Desirable Directions of Structural Transformation

This chapter considers three questions arising from the idea of a ‘structural transformation’ of present-day economies: What is harmful in the existing structures? What goals do we want any new structures to serve? And what structures would serve the chosen goals? It begins with a discussion of the various harms attributed to the structures of advanced economies today, noting the frustration and alienation felt by the working class. It then challenges the belief that optimal resource allocation and well-functioning institutions are sufficient for a satisfactory economy, suggesting that the right economic model is the good economy—the kind of economy offering the good life. It also examines structures that make it possible to attain the desirable goals of prospering, flourishing, and self-expression. Finally, it analyses corporatism as the alternative to genuine capitalism and how it has prevented the system of economic dynamism from delivering the good life for many people.