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By L P J. Groenewegen
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Extra info for Characterization of Optimal Strategies in Dynamic Games
What kind of “concerted action” do we expect when virtual states meet virtual firms? Virtual governance? What that might mean becomes clearer when we listen to the advocates of a rejuvenation of the old practices of concerted action. The novelty this time is that the advocacy comes from the corporate Olympians themselves – the European Roundtable of Industrialists. The European Roundtable of Industrialists is a platform publishing regularly on social and political- economic issues (it assembles the leading executives of some 40 of Europe’s largest companies).
32). “Compulsions” compel the state to assist in stabilizing demand and supply. Irreversible commitments of time and capital mean that the needs and whims of consumers must be anticipated – “by months or years” – and that resources, skills, materials, equipment, dealers and so on will be available in due time, long enough and at remunerative costs. Exercising control over demand and supply means substituting planning for the market. According to Galbraith there are three ways of replacing the market by the “authoritative determination” of prices and of quantities to be sold or bought.
For instance, whereas uncertainty gathers momentum nationally and internationally, managerial and political lore tends to have a keener eye for the dysfunctions of social routines than for its functions. Or, whereas societies and economies have become more technology and knowledge intensive, the Galbraithian mystique of the “technological imperative”, asking for size, centralization and stability, somehow has yielded to the counter- canons of the “market imperative”, asking, instead, for downsizing, simplicity, decentralization and, in particular, for the praise of “flexibility”.