Is it possible for a community to pursue traditional Socialist objectives using tools that aren’t traditionally associated with Socialism? The idea that income inequality is an inevitable by-product, a price paid for economic efficiency, is frequently part of the verbal, informal component of introductory economic courses; what the formal economic theory fails to explain is this exact inference. The first theorem of wellbeing and the Coase theorem are representative and traditional examples which identify sufficient conditions for economic efficiency achievement under specific circumstances. In the models that demonstrate these theorems there is a clear association between efficiency and distribution: informally, efficiency comes when resources are put on the market, regardless of whom does this. Market Socialists propose forms of institutional and industrial organization based on profit and competitive markets which try to reach certain social goals (for example, a better income distribution). Is their proposition for using contemporary economic theory (including the mechanism design literature, information and contract economy, etc.) to make a better economic and politic system credible? (Gabrile Mihalache presents)

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Post-Lange Market Socialism: An Evaluation of Profit-Oriented Proposals