David de Ugarte — Business models and their meaning for you, who lives to learn

Do you need to fit into businesses, or do you need to fit the business model into what you believe and what you want? Today, we’ll take a look at the the main models within reach, and their relationship with knowledge, conversation, and those things we value.

Las Indias in English
Business models and their meaning for you, who lives to learn
David de Ugarte

(h/t Shareable)

Marjorie Kelly — The Economy: Under New Ownership

Here’s the problem: The very aim of maximum financial extraction is built into the foundational social architecture of our capitalist economy—that is, the concept of ownership.
If the root of government is sovereignty (the question of who controls the state), the root construct of every economy is property (the question of who controls the infrastructure of wealth creation).

Many of the great social struggles in history have come down to the issue of who will control land, water, and the essentials of life.

Ownership has been at the center of the most profound changes in civilization—from ending slavery to patenting the genome of life.

Throughout the Industrial Age, the global economy has increasingly come to be dominated by a single form of ownership: the publicly traded corporation, where shares are bought and sold in stock markets. The systemic crises we face today are deeply entwined with this design, which forms the foundation of what we might call the extractive economy, intent on maximum physical and financial extraction.

The concept of extractive ownership traces its lineage to Anglo-Saxon legal tradition. The 18th century British legal theorist William Blackstone described ownership as the right to “sole and despotic dominion.” This view—the right to control one’s world in order to extract maximum benefit for oneself—is a core legitimating concept for a civilization in which white, property-owning males have claimed dominion over women, other races, laborers, and the earth itself. 
In the 20th century, we were schooled to believe there were essentially two economic systems: capitalism (private ownership) and socialism/communism (public ownership). Yet both tended, in practice, to support the concentration of economic power in the hands of the few.

Emerging in our time—in largely disconnected experiments across the globe—are the seeds of a different kind of economy. It, too, is built on a foundation of ownership, but of a unique type. The cooperative economy is a large piece of it. But this economy doesn’t rely on a monoculture of design, the way capitalism does. It’s as rich in diversity as a rainforest is in its plethora of species—with commons ownership, municipal ownership, employee ownership, and others. You could even include open-source models like Wikipedia, owned by no one and managed collectively.

These varieties of alternative ownership have yet to be recognized as a single family, in part because they’ve yet to unite under a common name. We might call them generative, for their aim is to generate conditions where our common life can flourish. Generative design isn’t about dominion. It’s about belonging—a sense of belonging to a common whole.

AlterNet
The Economy: Under New Ownership
Marjorie Kelly | YES! Magazine | fellow with the Tellus Institute and is director of ownership strategy with Cutting Edge Capital consulting firm. She is author of the new book, Owning Our Future: The Emerging Ownership Revolution. She was co-founder and for 20 years president of Ethics magazine.

The cooperative economy—and the broader family of generative ownership models—is helping to reawaken an ancient wisdom about living together in community, something largely lost in the spread of capitalism. Economic historian Karl Polanyi describes this in his 1944 work, The Great Transformation, tracing the crises of capitalism to the fact that it “disembedded” economic activity from community. Throughout history, he noted, economic activity had been part of a larger social order that included religion, government, families, and the natural world. The Industrial Revolution upended this. It turned labor and land into commodities to be “bought and sold, used and destroyed, as if they were simply merchandise,” Polanyi wrote. But these were fictitious commodities. They were none other than human beings and the earth itself.

Generative design decommodifies land and labor, putting them again under the control of the community....

The generative economy finds fertile soil for its growth within the human heart. The ownership revolution is part of the “metaphysical reconstruction” that E.F. Schumacher said would be needed to transform our economy. When economic relations are designed in a generative way, they’re no longer about sole and despotic dominion. Economic activity is no longer about squeezing every penny from something we imagine that we own. It’s about being interwoven with the world around us. It’s about a shift from dominion to community. 

This is really the crux of it. 

BBC News — Basque co-operative Mondragon defies Spain slump

Notice that it is the level of consciousness that underlies, here described as "the Basque egalitarian spirit." It's not just a business model.

BBC News
Basque co-operative Mondragon defies Spain slump
By Tom Burridge

Jessica Reeder — 7 Ways To Reinvent Your City, Burning Man Style

Every August for one week, the Burning Man festival takes place in a temporary city of its own creation, called Black Rock City after Nevada’s Black Rock Desert where it is located. This year, Black Rock City’s population will be 60,000 — bigger than Carson City, the state capital of Nevada.

Our real-world cities, meanwhile, are struggling to provide the services citizens need, limited by declining tax income, record debt, and increasingly complex social issues. Cities have no choice but find ways to do more with less. Many seek to harness the creative energies of citizens to fill the gaps, asking them to take a more active role in governance, service provision, and even in creating new services.

It’s easy to write off Burning Man as a hippie love fest in the desert. It has its own problems like any city, but that's selling it short, especially in one regard - its remarkable ability to foster participation. The event -- which for 26 years has expected participants to practice sharing, gifting, and radical self-reliance -- is an effective proving ground for experiments in community self-organization. In fact, participants build most of the city without any direct oversight from organizers.

Given that cities need its citizens more than ever, can the lessons of Burning Man’s Black Rock City, which pushes citizen participation to the limit, be applied to modern cities? Of course they can. Here are a few ways you can support participation, sharing and community in your own town.

Shareable
7 Ways To Reinvent Your City, Burning Man Style
Jessica Reeder

Richard Wolff — Yes, there is an alternative to capitalism

There is no alternative ("Tina") to capitalism.

Really? We are to believe, with Margaret Thatcher, that an economic system with endlessly repeated cycles, costly bailouts for financiers and now austerity for most people is the best human beings can do? Capitalism's recurring tendencies toward extreme and deepening inequalities of income, wealth, and political and cultural power require resignation and acceptance – because there is no alternative?

I understand why such a system's leaders would like us to believe in Tina. But why would others?

Of course, alternatives exist; they always do. Every society chooses – consciously or not, democratically or not – among alternative ways to organize the production and distribution of the goods and services that make individual and social life possible....

Capitalism thus entails and reproduces a highly undemocratic organization of production inside enterprises. Tina believers insist that no alternatives to such capitalist organizations of production exist or could work nearly so well, in terms of outputs, efficiency, and labor processes. The falsity of that claim is easily shown. Indeed, I was shown it a few weeks ago and would like to sketch it for you here.

Read the rest at The Guardian (UK)

Yes, there is an alternative to capitalism
by Richard Wolff

In short, MC worker-members collectively choose, hire and fire the directors, whereas in capitalist enterprises the reverse occurs.

Interestingly, a very similar distinction is manifest in religious denominations — between "low" churches that are congregational and "high" churches that are hierarchical. In the congregational modle the congregation chooses the minister, and in the hierarchical model, authority is centralized and imposed from the top, with parishioners required to be subservient and to conform.