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Lopes, H. (2020). Taking authority seriously—institutional implications. Journal of Economic Issues. 54 (3), 613-627
H. M. Lopes, "Taking authority seriously—institutional implications", in Journal of Economic Issues, vol. 54, no. 3, pp. 613-627, 2020
@article{lopes2020_1715603167898, author = "Lopes, H.", title = "Taking authority seriously—institutional implications", journal = "Journal of Economic Issues", year = "2020", volume = "54", number = "3", doi = "10.1080/00213624.2020.1778397", pages = "613-627", url = "https://www.tandfonline.com/loi/mjei" }
TY - JOUR TI - Taking authority seriously—institutional implications T2 - Journal of Economic Issues VL - 54 IS - 3 AU - Lopes, H. PY - 2020 SP - 613-627 SN - 0021-3624 DO - 10.1080/00213624.2020.1778397 UR - https://www.tandfonline.com/loi/mjei AB - This article argues that the notion of authority involves key theoretical and institutional issues. Drawing on McMahon, I define authority as a collective and normative device whose justification is to facilitate mutually beneficial cooperation among people with divergent aims. I then show that agency theory, the economic theory of the firm that normatively influenced the shareholder governance model, denies that authority is a core attribute of firms. By contrast, an authority-based theory of the firm normatively demands that firms are governed by reflexive authority, a kind of workplace democracy in which the authoritative directives guiding workers’ behavior are collectively determined. I end by suggesting co-determination as a possible form of reflexive authority. ER -