Failure by Design

A new framework for studying markets as the product of organizational planning and understanding the practical limits of market design. The Western energy crisis was one of the great financial disasters of the past century. The crisis began in April 2000, when price spikes started to rattle Ca...

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Hlavní autor: Rilinger, Georg
Médium: Online
Jazyk:angličtina
Vydáno: University of Chicago Press 2024
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On-line přístup:https://library.oapen.org/handle/20.500.12657/92761
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author Rilinger, Georg
author_browse Rilinger, Georg
author_facet Rilinger, Georg
author_sort Rilinger, Georg
collection Directory of Open Access Books
description A new framework for studying markets as the product of organizational planning and understanding the practical limits of market design. The Western energy crisis was one of the great financial disasters of the past century. The crisis began in April 2000, when price spikes started to rattle California’s electricity markets. Decades later, some blame economic fundamentals and ignorant politicians, while others accuse the energy sellers who raided the markets. In Failure by Design, sociologist Georg Rilinger offers a different explanation, one that focuses on the practical challenges of market design. The unique physical attributes of electricity made it exceedingly difficult to introduce markets into the coordination of the electricity system, so market designers were brought in to construct the infrastructures that coordinate how market participants interact. An exercise in social engineering, these infrastructures were intended to guide market actors toward behavior that would produce optimal market results and facilitate grid management. Yet, though these experts spent their days worrying about incentive misalignment and market manipulation, they unintentionally created a system riddled with opportunities for destructive behavior. Rilinger’s analysis not only illuminates the California energy crisis but also develops a broader theoretical framework for thinking about markets as the products of organizational planning and the limits of social engineering, contributing broadly to sociological and economic thinking about the nature of markets.
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spelling doab-20.500.12854ir-1431842024-08-27T04:04:56Z Failure by Design Rilinger, Georg California energy crisis, economic sociology, social engineering, algorithmic management, economics, work and technology, market failure, social planning, market design, platform economy, electricity markets thema EDItEUR::J Society and Social Sciences::JB Society and culture: general thema EDItEUR::J Society and Social Sciences::JH Sociology and anthropology::JHB Sociology thema EDItEUR::K Economics, Finance, Business and Management::KN Industry and industrial studies::KNB Energy industries and utilities thema EDItEUR::K Economics, Finance, Business and Management::KC Economics::KCP Political economy A new framework for studying markets as the product of organizational planning and understanding the practical limits of market design. The Western energy crisis was one of the great financial disasters of the past century. The crisis began in April 2000, when price spikes started to rattle California’s electricity markets. Decades later, some blame economic fundamentals and ignorant politicians, while others accuse the energy sellers who raided the markets. In Failure by Design, sociologist Georg Rilinger offers a different explanation, one that focuses on the practical challenges of market design. The unique physical attributes of electricity made it exceedingly difficult to introduce markets into the coordination of the electricity system, so market designers were brought in to construct the infrastructures that coordinate how market participants interact. An exercise in social engineering, these infrastructures were intended to guide market actors toward behavior that would produce optimal market results and facilitate grid management. Yet, though these experts spent their days worrying about incentive misalignment and market manipulation, they unintentionally created a system riddled with opportunities for destructive behavior. Rilinger’s analysis not only illuminates the California energy crisis but also develops a broader theoretical framework for thinking about markets as the products of organizational planning and the limits of social engineering, contributing broadly to sociological and economic thinking about the nature of markets. 2024-08-27T04:04:55Z 2024-08-27T04:04:55Z 2024-08-15T10:16:47Z 2024 book https://library.oapen.org/handle/20.500.12657/92761 9780226834405 9780226833200 https://directory.doabooks.org/handle/20.500.12854/143184 eng open access image/png Attribution-NonCommercial-NoDerivatives 4.0 International https://library.oapen.org/bitstream/20.500.12657/92761/2/9780226834399.epub University of Chicago Press 10.7208/chicago/9780226834399.001.0001 10.7208/chicago/9780226834399.001.0001 decd55ad-cee8-4380-ad0e-0ead8a496f4d 9780226834405 9780226833200 322 open access
spellingShingle California energy crisis, economic sociology, social engineering, algorithmic management, economics, work and technology, market failure, social planning, market design, platform economy, electricity markets
thema EDItEUR::J Society and Social Sciences::JB Society and culture: general
thema EDItEUR::J Society and Social Sciences::JH Sociology and anthropology::JHB Sociology
thema EDItEUR::K Economics, Finance, Business and Management::KN Industry and industrial studies::KNB Energy industries and utilities
thema EDItEUR::K Economics, Finance, Business and Management::KC Economics::KCP Political economy
Rilinger, Georg
Failure by Design
title Failure by Design
title_full Failure by Design
title_fullStr Failure by Design
title_full_unstemmed Failure by Design
title_short Failure by Design
title_sort failure by design
topic California energy crisis, economic sociology, social engineering, algorithmic management, economics, work and technology, market failure, social planning, market design, platform economy, electricity markets
thema EDItEUR::J Society and Social Sciences::JB Society and culture: general
thema EDItEUR::J Society and Social Sciences::JH Sociology and anthropology::JHB Sociology
thema EDItEUR::K Economics, Finance, Business and Management::KN Industry and industrial studies::KNB Energy industries and utilities
thema EDItEUR::K Economics, Finance, Business and Management::KC Economics::KCP Political economy
topic_facet California energy crisis, economic sociology, social engineering, algorithmic management, economics, work and technology, market failure, social planning, market design, platform economy, electricity markets
thema EDItEUR::J Society and Social Sciences::JB Society and culture: general
thema EDItEUR::J Society and Social Sciences::JH Sociology and anthropology::JHB Sociology
thema EDItEUR::K Economics, Finance, Business and Management::KN Industry and industrial studies::KNB Energy industries and utilities
thema EDItEUR::K Economics, Finance, Business and Management::KC Economics::KCP Political economy
url https://library.oapen.org/handle/20.500.12657/92761
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