ECONOMIC DEMOCRACY AS AN ENVIRONMENTAL MEASURE

Even though the conventional capitalist corporation is the globally do minant form of business organization, it may not be the most environme ntally friendly. Given the need for a sustainable steady-state economi c system, some other form of business organization will likely be requ ired that uses natural resource inputs more efficiently and is less gr owth oriented than the typical corporation. An attractive alternative is the producer cooperative, where employment is accompanied by a righ t to democratic participation in organizational governance and a share of surplus earnings. A comparative theoretical analysis of cooperativ e and profit-maximizing corporate behavior suggests that cooperatives will tend to use natural resource inputs more efficiently and will be less growth oriented than corporations. The limited comparative empiri cal research that is available supports the greater input efficiency o f cooperatives relative to corporations. This same research suggests t hat in fully employed economies, cooperatives will be less growth orie nted than corporations, although where unemployment is substantial the reverse is likely. Environmentally sustainable full employment is the oretically achievable through workweek reductions.