Overhauling democracy by switching to corporate-like governance

Abstract

With few exceptions, representative party democracy is dysfunctional due to structural deficiencies like "the impossibility of representation in groups", "the asymmetry of information", "the state capture by political parties", and the "uncoordinated administrative polycentrism". Hence, should circumstances render imperative a regime change, citizens should opt for digital citizen-managed democracy, which combines key elements from the direct democracy of classical Athens with aspects of governance in multinational corporations, and functions by digital Information and Communications Technologies. For, self-government in this context is superior because, first, it is free from the above innate deficiencies, and second, it is endowed with several advantages. In particular, it matches policy choices to citizen preferences. It offers institutional flexibility and efficiency. Citizens as shareholders of the state engage and take responsibility for the institutions of democracy, and the problems of asymmetric information and management coordination are confronted through discussion in the electronic Ecclesia of Demos.