics, Elsevier, vol. 64(3), pages 551-559, November.
    17. He, Yong, 2018. "Can the visible and invisible hands coexist in land pricing?," MPRA Paper 88770, University Library of Munich, Germany.
    18. Pelikan, Pavel, 1999. "Institutions for the Selection of Entrepreneurs: Implications for Economic Growth and Financial Crises," Working Paper Series 510, Research Institute of Industrial Economics, revised 15 Feb 2000.
    19. Tonis Alexander, 2002. "Privileges for Enterprises: Efficient Discrimination or Room for Abuse?," EERC Working Paper Series 02-01e, EERC Research Network, Russia and CIS.
    20. Anupam Das Gupta & Syed Moudud-Ul-Huq, 2020. "Do competition and revenue diversification have significant effect on risk-taking? Empirical evidence from BRICS banks," International Journal of Financial Engineering (IJFE), World Scientific Publishing Co. Pte. Ltd., vol. 7(01), pages 1-28, March.

    More about this item

    Keywords

    planification; socialisme de marché; calcul socialiste; Barone; von Mises; Hayek; Lange; Roemer;
    All these keywords.

    JEL classification:

    • P20 - Economic Systems - - Socialist Systems and Transition Economies - - - General
    • P21 - Economic Systems - - Socialist Systems and Transition Economies - - - Planning, Coordination, and Reform
    • P27 - Economic Systems - - Socialist Systems and Transition Economies - - - Performance and Prospects

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:89521. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Joachim Winter). General contact details of provider: https://edirc.repec.org/data/vfmunde.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.