Fictitious commodities

Abstract: Karl Polanyi's 1944 book, The Great Transformation, has been recognized as central for the field of economic sociology, but it has not been subject to the same theoretical scrutiny as other classic works in the field. This is a particular problem in that there are central tensions and complexities in Polanyi's argument. This article suggests that these tensions can be understood as a consequence of Polanyi's changing theoretical orientation. The basic outline of the book was developed in England in the late 1930s when Polanyi was working within a specific type of Marxist framework. However, as he was writing the book, he developed several new concepts, including fictitious commodities and the embedded economy, that led in new directions. Because circumstances did not give him the time to revise his manuscript, the book is marked by a tension between these different moments in his own theoretical development. The result is that Polanyi glimpses the concept of the always embedded market economy, but he does not name it or elaborate it.

Abstract: This paper analyses the rapidly emerging discourse of a green economy based on green growth. It highlights inherent conflicts and contradictions of this discourse such as the myth of decoupling growth from the environment, pollution generations and resource consumption. Using key theoretical constructs of both Gramsci and Polanyi, the paper argues that the green economy/growth discourse can be seen as a Gramscian ‘passive revolution’ whereby the dominant sustainable development discourse, subsumed by capitalist hegemony, is protected in the context of global environmental, economic and development crises. The ‘neoliberalising of nature’, or in other words, the privatisation, marketisation and commodification of nature, akin to Polanyi's fictitious commodities, continues and intensifies with green economy/growth strategies. Greening the economy and associated strategies of green growth divert attention from the social and political dimensions of sustainability and issues of social and international justice...

Abstract: To face an unequal world requires us to interpret and explain it, to be sure, but also to engage it, that is, to recognize that we are part of it and that we are partly responsible for it. In other words, inequality is not just something external to us, but also invades our own world. I begin, therefore, by examining the global community of sociology through the lens of inequality. I then consider two recent perspectives on our unequal world from outside sociology: the moral radicalism of Pope Francis that emphasizes exclusion from market society, and the innovative research of the economist Thomas Piketty that emphasizes unequal inclusion in market society. These two faces of global inequality mirror the social movements reverberating from the economic crisis of 2008 but which have their roots in a reaction to a broader wave of marketization, the third to engulf modern capitalism. To explore the meaning of third-wave marketization, otherwise known as neoliberalism, and the social movements it provokes I draw on two concepts from Karl Polanyi – ‘fictitious commodities’ and ‘countermovement’ – as well as a theory of the dynamics of capitalism. I conclude with three challenges facing a global sociology that centers social movements: to develop a theory that speaks to the globally diverse experiences of commodification; to develop a methodology that recognizes that we are unavoidably participants in the world we study; and to develop a politics that defends a particular vision of that world, a vision that has defined the sociological tradition from its beginning, namely one that upholds the centrality of civil society against the over-extension of market and state.

Abstract: One of Polanyi’s most important contributions to critical social science was his insistence that land, labor, and money were fictitious commodities and that the liberal propensity to treat them as if they were real commodities was a major source of contradictions and crisis-tendencies in capitalist development—so great that society would eventually fight back against the environmentally and socially destructive effects of such treatment. Polanyi wrote during the epoch of industrial and financial capitalism when land, labor, and capital were considered the primary “factors of production.” Contemporary capitalism is widely seen as a knowledge-based economy (or KBE), however, on the grounds that knowledge has become the most important factor of production and the key to economic competitiveness. This raises interesting questions as to whether knowledge is also a fictitious commodity, whether it has been disembedded from wider social relations, and, if so, whether its disembedding and fictitious commodification also entail a “double movement.” This chapter explores these questions and deploys the answers to interrogate Polanyi’s analysis of the other fictitious commodities.