Illustrating the Solidarity Economy

Original post from the P2P Foundation Blog

We’re very happy to share this fantastic poster, with text by Caroline Woolard and an illustration by Jeff Warren. The poster is also available in Spanish and Mandarin. The following text is extracted from Unterbahn.com:

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What practices and places can we rely on and strengthen in the years to come?

What might be called an “alternative” economy in the United States is known globally as the solidarity economy. The solidarity economy identifies and unites grassroots practices like lending circles, credit unions, worker cooperatives, community safety initiatives, community media stations, and community land trusts to form a powerful base of political power. The concept emerged in the global South (as economia solidária*) and is now gaining support in the United States under many names, including the community economy, the peace economy, the workers’ economy, the social economy, the new economy, the circular economy, the regenerative economy, the local economy, and the cooperative economy.

As many people finally wake up to the reality that white supremacy threatens public health on a daily basis, a wide range of people are educating themselves, assertively dismantling structures of oppression in organizations, and learning to follow the lead of black and brown artists and organizers who have been under siege for centuries and who have always been leaders in the solidarity economy. For more information about the solidarity economy, please visit: http://www.communityeconomies.org/Home and http://solidaritynyc.org

Marco Arruda of the Brazilian Solidarity Economy Network stated at the World Social Forum in 2004: “A solidarity economy does not arise from thinkers or ideas; it is the outcome of the concrete historical struggle of the human being to live and to develop him/herself as an individual and a collective… innovative practices at the micro level can only be viable and structurally effective for social change if they interweave with one another to form always-broader collaborative networks and solidarity chains of production-finance-distribution-consumption-education-communication.”

Text by Caroline Woolard

Three Proposed Governance Hacks for Making Peer Production into a Real Economic and Social System

This post was written by Michel Bauwens of the P2P Foundation. The original post can be found here.

Capitalism wasn’t always an organic and dominant system. Before it achieved its status as a full mode of production, i.e. as a coherent way to create and diffuse value, as a form of society and civilization, it needed to hack the old society to mold it to its image. Karl Polanyi, in The Great Transformation, explains how early merchants were still dependent on artisans and guild labor for example (the so-called ‘putting out’ system), and could not rely at first on making labor a commodity itself. The situation is not different for the emergent ‘proto’ system of production that is today ‘commons-oriented peer production’, in which communities of contributors, paid or unpaid, create ‘commons’ (shared resources governed by their users) and not commodities. How can this emergent post-capitalist logic, that is already beyond the labor and commodity logic, come into its own ? How do we make peer production into an organic system. With this priority in mind, the P2P Foundation and other similar networks of P2P activists and scholars have put forward a number of hacks.

The key issue is: how do we keep ‘value’ within the sphere of the commons, so that the commons can grow and ‘reproduce’ itself. Or in other words: how can we actually make a living through our contributions ?

A first proposal is the copyfair license, i.e. a reciprocity-based license. Why is this necessary ? Technically, according to the traditional definition of ‘communism’ in the 19th century, the General Public License is a communist license: from each according to their contributions, to each according to their needs’. But the issue in our current political economy is that such a dynamic invariably leads to the domination of the ‘free and shared’-resources based economy by large private players, and additionally, leads to a usage of these shared resources without contributions. While this ‘liberal communism’ (communism at the service of capital and the liberal value of the abstract ‘right toshare’), may not be a problem for non-rival and anti-rival resources such as knowledge and code, it may be seen as more problematic in the world of design, seeds, and other forms of sharing that are more directly linked to physical production. Indeed, once we need to invest in building, machines, raw material and salaries, the private domination of the open economy may be seen as problematic. Thus, a license that would require some form of reciprocity, would have a number of advantages. The requirement that firms that do not contribute, pay a license fee, would create a stream of capital to the sphere of the commons and its communities and ‘Foundations’. Second, and more important, the requirement to define reciprocity, would recreate a ‘moral economy’ that would re-integrate positive social externalities in the market sphere itself.

Our second hack would also involve governance and property dynamics. We propose the creation by commoners of truly ‘open cooperatives’, i.e. coops that do not just work for their own members, but structurally and ‘statutarily’ co-create commons along with livelihoods for the cooperative workers. In this model, the coop would be ‘for-benefit’ in legal orientation, not for-profit (profits would be used for its social goal), multi-stakeholder, but also co-create commons, in the form of both immaterial commons (shared knowledge) but also eventually common material resources (the Allianza Solidaria housing coop in South Quito requires 100 hours of labor of its members that is used to create common parks). These new coops would not end up behaving selfishly on the capital markets just on behalf of their own members, but would create the common good as a natural part of their activities. A similar proposal is the ‘fairshares’ ownership models which divides property in four equal pieces, for founders, funders, workers, and user communities.

Here then is our final and third proposed ‘hack’ of the day: open supply chains and open accounting. Once a ‘ethical enterpreneurial coalition’ is constituted around the copyfair license and/or a social charter establishing common values and a commons orientation, then it becomes more natural to move from competition to coopetition, i.e. the share production and accounting information throughout the network. An example is the Enspiral network of social enterpreneurs in New Zealand, who function transparently within the network. Through this hack, the mutual and ‘stigmergic’ coordination of productive activities, which already has been achieved in the immaterial production of knowledge, code and design, would also start to create post-capitalist ‘mutual coordination’ dynamics in the sphere of actual physical production.

If these three steps were taken concurrently by various actors then ‘peer production’ would substantially move to function as a ‘organic’ system that is able to self-reproduce itself, as the commons contributors would be able to create cooperative livelihoods. We would have moved from a ‘communism of capital’ to a ‘capital for the commons’.