Humans and the "Laws" of the Market

nmccoy1

In the midst of this economic “crisis” we might do well to (re)engage with the work of economic sociologist, Karl Polanyi.  At the heart of his critique of market economies is the notion that an economic system that functions autonomously of political, social, and cultural intervention is essentially a utopian project.  If the market could in fact operate fully disembedded from society, humans and nature would be destroyed.  The market is not governed by  its own internal laws but rather is and has always been regulated by humans.  In a recent article (see below) in the New York Times, the pay caps of Wall Street executives are discussed in the context of the fluctuations and cyclical nature of the market.  According to Polanyi, a discourse analysis can reveal the ways in which the myth of an independent market economy, or rather, the ideology of market economics interferes with our ability to openly regulate what has always been regulated.    As we can see in the rising unemployment rates, foreclosed homes, and soaring rates of poverty indexes, what is at stake in our ability to reconcile ideology and reality is humanity.  This is not simply about how much an executive on Wall Street earns as compared to the hourly employee.  Instead, we have an opportunity to prevent the further suffering and dislocation of human beings who have long suffered at the hand of the “natural market forces.”  

  NY Times on Pay Caps for Execs

 Blackwell Reference on Karl Polanyi