References. The Author(s) 2017 J.F.M. McDermott, Employers Economics versus Employees Economy, DOI /

Transcription

1 References Arrow, Kenneth Methodological Individualism and Social Knowledge. The Richard T. Ely Lecture. The American Economic Review 84 (2), May: 1 9. Arrow, Kenneth J., and Gerard Debreu Existence of an Equilibrium for a Competitive Economy. Econometrica 26: Arrow, Kenneth, and Frank H. Hahn General Competitive Analysis. San Francisco: Holden-Day. Averitt, Robert The Dual Economy: The Dynamics of American Industry Structure. New York: W. W. Norton. Bales, Kevin, Zoe Trod, and Kent Williamson Modern Slavery: The Secret World of 27 Million People. Oxford, UK: Oneworld Publications. Becker, Gary Human Capital: A Theoretical and Empirical Analysis with Special Reference to Educatiopn. 2nd ed. New York: National Bureai of Economic Research. Beckert, Sven (2014). Empire of Cotton: A Global History. New York: Vintage. Bell, Daniel The Cultural Contradictions of Capitalism. New York: Basic Books, Inc. Publishers. Berle, Adolph The Modern Corporation and Private Property. New York: Macmillan The 20th Century Capitalist Revolution. New York: Harcourt, Brace. Black, J The Theory of Indicative Planning. Oxford Economic Papers (New Series) 20 (3), November: Blanpain, Roger, eds Comparative Labour Law and Industrial Relations. 3rd ed. Deventer, The Netherlands: Kluwer Law and Taxation Publishers. The Author(s) 2017 J.F.M. McDermott, Employers Economics versus Employees Economy, DOI /

2 174 References Bowles, Samuel, and Herbert Gintis Walrasian Economics in Retrospect. Quarterly Journal of Economics 115 (4), November: Brown, Henry Phelps The Origins of Trade Union Power. Oxford and New York: Oxford University Press. Buder, Stanley Pullman: An Experiment in Industrial Order and Community Planning, New York, London, and Toronto: Oxford University Press. Cantor, Georg. 1952(1915). Contributions to the Founding of the Theory of Transfinite Numbers. Translated by Phillip Jourdain. New York: Dover Publications. Cassirer, Ernst. 1953(1923). Substance and Function and Einstein s Theory of Relativity. Translated by William Curtis Swabey and Marie Collins Swabey. New York: Dover Publications. Catton, Bruce The War Lords of Washington. New York: Harcourt, Brace & Co. Chamberlin, Edward H The Theory of Monopolistic Competition. 6th ed. Cambridge: Harvard University Press (originally 1933). Chandler, Alfred D Strategy and Structure: Chapters in the History of the American Industrial Enterprise. Cambridge, MA and London: The MIT Press. Coase, Ronald The Nature of the Firm. Economica 4(16): Cohen, Patricia. 2015a. Counting Up the Hidden Costs of Low Pay. The New York Times, April 13, B1 over to B b. Study Finds Local Taxes Hit Lower Wage Earners Harder. The New York Times, January 14, D1 over to c. A Gaping Hole in the Safety Net: More Aid to the Needy but Less to the Neediest. The New York Times, February 17, B1 overleaf to B8. Commons, John R. 1961(1934). Institutional Economics: Its Place in Political Economy. Madison: University of Wisconsin Press. Courant, Richard, and Herbert Robbins (1941). What is Mathematics? An Elementary Approach to Ideas and Methods. Oxford and New York: Oxford University Press. Cross, Coy F. II Justin Smith Morrill: Father of the Land-Grant Colleges. East Lansing: Michigan State University Press. Dewey, John Intelligence in the Modern World: John Dewey s Philosophy. Edited and with an Introduction by Joseph Ratner. New York: The Modern Library. Douglas, Paul Shop Committees: Substitute for, or Supplement to, Unions? Journal of Political Economy 29(2): Downey, Kirsten The Woman behind the New Deal: The Life and Legacy of Frances Perkins, Social Security, Unemployment Insurance. New York: Anchor Books/Random House.

3 References 175 Drucker, Peter The Age of Discontinuity: Guidelines to Our Changing Society. New York: Harper and Bros. Engler, Robert The Politics of Oil. New York: Macmillan. Friedman, Milton, ed Introduction: The Methodology of Positive Economics. In Essays in Positive Economics, Chicago: University of Chicago Press. Friedman, Milton, and Rose Friedman Capitalism and Freedom. Chicago and London: University of Chicago Press. Galbraith, John Kenneth American Capitalism: The Concept of Countervailing Power. Boston: Houghton Mifflin Company. Greenhouse, Steven In Service Sector, No Rest for the Working: Employees are Increasingly Struggling with Schedules That Leave Them Little Time for Sleep. The New York Times: Sunday Business Section, February 22, 1 overleaf to 5. Greider, William Secrets of the Temple: How the Federal Reserve Runs the Country. New York: Simon and Schuster. A Touchstone Book Who Will Tell the People?: The Betrayal of American Democracy. New York: Simon and Schuster One World, Ready or Not: The Manic Logic of Global Capitalism. New York: Simon and Schuster. A Touchstone Book. Harrington, Michael The Other America: Poverty in the United States. New York: Macmillan. Hausman, Daniel M., and Michael S. McPherson The Philosophical Foundations of Normative Economics. In The Philosophy of Economics: An Anthology, ed. Daniel M. Hausman, 3rd ed. Cambridge, UK and New York: Cambridge University Press. Hilbert, David, and Wilhelm Ackermann The Principles of Mathematical Logic. Translated from the German by Lewis M. Hammond and Georges G. Lackie. New York: Chelsea Pub. Co. Jevons, W. Stanley. 1970(1871). The Theory of Political Economy. Harmondsworth, UK: Penguin Books. Johnston, Katie Public Aid Crucial to Fast-Food Workers. The Boston Globe, October 16, A1 overleaf to A Wage Theft Common, Study Says; Mass. Construction Industry Often Cited for Violations. The Boston Globe, May 12, C1 overleaf to C6. Knight, Frank Risk, Uncertainty and Profit. Boston: Houghton Mifflin Co. Kocieniewski, David Major Companies Push the Limits of A Tax Break: Issue Raised at Trial. Rules Originally Aimed at Family Farms Now Cost U.S. Billions. The New York Times, January 7. Kranish, Michael Divided Nation: Feast for Investors Sells Workers Short: As US Companies Spend Billions Repurchasing Shares, Employees and Economy may Pay the Price. The Boston Globe, May 31, A1 over to A12, 13.

4 176 References Krugman, Paul Challenging the Oligarchy: Review of Robert Reich, Saving Capitalism for the Many, Not the Few (Knopf). The New York Review of Books, December 17. Lacey, Robert Ford: The Men and the Machine. Boston and Toronto: Little, Brown and Co. Lanzillotti, Robert F Pricing Objectives of Large Companies. American Economic Review 48 (3) December: Lee, Frederic S Post Keynesian Price Theory. Cambridge, UK: Cambridge University Press. Leo, P. XIII Rerum Novarum: On Capital and Labor. For English text, see Leo13/113rerum.htm Lichtenstein, Nelson Labor s War at Home: The CIO in World War II. Cambridge: Cambridge University Press. Liptak, Adam Corporations Take First Amendment and Apply It Liberally. The New York Times, May 24, A14. Lux, Mike Is the TTP Okay with Slavery? Really? The Huffington Post, May 28. Marx, Karl. 1968a. The Theses on Feuerbach. In Selected Works, ed. Karl Marx and Frederick Engels, 1965, New York: International Publishers (published 1888 and written 1845) b. Capital. Vol. 1. New York: International Publishers. McDermott, John Technology: The Opiate of the Intellectuals. Review of the Harvard Program on Technology and Society. In 4th Annual Report. The New York Review of Books, August Corporate Society: Class, Property and Contemporary Capitalism. Boulder: Westview Press. McDermott, John F.M Bare Minimum: A Too Low Minimum Wage Keeps All Wages Down. Dollars and Sense, July/August, Economics in Real Time: A Theoretical Reconstruction. Ann Arbor: The University of Michigan Press Future Time in Economics: An Alternate Approach to Its Study. Review of Radical Political Economics 39(4): Restoring Democracy to America: How to free Markets and Politics from the Corporate Culture of Business and Government. University Park, PA: The Pennsylvania State University Press Chamberlin and Robinson: Their Realism Revisited and Revised. The Journal of Post Keynesian Economics 37(4): Perfect Competition, Methodologically Contemplated. The Journal of Post Keynesian Economics 34(1): Mills, C. Wright The Power Elite. Oxford, UK: Oxford University Press. Moynihan, Patrick Memorandum for the President, January 16.

5 References 177 Newfield, Jack, and Paul Dubrul The Abuse of Power: The Permanent Government and the Fall of New York. New York: The Viking Press. Newman, James R., ed The World of Mathematics. A Small Library of the Literature of Mathematics from A h-mose the Scribe to Albert Einstein. Presented with Commentaries and Notes by [the Editor]. 4 Vols, Boxed. New York: Simon and Schuster. Penrose, Edith T. 1980(1959). The Theory of the Growth of the Firm. With a New Foreword by Martin Slater. White Plains: M.E. Sharpe. Perlman, Selig. 1949(1928). A Theory of the Labor Movement. New York: Augustus M. Kelley. Platt, Anthony, eds The Politics of Riot Commissions, : A Collection Of Official Reports And Essays. New York: Collier Books. Pollin, Robert Contours of Descent. London and New York: U.S. Economic Fractures and the Landscape of Global Austerity. Porter, Eduardo Finding Common Political Ground on Poverty. The New York Times, February 3, B1 and overleaf. Ratner, Joseph, eds Intelligence in the Modern World: John Dewey s Philosophy. New York: The Modern Library. Rawling, Michael, and John Howe The Regulation of Supply Chains: An Australian Contribution to Cross-National Legal Learning. In Rethinking Workplace Regulation: Beyond the Standard Contract of Employment, ed. Katherine Stone and Harry Arthurs, New York: The Russell Sage Foundation. Reich, Robert Saving Capitalism for the Many Not the Few. New York: Knopf. Robinson, Joan The Economics of Imperfect Competition. London: Macmillan (originally 1933). Rogers, Joel, and Wolfgang Streeck, eds Works Councils: Consultation, Representation and Cooperation in Industrial Relations. Chicago and London: University of Chicago Press. Rogoff, Ken Money Machine: The Fed Printed Trillions to Prop Up the US Economy. Was It the Right Thing to Do? The Boston Globe, March 1, G1 over to G5. Rogoff, Kenneth Anti-trade Rhetoric is a Recipe for Disaster. The Boston Globe, April 11, A15. Roosevelt, Franklin D State of the Union Address. ucsb.edu/ws/?pid=16253 Ross, Robert J.S Slaves to Fashion: Poverty and Abuse in the New Sweatshops. Ann Arbor: The University of Michigan Press. Rotman, B., and G.T. Kneebone. 1969(1966). The Theory of Sets and Transfinite Numbers. New York: American Elsevier Publishing Co., Inc.

6 178 References Russell, Bertrand An Introduction to Mathematical Philosophy. London: Allen and Unwin. Scheiber, Noam Growth in the Gig Economy Fuels Work Force Anxieties: A Shifting Middle: Contracting for a Living. The New York Times, July 13, A1 overleaf to B8. Schlatter, Richard. 1973(1951). Private Property: The History of an Idea. New York: Russell and Russell (Orig. George Allen and Unwin, Ltd). Schoeffler, Sidney The Failures of Economics: A Diagnostic Study. Cambridge: Harvard University Press. Schumpeter, Joseph A History of Economic Analysis. London: George Allen and Unwin, Ltd. Silver-Greenberg, Jessica, and Stephanie Clifford Paid Via Card, Workers Feel the Sting of Fees. The New York Times, July 1, A1 overleaf to B2. Silver-Greenberg, Jessica, and Robert Gebeloff Beware the Fine Print. The New York Times, November 1, 2, and 3. Three first page articles on the expanding imposition of compulsory arbitration agreements. # 1 Arbitration Everywhere, Stacking the Deck of Justice: Vast Trend Locks Americans out of Court Rulings Greatly Favor Business. # 2: A Privatization of the Justice System: In Arbitration, a Bias Toward Business. # 3: When Scripture is the Rule of Law Companies Can Compel Arbitrations Guided by Religion. Sloan, Alfred P., Jr My Years with General Motors. Edited by John McDonald with Vatherine Stevens. With a New Introduction by Peter Drucker. New York and London: Doubleday. Smith, Adam. 1974(1776). The Wealth of Nations. Books I, II, III. Edited by Andrew Skinner. Harmondsworth, UK: Penguin Books Ltd. Srivastava, Mehul In Bangladesh, Inspections at Factories Have Not Begun. The Boston Globe (Bloomberg News), October 25, A6. Stigler, George J Perfect Competition, Historically Contemplated. The Journal of Political Economy 65(1), February: Stiglitz, Joseph E The Causes and Consequences of the Dependence of Quality on Price. The Journal of Economic Literature 25, March: Stiglitz, Joseph The Price of Inequality: How Today s Divided Society Endangers Our Future. New York: W.W. Norton. Stone, Katharine The Origin of Job Structures in the Steel Industry. In Labor Market Segmentation, ed. Richard Edwards, Michael Reich, and David M. Gordon. Lexington, MA: D.C. Heath. Stone, Katherine, and Harry Arthurs, eds Rethinking Workplace Regulation: Beyond the Standard Contract of Employment. New York: Russell Sage Foundation. Suppes, Patrick Axiomatic Set Theory. Princeton, NJ: Princeton University Press.

7 References 179 Tabb, William K The Restructuring of Capitalism in Our Time. New York: Columbia University Press. Taylor, Frederick (1911). The Principles of Scientific Management. Mineola, NY: Dover Publications, Inc. Tonello, Fabrizio. forthcoming. Desolation Row. Looking Back at Forty Years of Neoliberalism. For the text, see US Commerce Department Historical Statistics of the US, Colonial Times to Washington: US Govt Printing Office.. Various years. Statistical Abstract of the US. Washington: US Govt Printing Office and licensees. Walras, Leon (1871, 1874). Elements of Pure Economics. Translated from the French by William Jaffe. Fairfield, CT: Augustus M. Kelley, Publishers (originally 1874). Warren, Elizabeth How to Level the Playing Field for Families. The Boston Globe, February 29, A9. Weber, Max (1956). Economy and Society: An Outline f Interpretative Sociology. Vol. 2. Edited by Guenther Roth and Claus Wittrich. Berkeley: University of California Press (1949, 1904). Methodology of Social Sciences. Translated and Edited by Edward A. Shils and Henry A Finch. New Brunswick, NJ and London, UK: Transaction Publishers. Wedderburn, K.W Industrial Conflict: A Comparative Legal Survey. New York: Crane and Russak. Weil, David The Fissured Workplace: Why Work Became So Bad for So Many and What Can be Done to Improve It. Cambridge, MA: Harvard University Press. Weiler, Paul Promises to Keep: Securing Workers Rights to Self- Organization under the NLRA. Harvard Law Review 96(8): Weisman, Jonathan U.S. Declares Bank and Auto Bailouts Over, and Profitable: Actions Hotly Debated on the Right and the Left. The New York Times, December 20, B1 over to B2. White, Gerald Taylor Billions for Defense: Government Financing by the Defense Plant Corporation during WW II. Tuscaloosa, AL: University of Alabama Press. White, Richard Railroaded: The Transcontinentals and the Making of Modern America. New York and London: W.W. Norton and Co.

8 Index A abstractions, 81 4 academic departments, 155 Ackerman, Wilhelm, 11 advertising, 161 Affordable Care Act, 131, 136 agriculture, 12 13, 25, 169 ALEC. See American Legislative Exchange Council (ALEC) Algebraic Numbers, 64 All things holding equal (Ceteris paribus), 41 2, 47 8 American Legislative Exchange Council (ALEC), 136 anti-trust acts, 94 Arrow, Kenneth, 8n10, 57n1, 68n6, 75 7 atomic transaction, 30, 42 4, 60 at-will employment, 119 automation, 126 Averitt, Robert, 90 B banks banker influence, 162 favorable rates for, 14 function of within corporation, 92 3, 122 bargaining, 34, 36, 37, 51, 68, 141 Bauer, Otto, 147 Becker, Gary, 6 Bennet, Harry, 99 Berle, Adolph, 89n1 Bernstein, Edoard, 90 Board of Directors, 155, 162 bondaged labor, 35, 93, 110, 135, 141n22 business press, 111, 155 C Cantor, Georg, 60 8, 71, 72, 74, 77, 78, 85n23 Capital (Marx), 91 The Author(s) 2017 J.F.M. McDermott, Employers Economics versus Employees Economy, DOI /

9 182 INDEX Catholic corporatism, 123 Central America, trade policy effect on, 13 CEOs, Ceteris paribus ( All things holding equal ), 47 8, 84 Chamberlin, Edward, 37n7, 90 Chandler, Alfred D., 90, 98 Charter for corporations, chemical industry, 94 CIO. See Congress of Industrial Organizations (CIO) Citizen s Alliances, 99 Clayton Anti-Trust Act, 94 Clinton, William Jefferson, 164 Coal and Iron Police, 99 Coase, Ronald, 90, 92 command economy, 75 Commons, John R., 122 company towns, 4, 99, 119 competition. See price-competition compulsory arbitration, 132 Congress of Industrial Organizations (CIO), 153 consensual transactions in economy, 34 6 constitutional law, 123, 137, , 153 continuum. See also Real Numbers perfect states, false interpretation for, required for mathematicization of Economics, 62 3, 72 3 unit subsets, 79 corn, 169 corporate bonds, 16 corporate income tax, 19, 20 corporate rights of employees, 122 4, 153 corporations charter for, Coase model of, 90, 92 decentralized operations within, 97 division of labor within, 91, 92 ethos of, governance over, 162, 163 Institutionalism view, 89, 122, 123 merchant s model for, leadership of, 167 populist view, 98 credit consumers access to, 37 Federal Reserve as source of, 1, D Debreu, Gerard, 57n1 decentralized operations within corporations, 97 defense industry, 13 DeGaulle, Charles, 166 Delaware, 159, 160 demanders in possible markets, 72 demand line (DD ), 72, 73 Demand Schedule discontinuous lines of, 60, 61, 72 preferences, depiction of, 70, 72 4 Demsetz, Harold, 90 Detroit, investment in, 2 Dewey, John, 170 diminishing returns, 79 84, 86 direct management of work, 99 discount Window, 15 division of labor changing proportions of segments, exporting of system, 91 2 middle management versus the hands, 98 military production, used in, 106 social, 91 technical, 91 2 triadic, in corporations, 105

10 INDEX 183 upper versus middle management, 92, 95 Dodd-Frank legislation, 136 domestic workers, 154 Douglas, Paul, 140 Drucker, Peter, 93n6 dumb generalities, 82, 84 DuPont, 97 Durant, William, 94, 95 E economic development theory, 6 economic empowerment zones, 135 economic impact statement, 160 economics apriorist form of, 42 ideological construct of, 24 mathematical form given to, 58 education academic influence on corporations, 155 generational experience of, government investment in, 6n6, 11, 12 efficiency, electrical systems, 10n13 empirical economics corporate governance over, corporations, leadership of, 167 ethos and charter, reform within, trade unions, employee-to-employee transactions, 31 employer/employee relations compulsory arbitration, 132 developments favoring employer, Master/Servant relationship as basis of, 115, 120, 125, 126, 132, 139 non-compete agreements, 132 on-call employment, 131 scrip payments, 131 sub-contracting, 130, 133 terminal contracts, 132 wage theft, 131 Wagner Act, influence on, 120 work rules, 133 employment capital, 15 cuts to, 18 spending on, 12 Engler, Robert, 90 English Common Law, 119 Environmental Protection Agency (EPA), 156 equality, movement away from, 160 equilibrium aim of mathematicized economics, 59 false point on Demand Schedules, 60 General Equilibrium Theory, 77 possibility for, 52 4 ethos of corporations, , 165 European Union, labor code in, 134 Exxon-Mobil (Jersey Standard), 97 F family-wage, 121 fast food industry, 9, 40, 110, 131, 161 FDA. See Food and Drug Administration (FDA) Federal Reserve credit, as source of, 1, 13 15, 110 influence on economy, 24 money pasture, form of, 1, 7, 29 Open Market buying, Quantitative Easing (QE) program, 16 18, 157 TARP program, and unemployment rates, 7, 15

11 184 INDEX financial technology, 97 firms, 3 firm-to-consumer transactions bargaining, 37 loss-leaders, 38 price-competition in, x, 31 price-competition, lack of, 31, 37 9 rivalry in, 38 firm-to-employee prices, x firm-to-firm transactions consensual nature of, 31, 34 6 defined, x sale sequence of, 34 Food and Drug Administration (FDA), 156 Food and Nutrition, 4, 9 Ford, Henry, 127, 128, 151n3 Ford Motor Company, 4, free enterprise ideology, 22, 23 free labor, 119, 135 free-trade, 135, 136, 169n12 frictional unemployment, 15, 121 Friedman, Milton, 148 full-employment, 15 functional/technical language, 127 futures markets, 45 6 G Galbraith, John Kenneth, 2, 89, 90, 137, 148 Gary, Elbert Henry (Judge), 4, 117 General Equilibrium Theory, See also equilibrium General Motors (GM) creation of, 95 division of labor within, 95 financial technology at, 97 restructuring adopted by other companies, 95 success of, 95 upper management policies at, 95 George, Henry, 147 German historical school, 147 globalization effect on labor, 22, 110, 117, 135, 170 force labor under, 135 free-trade, 135 global warming, 168 good faith bargaining, 123 government intervention, 1 guaranteed income, 138 H Hahn, Frank, 8n10, 75 Hands. See Production workers Harrington, Michael, 149, 160 health and hospitals, 4, 9 healthcare coverage, 131 heath government, 166 Hilbert, David, 11 Hilferding, Rudolph, 90, 147 Historic Advance, 112 History of Economic Analysis (Schumpeter), 147 Hot Autumn (Italy), 153, 166 households, 8 housing, 9 Human Capital Theory, 6 I IATA. See International Air Transport Association (IATA) ideology in economics, 7 10, 148 ideotypes, 81 4 immigrant workers, 107, 131 indentured servants, 120n4 individual income tax, 19 individualism, 68 9 individual transactions. See transactions industrial associations, 159

12 INDEX 185 industrial revolutions, 5, 93, 98, 116, 149, 170 industrial unions, 124n11 infinity of positive integers, 61 3 of rational numbers, 64 6 Set Theory, 61n4 informal social groups among workers, 100 information, collected by management, 141, 162 infrastructure, investments in, 2 3, insiders, 154, 156, 158, insider-trading, 134 Institutionalism, 89, 90, 122, 123 instrumental use of data, 69, 83, 84, 86, 87 integers, 61 5, 71, 75, 78 interest rates, in futures markets, 18 International Air Transport Association (IATA), 159 International Labor Organization (ILO), 135 International Typographical Union, 124n11 intersection point, fallacy of, 78 J Jefferson, Thomas, 121, 126 Jersey Standard (Exxon-Mobil), 97 Jim Crow, 165 Johnson administration, 149 Justice Department, 156 K Kautsky, Karl, 90 Keynes, John Maynard, 21, 22, 149, 164 kick-back payments, 131 Kneebone, G.T., 61n4 Knight, Frank, 48n9 Krugman, Paul, 164 L labor force citizen rights extended to, 153, 160 corporate rights of employees, 123, 124 direct management of work of, 99 education of, 6, 99, 100 equality, reversal of trends toward, 115, 117 European Union labor, 134 federal expenditure on, 3 4, 12 Historic Advance by generation, 112 informal social groups among workers, 100 and immigration, 99, 107 labor division (the hands ), 93, 98n8, 116 non-produced input, 8 overseas conditions for, 22 private sector planning of and investment in, ix, x, 1, 4 6, 8 12, 121, 133, 137, 145, 150, 168 production and maintenance of, 24 price competition within, x, 30 rural workers, 99 size of, 5 stockholders, compared with, 159, 160 training for, 6, 7 under-use of, 6 weakening rights of, 151 La Guardia, Fiorello, 98 Landrum-Griffith Act, 125n12 Lanzillotti, Robert, 89, 90

13 186 INDEX law English Common, 119 equality before, 130 testing of, 80 4, 86 Lee, Frederic S., 29, 33, 90, 156n5 Lee, Ivy, 99 leisure, 8 Leo XIII, 122 Locke, John, 121, 126 loss-leaders, 38 low-wage workers, 20, 118n2 Ludlow Massacre, 4 M managed trade, 169n12 managerial partnership with owners, 32 market influences, 156 Marshall, Alfred, 149 Marx, Karl, 82, 108n14 Marxism, 148, 149 Master/Servant relationship developments favoring Master, 147, 166 distribution of property, , 153 origin of employer/employee relations, 125, 130 ownership in, 127 structure of, 93 mathematicization continuum required for, 60 1 economic theory, occurring in, 91 mis-mathematicization, 57 9 Set Theory, 58 Means, Gardiner, 89, 90 medieval estates, 126 Merchant s model of economy atomic transactions in, 42, 43 corporations in, 90 2 omission of labor development efforts, 108 privileged form of, 2 methodological individualism, 30, 68, 74, 75, 85 Mexican War, 165 Mexico, trade policy effect on, 3, 13 middle management board of directors membership, 162 direct management of work by, 99 General Motors, 94 historical effort to create, 117, 118 increase in percentage of, 106 information collected by, 90, 91, 139, 141 labor division, 91, 92, 96, 97, 105 professional rights, lacking in, 111 technology utilized by, 98, 99, 105 military programs, 11, 97, Mills, C. Wright, 154n4 minimum wage, 9, 10, 31n3, 118n2 mining, 119 mixed-economy, 22 money pasture, Federal Reserve as, 1, 2, 7, 14, 29 monopolies, 33, 90, 94, 96, 105 Morrill, Justin Smith, 108 N NAFTA. See North American Free Trade Agreement (NAFTA) National Civic Federation, 99 National Labor Relations Act (NLRA), 120, 122 5, 132 National Labor Relations Board (NLRB), 120, 123, 124, 130, 133 natural numbers, 61 natural resource expenditures, 11, 12 neo-classical economics

14 INDEX 187 assumptions of, x, 42 development of, 147 equilibrium as goal of, 77 exile from other disciplines, 147 expressive incompleteness of, 43, 49, 54 ideological pressure in, 148 misleading mathematicization of, 58 theoretical flaw in, 146, 149 Nixon, Richard, 166 NLRA. See National Labor Relations Act (NLRA) NLRB. See National Labor Relations Board (NLRB) Nobel, Alfred, 148 non-compete agreements, 132 non-functional overhead cost, 129 non-produced input, 8 non-state international violence, 169 North American Free Trade Agreement (NAFTA), 13 nuclear weapons, 166 O Obama, Barack, 135 Obamacare, 131 on-call employment, 131 open Market buying, 16 overthrowing of governments, 13 ownership distribution of property, role in business, work sites, P Parks and Recreation, 4, 9 payroll (Social Insurance) tax, 20, 25 Pennsylvania Railroad, 96 Penrose, Edith, 90 perfect as flawed descriptor, 48, 73, 75, 84 perfect rationality, 73 Perkins, Frances, 120 Perlman, Selig, 124n11 Phillips Curve, 15, 18 Pinkerton Detective Agency, 99 Pius IX, 122 populist reformers, 98, 120 positive integers, 62 4, 78 possible markets, 72 potential services, 50 poverty, 149 power sets, 71 2 preferences coincidence of, 76 of demanders, 70 Demand Schedule, depicted in, 70, 72 price as determinate, 40 difficulty of predicting, 41 in merchant s model, 90 price-competition co-understanding between firms, 36 credit rates, 38 Demand Schedule, depicted in, 70 employee-to-employee transactions, 31 fiction of, 39 firm-to-consumer transactions, 31, 33 firm-to-firm transactions, 31, 33 5 non-uniform nature of, 31 price, as determinate, 40 sum of individual transactions, 30 price fixing, 134 Principles of Scientific Management (Taylor), 101 private investors, 2, 16 18

15 188 INDEX private property distribution by owners, 121 5, employees rights under, history of, inalienable right to, 121 investments in, 130, 131 owners, role of, protestant influence on, private sector accountability, need for, 24 6 dependence on public investment, 1 2, 5 6, Federal Reserve as source of credit, 7 investment stimulus attempts for, 20 1 labor force, investment in and planned development of, 3, 8, 14, 29, 104 5, 106 7, 110, profit, distribution of, 24 6 property, investment in, 128 public sector investment, less than, 3, 5, 16 17, 128 regulation of, 22 3 taxes paid and avoided by, product groups, 33 4 production workers (the hands ) declining power of, 109 decrease in percentage of, docility imposed on, Historic Advance by generation, 112 investment in, labor division, 95 6, mentally sluggish, treated as, 116 productive assets, 8 productivity directed by management, 106 wages, profit and compensation, 99 distribution of, 24 6 relation to invested capital, 96 Progressive Era, 121, 137 progressive reformers, 120 progressivity of federal tax code, 20 public co-investment, 11 12, 29 public regulatory agencies, 156 public sector investment agriculture, defense, 22 education, 8n6, 29 infrastructure, labor force, 7 14 natural resources, 11, 29 private sector investment, greater than, 1 2, 5, 17 19, 128, 137 property, 129 public co-investment, 11 12, 29 research and development, 11 12, 33 seen as spending, 3 subsidy, 9 10 taxes received for, Publics, influence over corporations, public welfare, 9, 29 Pullman, Illinois, company town, 5, 99, 119 Q Quantitative Easing (QE) program, 16 19, 157 R racial inequality, 168 railroads, 19, 99 rationality perfect, 76 prescriptive usage of, 648

16 INDEX 189 and Real Number continuum, 95 6 rational numbers countable sets, 69, 78, 80 dense lines of, 78 9 testing laws, 81 4 Reagan, Ronald, 159 real numbers as argument against mis mathematicization, 71 in continuous preference orders, 74 perfect states, false interpretation for, for testing laws, 81 4, 86 uncountable nature of, 69 71, 82 reform current climate for, 165 opposition to, 167 in 1960s and 1970s, refugees, 169, 170 regulation, ideology against, 22 6 Reich, Robert, 164 Rerum Novarum (Leo XIII), 122 research and development, 11 12, 33 Restoring Democracy to America (McDermott), 5 rights of management, 121, 152 rivalry in retailing, 38 Robinson, Joan, 90 Rockefeller s Employee Representation, 4, 99 Roosevelt administration, 120 Roosevelt, Franklin D., 106 Rule of Two Times, 3, 13 Rural Electrical Administration, 14n13 S Schmidt (worker), , 110, 117 Schumpeter, Joseph, 147 Scientific Management movement, 100, 101 scrip payments, Sears and Roebuck, 97 Securities and Exchange Commission (SEC), 156 segregation, 165 Servant. See Master/Servant relationship Set Theory, 58, 60, 62, 64 71, 79, 147 Sherman Anti-Trust Act, 94 shop councils, 153 9, 162, 164, 170 slavery, 166 Sloan, Alfred P., 94 7, 108, 111 Smith, Adam, 29 33, 39, 41, 42, 46, 91, 146 social engineering, 16 Social Gospel Protestantism, 122 social infrastructure, 35 Social Insurance (payroll) tax, 20, 35 socially useful product, 161 social safety net, 22 soft-law, soldiering, 100 Sombart, Werner, 90, 147 space programs, 11 speculation, 111, 157 stagnation, 157 State and Commerce Department, 13 steel, 93, 117 Stiglitz, Joseph, 164 stock buy-backs, 18 Stock options, 32 strikes, sub-contracting, 131, 133 substantive use of data, 70, 86, 87, 93 Suppes, Patrick, 61n4 Supply line (SS ), 60, 70 T Taft-Hartley amendments, 132 Target, 131 TARP program, 16 19, 157

17 190 INDEX tatonnement, 68 taxes corporate, 19, 31 individual, 19, 31 private avoidance of, 20 progressivity of federal code, Social Insurance (payroll), 20, 25 Taylor, Frederick Winslow, , 110, 116, 151 technical/functional language, 126 technology of management, 105, 106 public investment in, Terkel, Studs, 151n3 terminal contracts, 132 terrorism, 169 textile industry, 119 time expressively incomplete theory of, futures markets, 45 6 instantaneous state presumed (xey), 45 6 potential services, 50 time lapse in transactions (xs/ /Py), 52 5 zero time horizon of employers, 118 Tonello, Fabrizio, 148 trade associations, 159 trade unions corporate nature of, 122 4, 151 decline of, 109, 110, 133, European Union, 140 history of, industrial, 124n11 influence of, 106, 121, 166 opposition to, 4, 13, 99 partnership with management, 117 price competition participation, 33 strikes, weaknesses in old form, 151 workplace authority of, 152 training, 6, 24 transactions bargaining in, 68 basic unit of economic activity, 2, 30 coincidences with, 76 mis-mathematicization of discrete, 72 5 uncountable nature of, 59 60, 67 9 Trans-Pacific Pact (TPP), 135 Triadic division of labor, 91, 105, 107 trustees, Trusts, 94 U Unamuno, Miguel de, 146 uncountable nature of transactions, 59 60, 67 9 under-investment, 157 unemployment and capital, 15 frictional, 15, 121 policy outcome, 7 unemployment compensation, 9 10 unions. See trade unions United Auto Workers (UAW), 117, 140n21 United Mine Workers, 117 upper management compensation of, 96, 108 at General Motors, 94 7 increase in percentage of, as labor division, 92 3, 109 speculative actions of, 111 U.S. Steel, 4 5, 99 V value, changeable over time, 54 Veblen, Thorstein, 89, 90 venture capitalists, 157 Vietnam War, 165 Voting Rights Act, 123n10

18 INDEX 191 W wages. See also Employee-to-employee transactions competition for, 40 decreased as cost of manufacturing, 106 downward pressure on, 6 8 family-wage, 121 firms encouraged to cut, 157 as investments, 104 managers vs. laborers, 32 minimum wage, 9 10, 31n3 premium, 106 productivity, as pure costs, 103, stability of, 39 wage theft, 18, 131 Wagner Act, 120 Walmart, 131 Walras, Leon, 45, 57n1, 149 War on Poverty (Johnson administration), 149 wasted investments, 2 3, Wealth of Nations, The (Smith), 29 Weber, Max, 82 3, 90, 147 welfare, 169 Welfare and Efficiency theorems, 58 white poverty, 168n10 Williamson, Oliver, 90 work rules, 133 work sites conditions of, 150 1, 160 constitutional rights in, 136 7, 153 ownership of, 127 X xey defined, 44 5 mathematicization of, 57 multiple sellers, 53 time-based limitations of, 44, 49 51, 54 xs/ /Py defined, 52 5 for examining different transactions, 83n20