Today we face a very serious multidimensional crisis.
This crisis affects all spheres of life. In other words,
it is an economic crisis, it is a political crisis,
it is a social crisis, an ecological crisis, even a
cultural crisis. So the question is, is there any common
thread, that is, can we find any common cause for the
various aspects of the crisis. And the answer, to my
mind, is yes. The cause is always the concentrational
powers on various levels. It is the concentration of
economic power, which leads to the economic crisis,
of political power, which leads to the political crisis,
and so on. The political crisis is a by-product of the
dynamics of representative democracy. Representative
democracy is not a system that was always there - it
was created at about the same time as the system of
the market economy 200 years ago and its dynamics has
led to the present situation, where it's not even parliaments
any more that take important decisions, it's not even
the governing parties, but it's just cliques around
the president or the prime minister which take all the
important decisions. This creates huge alienation. That's
why today we don't have any more mass political parties.
People do not become members of parties as used to be
the case in the past. Not only this: today many people
do not even bother to vote. So this is a manifestation
of the huge political crisis that the system of representative
democracy is going through at the moment. Therefore,
if you look at every aspect of the present crisis, you
will see that the ultimate cause behind it is the concentration
of power in some form. And that's why we need an inclusive
democracy, because inclusive democracy is the abolition
of this concentration of power at the institutional
level, the abolition of this concentration of power
in all its forms and the creation of conditions of equal
sharing of power, of political, economic power, and
so on.
I'm Takis Fotopoulos, I'm a writer and the editor of
the international journal "Democracy & Nature",
the international journal for inclusive democracy, and
I'd been teaching economics at the University of North
London in the past, for over 20 years. I would like
to talk about the project of inclusive democracy and
I would like to start first with: What is inclusive
democracy? I think it is important to stress that the
inclusive democracy project is not just an economic
model, but it is a broader political project, which
aims to remake society at all levels, at the political
level, the economic level, the social level, and, of
course, in the ecological sphere. The overall aim of
the inclusive democracy project is to create a society
in which people determine themselves, in which, in other
words, the "demos", as it was the classical
concept for the people, has overall control over the
political sphere, the economic sphere, the social sphere
in general.
So the inclusive democracy project, in a sense, is a
synthesis of the two major historical traditions, the
socialist tradition and the democratic tradition, and
also of the currents that developed in the last 30 or
40 years, the new social movements, the feminist movement,
the ecological movement, the identity movements of various
sorts, and so on. In other words, the inclusive democracy
project is a synthesis of all those historical experiences,
of the socialist and also the democratic tradition and
all those new social movements. And in this sense we
can say that the inclusive democracy project is neither
a theoretical construct, but it is the product of all
those historical experiences, nor is it a utopia - and
it is not a utopia because there are already trends
all around us leading to a society which in various
aspects resembles the inclusive democracy society. There
are all over experiments going on with alternative institutions
and whenever there is an insurrection, like for example
the recent Argentinean one, we have seen people organizing
themselves in general assemblies and trying to organize
political and economic life according to principles
which, like the principle that I'm going to explain
in a moment, are the principles of the inclusive democracy
project.
The four components of the inclusive democracy society
are: first, the political or direct democracy; second,
economic democracy; third, democracy at the social level;
and fourth, ecological democracy. So let's see briefly
what we mean by each of those components.
Political or direct democracy means the authority of
"demos", of the people, over the political
sphere. In other words, political democracy implies
that it is the people collectively that take decisions
about all political affairs, and directly without representatives,
because what we call representative democracy today
is a fake democracy, since there can be no representation
of my will, of anybody's will; that is, you can either
express your will directly, or you can simply delegate
certain kinds of wishes you have, but you cannot have
somebody else decide for you. So political or direct
democracy is the type of society where people directly
and collectively decide for themselves on all important
aspects of political life. That means that in a direct
democracy every resident in a particular area takes
part in the democratic process. We shall assume that
usually this will not be a community of more than thirty
to fifty thousand people.
In the same way that we define political democracy as
the authority of demos over the political sphere we
can define economic democracy as the authority of demos
over the economic sphere. This means that it is the
citizen body, that is, all people at mature age - which
is decided by the assemblies - all people at a certain
age decide, take decisions on all major economic problems,
particularly those affecting the meeting of basic needs.
In an inclusive democracy there should be no private
ownership of productive resources, of the means of production,
but instead the productive resources should be owned
by the demos, there should be demotic ownership of the
means of production.
The third component of inclusive democracy is democracy
at the social level; that means at the microlevel, at
the level of the workplace, the household, the educational
place, and so on. In all those places, there should
be democracy in the sense that there should be equal
distribution of power. There should be no distinction
between workers working in a workplace, there should
be no distinction, there should be, in other words equal
distribution of power between men and women, between
teachers and students or pupils, and so on.
And finally we have the fourth component of inclusive
democracy, the ecological democracy component, which
means that the inclusive democracy aims to create the
subjective and objective conditions so that man is reintegrated
into nature, society is reintegrated into nature. This
is important because what we have today is a situation
where society is separate from nature. We see nature
as an instrument to achieve certain objectives - the
main objective is economic growth, of course - and as
a result we suffer the crisis that we have at the moment,
a serious ecological crisis.
So, having seen what is an inclusive democracy and
why we need an inclusive democracy, the next important
thing is to see how an economic democracy, that is,
how this basic component of inclusive democracy will
work, what sort of an institution we can imagine that
would secure equal distribution of economic power. This
is important, not in order to prescribe some kind of
regime that should follow in the future - this is silly
because in fact it is the democratic assemblies of the
future that will decide the form that their institution
would take. What we can only do here is to give an idea
of why such a system is feasible, how it can work, and
make some proposals that would implement all the basic
principle I mentioned before.
The model therefore of economic democracy that I'm going
to explain in a moment also represents a synthesis -
as the whole project of inclusive democracy represents
a synthesis - it represents a synthesis of two systems
that we have known in the past, the planning system
on the one hand, and the market system that we still
have.
The basic element of the planning system or the basic
aim if you like, of the planning system was that it
aimed at securing the meeting of basic needs of all
people. On the other hand, the basic element that is
produced or presented by supporters of the market system
as its main strong point is freedom of choice. However,
neither of the two systems has worked as in theory.
That is, the planning system, the central planning system
in the East has created some conditions so that the
basic needs more or less of all people have been met,
but this did not mean any kind of economic democracy
because, as I said before, the decisions were taken
by the political elite. Nor does the market system satisfy
the supposed advantage of freedom of choice because
it's ridiculous to talk about freedom of choice when
basic needs are not being met.
So the question is how we can have a system that on
the one hand secures the satisfaction of all basic needs
of all citizens, and on the other hand secures freedom
of choice. For this, the proposal of the inclusive democracy
project is to combine the planning element, which would
be especially useful as regards the meeting of basic
needs, with the market element - not in the sense of
a real market like the present one, but in the sense
of an artificial market, and I'm going to explain it
in a moment.
As you can see in this simple diagram,
at the
bottom of the pyramid you can see "citizens decide".
And there you can see that it is citizens who decide
production, decide consumption, decide work. In other
words, all the important decisions are being taken by
citizens. This is not accidental because you should
not forget that this is a model of the economy which
is stateless, in other words, it does not presuppose
a state, it's moneyless, in the sense that it does not
presuppose money the way we know it today, and it is
marketless, in the sense that there is no real market
but an artificial market, and it is basically citizens
who decide.
So let's move first to the consumption side of the economy.
And there you can see that citizens decide as consumers
how to allocate their income, which comes in the form
of vouchers. That is, citizens in exchange for the work
they offer to the society are rewarded with vouchers.
Now we may distinguish here between basic and non-basic
vouchers. Let's start with the basic vouchers on the
right. We can estimate the number of man-hours that
people have to offer to society, to the community so
that their basic needs are satisfied. The planners,
in other words, on the basis of estimates about what
are basic needs - and what are basic needs is decided
democratically, not objectively, because if you introduce
the element of objectivity, then you may easily end
up with all sorts of arbitrary decisions - so democratically
citizens decide which needs are basic and also what
should be the level of satisfaction so that the basic
needs, say food or clothing or whatever, are satisfied.
So on the basis of estimates about the size of the population
and the entitlement of each citizen to particular basic
needs on the one hand, and on the other hand, on the
basis of technological averages we can find out what
is the total number of basic hours that should be offered
in a community of say thirty or fifty thousand people
so that its basic needs are satisfied.
The non-basic vouchers are issued to citizens who would
like to work over and above the minimum requirement
that is needed for the satisfaction of basic needs.
Let's say that planners have estimated that everybody
has to work three hours a day so that all basic needs
are met. If somebody wants to work more than three hours,
either in the same line of activity or in a different
one, then he is rewarded for this with non-basic vouchers,
which he can use to buy commodities - goods and services
which are of non-basic nature.
The question that arises with respect to non-basic vouchers
is how we can determine the rates of exchange, in other
words, the "prices" at which work is exchanged
with non-basic vouchers. For basic vouchers that is
no problem because everybody has to work a minimum number
of hours to meet his or her basic needs. But with non-basic
vouchers there is a question of what is the right of
remuneration. Now here we can take into account - and
that's why I talked before about an artificial market
- we can take into account the demand and supply conditions
of the past. In other words, if, say, a mobile is characterized
as a non-basic good by the assemblies and if, say, over
the past six months in this community, there has been
an offer of, say, 100 000 non-basic vouchers in the
purchase of mobiles, with these 100 000 vouchers people
could buy 1000 mobiles because that was the total production
of mobiles, then, if we divide the number of vouchers
used in the purchase of mobiles by the number of mobiles
produced, we get 100. So the price of a mobile is 100
non-basic vouchers. And similarly we can find out the
price of any other non-basic good, in other words, by
taking into account what production took place over
a period of time and also what the demand for this particular
type of good and service was. This way, therefore, we
start with actual demand and actual supply conditions
rather than - and this is a major drawback of most planning
systems - rather than by asking people in advance what
they wish to buy and then calculating accordingly, through
the planning mechanism, what is to be produced. The
disadvantage of all these types of planning is that
people have to decide six months or a year in advance
what exactly they are going to buy, which, of course,
is something that seriously restricts freedom of choice.
So let's move now to the production side of the economy.
As you can see, citizens decide the production targets
in demotic assemblies on the one hand, and workplace
assemblies on the other. Now, demotic assemblies are
perhaps the most important body of decision-making in
the inclusive democracy. It is the assembly of the demos,
the assembly of the citizen body in a particular area.
The demotic assembly takes decisions on all aspects
of economic and political and social life, and as regards
economics in particular. It decides on the basis of
the plan which is designed at the confederal level,
which we are going to see in a moment. The demotic assembly,
on the basis of the confederal plan instructions, as
we have seen before, estimates what the basic needs
of the people would be and how many hours each has to
work. So on the basis of these instructions, the demotic
assemblies give instructions to the various workplace
assemblies of what the work tasks are - that is, what
they have to produce in order to meet the needs of the
people.
However, both demotic and workplace assemblies refer
to the local level. We have, however, to think that
there are also problems of regional, or national or
even continental significance. That's why we also need
what we may call regional assemblies, as we can see
in the diagram, which decide on problems that cannot
be decided at the local level. Because in principle
all main decisions are taken at the local level but
there are problems which cannot be solved at the local
level - take transport, take energy, take communication.
You cannot solve this sort of problems at the local
level, so there should be a regional assembly consisting
of delegates from the demotic assemblies - which does
not take decisions. That's important, the regional assembly
is an administrative council, it's not a policy-making
body. Remember, we have delegates, we don't have representatives,
so from demotic assemblies a number of delegates are
elected to the regional assembly in order to implement
the decisions of the demotic assemblies.
Finally we have confederal assemblies, which are the
highest economic organ of the inclusive democracy. And
this means that an inclusive democracy cannot work only
at the local level. Unless local democracies are confederated
in a kind of confederal inclusive democracy, then it
is meaningless to talk about any reasonable allocation
of resources. In fact, I could say that the three conditions
of economic democracy are: first, what I mentioned before,
the demotic ownership of the means of production; second,
it's self-reliance, that is, each local community, each
demos should be self-reliant, not in the sense of autarchy
- autarchy is impossible today - but in the sense of
relying on its own resources in order to meet as many
needs as possible; and the third important principle
that is implied by this economic democracy model is
confederal allocation of resources, the allocation of
resources takes place at the confederal level.
In a free society the question is who is going to do
the unpleasant jobs and how we can meet demand and supply
when, say, more people would like to do jobs that are
very pleasant, versus the other type of jobs.
Now, one solution that has been suggested is the idea
of job complexes, which means that people can do a variety
of work tasks. In other words, we can expand the meaning
of the job or type of job to include many, as many work
tasks as possible. For example, if you work in an office,
you can do typing but at the same time you can be involved
in other types of more interesting work in the office
and in decision-taking as well, and so on. So in this
sense the job complex idea does sort out the problem
of how we choose jobs in certain kinds of activities.
But this is not a panacea again, that is, there are
types of activities that we can think of where the idea
of job complexes may not work, especially if you need
a very high degree of training and skill in order to
do a particular job. I cannot think of a job complex
for a surgeon, say, or for a pilot. I cannot imagine
the surgeon doing the cleaning as well or helping the
nurse give injections because that would be a waste
of his time and of society's time, which is even more
important. So there should be some other way of expressing
the desires of people and as regards the type of work
they choose.
As regards the non-basic type of work, there is a system
that is proposed by the inclusive democracy system that
could sort out this problem. But as regards the basic
type of work I think the only solution is that the answer
to this serious mismatch between demand and supply is
either rotation, that is, the people do various types
of activities on rotation, so that you're going to do
hard work like building or mining, then again you can
have some rotation - that's one way. Or another way
may be that you reward people doing jobs for which there
is not much demand with non-basic vouchers on top of
the basic vouchers they have to receive anyway.
If we move up to the diagram, then we can see that
we have on the left the index of desirability and on
the other the prices of non-basic goods and services.
These are the two basic elements that determine the
rate of remuneration of non-basic work. The index of
desirability is a complex index showing the desires
of people as regards various types of work. First a
look at the index of desirability: We can design it
as an inverse function of desirability in the sense
that the more desirable a job, a type of work is, the
less the remuneration is, so that in this sense we can
have on the one hand satisfaction of the desire of people
and on the other hand satisfaction of the needs of society
in the sense that for non-desirable work there should
be higher remuneration - say, a builder or a miner should
receive a higher remuneration than perhaps a university
teacher because the university teacher gets more satisfaction
from his work than a miner or a builder. Furthermore,
and that's important, we have an adjustment mechanism
here at work, because if, say, in a particular type
of activity there is not much offer for non-basic work,
if, say, there are not many people who would like to
do extra work in the production of mobiles, again, then
that means that this would be reflected in the price
of mobiles, the price of mobiles would go up as production
of mobiles would fall. Therefore, as the price of mobiles
would go up, the rate of remuneration would go up and
this would attract more workers in the production of
mobiles.
So, that's in a nutshell how this model of economic
democracy works. But as I said from the beginning, this
is just a proposal to show that it is feasible to have
a different kind of society meeting the basic needs
of all citizens and at the same time meeting the demand
for freedom of choice. And it is, of course, up to the
general assemblies of the future to decide what exactly
the form of their society should be.
Finally the crucial question that we have to consider
is how we can move towards an inclusive democracy, that
is, how we envisage a transitional strategy towards
this sort of society.
I think that the basic principle that should guide our
steps is that means should be consistent with ends.
Therefore we need a new type of political organization
that would secure the meeting of the basic demands of
direct democracy. That rules out any kind of avant-garde
and hierarchical political parties and so on. What we
need instead is a new movement, a new kind of mass movement
that would be based on autonomous - more or less - organizations
that would be confederated, of course, which would start
building institutions of inclusive democracy in their
own areas.
In other words, I can see the transition towards an
inclusive democracy using two sorts of tactics or, if
you like, strategies: On the one hand the usual defensive
strategy of the left, which means taking part in struggles
of the working class, of people in general against the
attacks of neo-liberal globalization. But this is only
one part of the struggle, as far as I can see it. The
other equally important if not even more important part
of the struggle is the positive one, is the one involving
building alternative institutions within the present
society.
In fact, this process has already started, that is,
you can see all over the place coops being established
by various groups, communes and so on, the alliance
schemes in Anglo-Saxon countries, whereby people, particularly
unemployed people, avoid the use of money and connect
their services directly with other services - so there
are all sorts of similar schemes going on at the moment.
The problem is that all those schemes are not part of
a comprehensive political program for political change.
For this I would have no hesitations even if these
groups, these teams of people who have already started
installing these alternative institutions take part
in local elections. In other words, if they take part
in local elections in the sense of an inclusive democracy
program or generally the program for a comprehensive
type of democracy - and this presupposes that it has
become already massive in the sense that the movement
has already significant appeal to the people - that
if they win the local elections, they have a perfect
opportunity to apply, to implement at the local level
the principles of inclusive democracy. In other words,
they would take local power in order to abolish it,
if you like, the next day, in the sense that once they
take over local power, then, from the next day on, they
will start organizing people in neighborhood assemblies
to take over instead of the usual municipal council,
and so on.
The importance of the transitional strategy of the
inclusive democracy project is that the new society
will not be established at all unless the majority of
the population has already subscribed to this project,
unless, in other words, they have already adopted, using
the alternative institutions in practice and getting
the democratic consciousness, unless the majority have
already been integrated in a new society of this type,
the society will not come about.
When the moment comes that the power from below, this
power that was started from below, is more powerful
than the power of the normal authorities, in other words,
capitalists, the state, and so on, then, after a period
of tension between the state and the capitalist elite
on the one hand and the people, self-organized in this
way on the other, then you could expect that you could
have a transition - which may or may not be violent.
That is, it would be violent, of course, if the elites,
as it is possible, attack this sort of experiments using
various forms of force - and force need not be physical
force, even economic force may sometimes be enough.
But it may not be violent, that is, it all depends of
course on the balance of power at the moment of the
transition.
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