On Socio-economic Roles and Specialization
نویسندگان
چکیده
Xiaokai Yang's theory of economic specialization under increasing returns to scale is a formal development of the fundamental Smith-Young theorem on the extent of the market and the social division of labor. In this theory specialization-and, thus, the social division of labor-is firmly embedded within a system of perfectly competitive markets. This leaves unresolved whether and how such development processes are possible in economies based on more primitive, non-market organizations. In this paper we discuss a general relational model of economic interaction. Within this non-market environment we discuss the emergence of economic specialization and eventually of economic trade and a social division of labor. We base our approach on three levels in organizational development: the presence of a stable relational structure; the presence of relational trust and subjective specialization; and, finally, the emergence of objective specialization through the institution and the social recognition of economic roles. ∗ This paper is dedicated to the memory of Xiakai Yang, whose work on specialization and the social division of labor inspired us in constructing the theory as presented and discussed in this paper. This paper is an extended compilation of the formal theory developed in Gilles, Lazarova and Ruys (2006). ° Corresponding author: Department of Economics, 3016 Pamplin Hall, Virginia Tech, Blacksburg, VA 24061, USA. Email: [email protected].
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