Bruno Jossa

Faculty of Economics and Commerce, University of Naples, Naples, Italy

ABSTRACT

Historical materialist argues that the socio-political structure of society, the ideals and policies of a nation and the distinctive facets of a civilisation are mainly shaped by the structural conditions under which production is carried on. Put differently, a historical materialist thinks of the socio-political structure of society, the ideals and policies of a nation and the distinctive facets of a civilisation as mainly shaped by the conditions of production. This paper analyses this issue against the backdrop of the contractual origin of the firm as theorised in “Production, Information Costs and Economic Organization” (by A. A. Alchian and H. Demsetz, in American Economic Review, vol. 62, no. 4: 777– 795, 1972). I argue, a system of employee-managed system is a new production mode with a distinctive potential for outperforming capitalism which, contrary to Alchian and Demsetz’s opinion, has failed to materialise because of the predominance of economics over politics—in full accord with the core assumption behind the materialist conception of history. An issue discussed is also the cultural roots of historical materialism. 

KEYWORDS

Historical materialism; cooperative firms; method