Lady Elinors Escape
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About site Order in these systems is based on conventions. Keynes and his successors have described the self-referential dynamics of conventions in the financial markets. Something similar may occur with obligations. Since the normative disposition of the agent with limited autonomy is conditioned by the expectation that others will comply i.
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Agents would formulate their expectations on the basis of conventions that would become self-fulfilling prophecies. If in some circumstances conventions are stable, as pointed out above, the fundamental question is to understand the reasons why they might not be so. In a country where cars drive on the left, there might be advantages to driving on the right in a traffic jam; however, the risks inherent in that choice are sufficient to deter most drivers.
Even in the financial markets, it is possible to find examples. Keynes suggests one: as disapproval is most likely when one errs against a convention than when one errs with it, wage-earners will tend to follow the convention even when they have reasons to believe that they will lose out by doing so.
In the world of non-commitment, the mind is focused on everything except on that whose advantages may only be realised in the long term; it tends, particularly, to concentrate upon current facts, whose importance may result not from the relevance of the facts themselves, but from the importance that is believed to be attributed to them by others.
In this way, completely irrelevant events may break a convention.
There are abundant examples in the financial markets. The liquidity trap represents that collapse in Keynes — once trust is lost in conventions, agents take refuge in the most liquid of assets. To put it in general terms, the liquidity trap corresponds to the rupture of all commitments, whatever form those might take, to mass divestment and panic. Bauman is particularly concerned with the impossibility of collective action in the political sphere.
However, there are other domains, including those that most concern economists, in which this implication of liquidity is manifested. Companies and organizations have always claimed not only the bodies but also the souls of their employees. In post-panoptic companies and organizations, just as in the political sphere, liquidity may dissolve the grounds for collective action.
As the result, albeit unintentional, of this movement is segregation Schelling, , the fractured society that results from this collective exit is even more dangerous than that which justified the flight. Bauman illustrates this process with the case of closed condominiums and other segregated residential areas in cities of liquid modernity. However, something similar may occur with the fragmentation of public health and education services as a consequence of the exit of the middle and upper classes.
The grounds for normative obligation, as is well known, may be prudence or honesty. The problem is that liquidity does not appear to foster either of these virtues, as both prudence and honesty presuppose stable and continuous relational contexts. Arrow called that thing trust. The art of escape, when practised by everyone at the same time, destroys itself, becoming a trap — generalised flight which hampers the establishment of any long-lasting commitments or ties, including those that liquid modernity itself, based on contracts, presupposes.
But, to the extent that attempts to realise the utopia of liquidity can, and manifestly do, exist, it is worth trying to predict some of the possible futures that might result from it. That counter-movement, however, is politically indeterminate — it may give rise to different scenarios. Bauman indicates two possible scenarios, distinct but interrelated, and a contrasting counter-scenario.
The first, inspired by Erich Fromm, foresees that. Complemented by an emptying of the functions of sovereignty to the point that the State loses its monopoly on coercion, this would lead to a transfer of State violence to the neo-tribal violence of communities. Arrow, Kenneth , The Limits of Organizations.
New York: Norton. Bauman, Zygmunt , Liquid Modernity. Cambridge: Polity Press.
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Gintis, Herbert et al. Keynes, John M. London: Macmillan. Feuer ed. Cambridge: Cambridge UP. Paris: Odile Jacob. Boston: Beacon Press. Schelling, Thomas C. New York: Norton and Company.
Contents - Previous document - Next document. Translated by Karen Bennett. Outline 1.