ECONOMIC DEMOCRACY

Three main features of economic democracy is workers self management, markets, and democratic control of investment. In the economic democracy each productive enterprise is controlled democratically by its worker under the mean of worker self management. Wage labor is applied in the capitalism which all extra money will go to the manager or the owner of the company. While in the economic democracy all the profit is shared by all the component of the company. Another feature of economic democracy is market; market will interact with one another and with consumers in an environment largely free of government price of controls. As what Professor Perry said, the market the people running the company know what people want, if there is no market, we cannot determine what people want. Market is also very important especially in the sophisticated country for example United States and Malaysia, while the Soviet Union and Cuba does not have market. The last feature is social control of investment, the investment in the economic democracy is controlled by the workers, while in the capitalism is controlled by the M-C-M'. In my opinion the economic democracy is much better than the capitalism because the workers also play the role in the company profit, the market and the company investment. In the economic democracy, the capitalist cannot does not have freedom in their own company and at the same time this will reduce the hypermobility. This new kind of economic gives the chance to the worker to involve in the management.