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The Expanded Ownership Paradigm: A Graphic Overview

The Development Curve

This graph traces the growth of population through all recorded history, and projects it into the future to the year 2000 A.D. However, the same sort of curve - a near right angle slightly rounded at the corner - is of quite general application, and would be followed fairly closely by almost any significant factor of modern civilization. The reason why one curve fits so many and such varied factors of modern life is that what it really measures is the passage of the human race from one kind of history to another: from subsistance to what is now called development. This passage and its implications constitute the single most important clue to an understanding of our civilization - and of all history before it.
If the political divisions of the world at this moment were distributed according to their degree of development, they would be strung out along the same curve, with the United States at the top of the curve, the western and westernized countries below it on the "vertical" leg, the more "advanced" Communist countries on the rounded corner, and most Communist and all "developing" countries along the bottom.

Distribution of Corporate Ownership

Who Owns Today's Corporation?
Who Will Own Tomorrow's Corporation?
Joint Economic Committee, 1988

The Problem: Transforming the Corporation

The Conflict Model ("Zero Sum Game") of Industrial Relations
The Propriety Interest Model ("Win-Win" Strategy) of Industrial Relations

The Objective: Value-Based Management

  • Leader monopolizes power
  • Leader commands through fear
  • Ownership and control concentrated
  • Paternalism
  • Accountability upward only
  • Trickle-down incentives
  • Rewards disconnected from productivity
  • Waste of time, materials, and human potential
  • Short-term sense of income security
  • Target of political attacks
  • Leader serves by teaching and empowering others
  • Leader guides through Justice
  • Every worker an owner
  • Management by shared values and customer satisfaction
  • Governance by checks, balances and two-way accountability
  • New labor deal: gain sharing, risk sharing, profit sharing
  • Efficiency maximized by Justice
  • Waste converted into production
  • Shared interest in long-term survival
  • Broadened political constituency

Market-Based Equilibrium Under Kelso's Binary Economic System

 
Labor Inputs
("People")
=
Labor Incomes
 
Capital Inputs
("Things")
=
Capital Incomes
     
New Capital Investments
=
Democratization of Capital Credit
     
 Aggregate Supply Production
=
  Aggregate Demand Consumption

The Three Principles of the Kelso-Adler Theory of Economic Justice

 

The Four Pillars of a More Just Economy

Capital Homesteading Vehicles

 

 Creating Money for Capital Homesteading

 


The Third Way: A New Vision for Providing Hope, Justice and Economic Empowerment
A Quick Comparison of Capitalism, Socialism and the "Just Third Way"
Elements of CESJ's Third Way
Graphic Overview of the Expanded Ownership Paradigm

Louis Kelso’s Economic Vision for the 21st Century
A Personal Journey to the Third Way


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The Center for Economic and Social Justice - www.cesj.org
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