Economics,Power, and Regulation of Multinational Corporations

Contingent — rather than secure — provisioning is the core of the institutions of capitalism. This differential access to means of life is a method of prodding labor force participation, considered “coercion” by “old” institutional economists and “freedom” by neoliberal thinkers. Status differentials, which are based on pay hierarchies and branded consumer goods, help reinforce the individual competition for differential rewards. Reform would require reconstituting the labor market, as well as financial institutions, and restructuring the rationales for income distribution.