Humanizing the Economy: Co-operatives in the Age of Capital

by John Restakis

How the largest social movement in history is making the world a better place. At the close of the twentieth century, corporate capitalism extended its reach over the globe. While its defenders argue that globalisation is the only way forward for modern, democratic societies, the spread of this system is failing to meet even the most basic needs of billions of individuals around the world. Moreover, the entrenchment of this free market system is undermining the foundations of healthy societies, caring communities, and personal wellbeing. This book shows how co-operative models for economic and social development can create a more equitable, just, and humane future. With over 800 million members in 85 countries and a long history linking economics to social values, the co-operative movement is the most powerful grassroots movement in the world. Its future as an alternative to corporate capitalism is explored through a wide range of real-world examples including: Emilia Romagna's co-operative economy in Northern Italy; Argentina's recovered factory movement; Japan's consumer and health co-operatives. Highlighting the hopes and struggles of everyday people seeking to make their world a better place, this is essential reading for anyone who cares about the reform of economics, globalisation, and social justice.

Genres: Economics, Nonfiction, Business, Philosophy, History, Social Justice, Sociology

288 pages, Paperback

First published September 1, 2010

Reviews

[Mika Varis · Rating 3 out of 5]

Both interesting and irritating at the same time. On one hand it's a nice introduction to co-operative business model. On the other hand the author makes claims and simplifications that are simply not true. 

The author lives in a world where capitalist companies maximize profits at any cost and how the only way to survive in capitalist economy is by the destruction of the competing companies. All sorts of collaboration between capitalist companies is somehow impossible. On the other hand co-operatives are presented as a silver bullet for removing human greed and all other evil that plagues capitalist companies. 

The examples in the book are about great co-operatives that have succeeded (at least according to the author) in forming networks of small businesses and thrived in certain areas and it is nice that such things exist. There are zero mentions in the book about not so humane co-ops. 

In Finland around 85 % of retail market is dominated by two companies - one of which is a listed company and the other a co-op. The larger one is the co-op and it is co-owned by roughly 40 % of the Finnish population. Some examples of the not-so-human side of this co-op include engaging in an aggressive price competition (in John Restakis' words: in order to destroy the competition) reportedly at the cost of primary producers. The same co-op entered banking business a few years ago and in order to cut costs (paychecks) they don't use collective bargaining agreements of the financial sector but instead use the ones from retail.

Another large Finnish co-op is one of the largests banks in Finland. Being a co-op hasn't prevented it from firing hundreds of people in the recent years in competition with larger international banks. How humane is that?

There are other a lot of well managed corporations that operate in a humane and environmentally friendly way. What this book fails to show is that the co-op model itself does nothing to remove the greed of the people managing it and capitalist corporations can be run in a humane way if the right (humane) people are running them.

[Skloodzi · Rating 4 out of 5]

The best book on Co-operatives that I've read so far.

[Andy · Rating 5 out of 5]

Comprehensive description of how modern corporations are inherently anti-social and destructive. Describes the need for worker owned cooperatives with examples of this model working around the world.

[Sebastian N · Rating 5 out of 5]

I've to say this book was a lovely surprise! Very well balanced book that presents very good real life examples and the impact of the worker co-ops for not only the lives of the workers, but their families, the local society, and even nation-wise and globally. The worker co-op model truly gives meaning to democracy as it should be in society as a mixed model integrated in the local lives, sustaining the livelihood and life itself.
Very well worth the read. It's a descriptive book that doesn't try to shove the model down anyones throat. The reader can draw own conclusions.

[Ernst Hafen · Rating 5 out of 5]

The tragedy of the commons is in fact the tragedy of laisser-faire capitalism. John Restakis makes a convincing claim that essential human values like reciprocity, happiness and social cohesion are promoted by a cooperative based economy.

[Sotiris Makrygiannis · Rating 5 out of 5]

Very good book. Covers the history of coops and goes country by country to give examples. I was surprised to learn that Canada GDP, 10% of that, comes from non profit activities. Deeply this is a anarchistic and not a Marxist book, full with thoughts about the nature of human and utopia. I dint like it because he is Greek but about his style, the wording, the research, i.e the whole thing. Recommended to everyone, a mandatory reading.

[Mitchell Stern · Rating 5 out of 5]

This book is a great primer on co-ops and makes a compelling case for working to make them more prevalent.

[Eric Slepak · Rating 4 out of 5]

A fitting book to finish over Labor Day weekend...

I found a lot to like in this book. I think it provides a good overview of cooperative movements across the globe. Restakis' characterization of cooperative labor as a non-dogmatic alternative to neoliberal capitalism and authoritarian communism is salient and compelling. He pulls interesting examples of how workers exercised political, consumer, and cultural power to democratize their workplaces.

Humanizing the Economy operates as more of a survey than a how-to guide on how to bring forward these changes, but I think that's fine. There's certainly a lot of stuff in the bibliography I'm gonna be adding to my reading list to further explore the subject. Interestingly, concepts he raises here tie into works on other subjects I've recently come across: reciprocity (Debt by David Graeber), disaster capitalism (Naomi Klein, who Restakis cites in the book), and the judicial misapplication of the 14th amendment to expand corporate power (The Republic For Which It Stands by Richard White).

The writing is a little clunky. His purple prose around global cultures is unnecessary and borderline patronizing in places. And he has a chapter on New Orleans in the wake of Katrina that hasn't aged particularly well. But these details aside, the substance of the book is solid, and I recommend it to anyone who's disenchanted by life under late-stage capitalism.

[Jeanine Johnson · Rating 3 out of 5]

Restakis presents his case for economic democracy via co-ops. He shares the dehumanizing effects of centralized economic authorities planning market trajectories. Written in the aftermath of the Great Recession, Restakis’ historical context and stories show that “skin in the game” as a co-op participant improves productivity and increases ethical business practices through more community oriented operations.

[Nathaniel Nathaniel · Rating 4 out of 5]

This is a very inspiring book about cooperatives. I had no idea that the cooperative movement is so popular all around the world - it's definitely not here, in Poland. But this book inspires to take action and use the knowledge to implement the similar ideas in my own country. This is a review enough :).

[Shannon · Rating 5 out of 5]

some parts went over my head/ attention span (some of the very historical or theoretical parts) but overall good examples and arguments for cooperative economies- business models that institutionalize reciprocity (which we need as humans to survive because we need social connections)

another world is possible!!!!!!!

[Alan Smith · Rating 4 out of 5]

A wonderful introduction to the history of worker-owned cooperatives around the world.

[Piyush Bhagade · Rating 5 out of 5]

This was a fantastic book that finally made it clear to me that the greed of a private enterprise and the inefficiency of a government one are not bugs but features. The system was made to check and balance itself so that none of these 2 become the overriding force of a generation. It also exposed that the silent third partner is a cooperative, balancing both and moving slowly. Sadly we live in the age of capital like the title of the book suggests and we have to mask interactions as transactions for the capatilistic mind to be satisfied. After reading this book I now have evidence to prove what is a feeling in the back of the mind for many Indians. India does not lack capital or government efficiency compared to any other nation, its this third pillar which is too silent. Cooperatives have a long way to go in India.

[Chad Schultz · Rating 3 out of 5]

I want to learn about co-ops, and audiobooks are rare. Some interesting history, but the author writes in nearly mystical tones about the power of co-ops and badly needs better fact-checking. For example, credulously repeating false claims Fox News had made about what went down in New Orleans after Hurricane Katrina. I was already wondering if the author's hyperbolic statements were accurate, but that really made me question how careful his research was. I'm hesitant to recommend.

[Deon Robinson · Rating 5 out of 5]

One of the best written stories of how the world can be shaped and fixed by cooperative government structures and how its has shaped the past. The worse thing about this book is the twist ending. Where you realize it was written in 2011 and nothing in the book has changed, every sad thing listed in it still apply and infact things are worse than when he first wrote it. But ironically it could easily be written in as easily in 2025 as 2011

[Amy Colbert · Rating 4 out of 5]

4.0

[Matthew Loftus · Rating 4 out of 5]

A bit uneven in places (mostly when it comes to big-picture ideological rants) but the careful research and reporting is unmatched.

[Aldwin Susantio · Rating 3 out of 5]

Why should we democratize the economy? The book explain thoroughly the answer of the question above. Firstly, the book provides us examples that shows sociopolitical instabilities all over the world because inequality of income distribution. There are also provided many evidence showing that our current economy system is dehumanizing, because it put too much emphasis on cost reduction, not the overall wellbeing of human.

At the middle chapter, the book explains the solutions of this, and that is to democratize the economy.

This book use philosophical standpoint, so it's kinda hard to understand without enough concentration. I think this book is a good read if you're a policymaker or philosopher. Otherwise, maybe it is better to search for more practical-oriented book.

[Bill Gormanous · Rating 3 out of 5]

Some good info but...

....overwhelmed by leftist ranting. Also the emphasis seemed to be mostly non western situations. I was hoping for something more applicable to the US or Canada or UK.

[T_Wragg · Rating 5 out of 5]

Something for hope.

[Eric Dirnbach · Rating 4 out of 5]

A great history of the development of cooperatives from the early days of Rochdale in England to more current examples in Italy, Japan, India, Sri Lanka and Argentina.