János Kornai

in The Socialist System

Published in print May 1992 | ISBN: 9780198287766
Published online November 2003 | e-ISBN: 9780191596551 | DOI:

Series: Clarendon Paperbacks


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The introduction of self‐management into firms in public ownership is an important tendency during the process of reform of classical socialism, although it is less radical than the intrusion of the private sector. Its basic principle is that the head of the firm is chosen by the workers rather than appointed from above as in a state‐owned firm; the workforce also disposes over the residual income after costs and taxes. The chapter discusses self‐management as an intellectual and political trend; political relations in self‐management—whether it is voluntarily initiated or imposed from above (as in the case of Yugoslavia, which is described); the economic effects of self‐management; relations between manager and workers; and ethical coordination.

Keywords: classical socialism; political relations; public ownership; reform; self‐management; socialist systems; Yugoslavia

Chapter.  6109 words. 

Subjects: Economic Systems

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