A Framework for a Political Theory of the Corporation

Abstract

This chapter provides the methodological framework for the rest of the book. It adopts a method of laying out the assumptions that are inherent to our current social institutions, and using them to critically engage with extant corporate structures and practices. It begins by laying out two presuppositions that seem to characterize our political and economic order: (1) liberal democratic norms and institutions are preferable to others; and (2) markets should function as the basic institution for coordinating economic activity. After reviewing each of these presuppositions, the chapter shows that they are in conflict with the institution of the corporation, which uses nonliberal democratic norms and nonmarket modes of coordination to structure its operations. The discussion then articulates the key questions that a political theory of the corporation ought to address in order to resolve this puzzle.