The world suffers at the hands of a dictatorship of no alternatives Its power is manifest in many ways. There is now a very limited range of institutional options for the organization of different areas of social life. This restrictive institutional repertory has become the fate of the contemporary societies There are two types of leftists or of progressives There is a resign, surrender left it accepts the market economy in its present form and globalization on its present course and tries to humanize them especially through compensatory redistribution by tax and transfer the key note of its politics is the humanization of the inevitable its program, is the program of its conservative adversaries with a humanizing discount Then there is a recalcitrant, nostalgic left It too lacks an alternative to the present form of a market or the present direction of globalization It wants simply, to slow their course the better to defend the prerogatives of its historical constituency the organized labour force headquartered in the capital intensive sectors of industry In every country in the world that base is a shrinking part of a population increasingly seen as just one more interest group rather than as the bearer of the universal interests of society In the rich north atlantic world the horizon of programmatic debate has become increasingly narrowed down to the attempt to reconcile American-style economic flexibility and European-style social protection within the limits of the inherited institutional framework that frame work was designed in the social democratic settlement of the mid twentieth century under the terms of that settlement the forces that challenged the existing organization of power and of production abandoned the challenge the state was allowed to acquire the power to redistribute by tax and transfer to regulate the economy more thoroughly and to conduct a counter cyclical economic policy now however none of the fundamental problems of contemporary societies can be solved or even addressed unless we reopen the terms of that social democratic settlement and innovate in the institutional arrangements that organize democracies market economies and free civil societies the consequences of the dictatorship of no alternatives are far reaching the result of the restrictive institutional repertory is to hold hostage all of our recognized ideals and interests our interests and ideals always remain nailed to the cross of the institutions and practices that represent them in fact the dictatorship of no alternatives undermines the force and hollows out the content of the most powerful message in the world today the message shared by the revolutionary projects of democracy, liberalism, and socialism and by the world wide popular romantic culture the essential creed of democracy is faith in the constructive genius of ordinary men and women and the message of the popular revolutionary romantic culture is that all men and women are god-like and can raise themselves up to a greater life here I outline a path for the progressives I advance in four steps the incitements, the direction the change and the obstacles the incitements a first incitement is the opportunity presented by a momentous shift in the style of production a new form of production is emerging in the world in the major developing countries as well as in the richest economies it is characterized not simply by the accumulation of capital technology and knowledge but also by a set of practices of productive experimentalism these practices soften the contrast between conception and execution they relativize the distinctions amongst specialized work roles they mix cooperation and competition in the same domains above all they transform productive activity into a collective practice of permanent discovery and innovation the problem is that this productive vanguardism remains isolated in advance sectors only weakly linked to the other sectors of the national economies in which they exist the vast majority of humanity is excluded from them in richer countries as well as in poorer ones the two traditional devices for the attenuation of inequality compensatory redistribution and promotion of small business prove inadequate to the task of mastering the vast forces of inequality and of exclusion that result from this new form of the hierarchical segmentation of the economy the emerging style of production is not a horse that we can ride to freedom It is simply an occassion to be mastered and redirected a second incitement is the desire of nations to be different the role of nations and nation-states in a world of democracies is to represent a moral specialization within mankind humanity develops its powers only by developing them in different directions and expressing them in divergent forms of life to be strong and independent nations must give up a part of themselves emptying out the tangible and customary content of their collective identities two neighbouring peoples come to hate each other not because they are different but because they are becoming alike and want to be different the poisonous character of contemporary nationalism lies in this the desire to differ is inflamed by an impotent will to difference in the presence of the weighting of actual difference but the solution is not to retreat into an empty cosmopolitanism it is to equip the desire for collective difference with institutional instruments the differences to be created in the future matter more than the differences inherited from the past prophecy over memory a third incitement is the desire of hundreds of millions of ordinary men and women to rise to a condition of modest prosperity and independence and to escape the servile circumstance of dependent wage labour when Abraham Lincoln remarked that no one would accept the life long condition of hired labour other than either because of a dependent nature or improvidence folly or singular misfortune, he was expressing a view widely shared by the liberals and socialists of the nineteenth century but then given up by the ideologists of the left in the twentieth century by default the desire for independence is commonly fixed on the narrow forms of small holding or isolated family business the task of the progressives would be to meet this desire on its own terms and to provide it with a broader range of forms of satisfaction through the institutional reorganization of the market economy the direction the distinguishing feature of a progressive or left position today is to combine devotion to the achievement of a greater life for the ordinary man and woman with a program for the institutional reorganization of society the liberals and socialists of the nineteenth century understood that equality is subordinate to greatness and entrenched an extreme inequality is to be combated as a restraint on the achievement of that larger objective and they all had an institutional proposal for the socialists the governmental direction of the economy for the liberals the establishment of a single dogmatic version of the market ecocomy and of democracy their view of greatness was too narrowly modelled on the aristocratic experience of self possession and their institutional forumlas are no longer credible to us but we must reassert the vital combination between the idea of greatness and the commitment to the institutional transformation of the economy of politics and of civil society that is the only way to be faithful to the most powerful message that the political programs of democracy, liberalism, and socialism share with the popular romantic revolutionary message of the empowerment of ordinary humanity whichever force, right or left most plausibly embodies this message of vitality of capability of greatness will command the political agenda of the future I now outline four planks in a progressive platform a democratized market economy that provides the majority of men and women with the instruments of effective agency a form of education that allows them to see beyond the present context a way of organizing civil society that ensures a practical basis for social solidarity stronger than money transfers and a high energy democracy that diminishes the dependence of change upon crisis such a program is not a blueprint it is a direction a succession of steps not architecture, but music its intentions are not merely local a universal orthodoxy such as neoliberalism can be successfully resisted only by a universalizing heresy as liberalism and socialism were in their day and the whole world is now bound together by a chain of analogous problems and solutions a democratized market economy distinguish a point of departure and a horizon the point of departure is the effort to broaden access to the new vanguards of production and allow the practices of productive experimentalism to spread through large parts of the society and the economy to this end we must innovate in the institutional arrangements shaping the relations between governments and firms there are now two models of government-firm relations available in the world the American model of arms-length regulation of business by government and the north east Asian model of formulation of unitary trade and industrial policy imposed top down by the bureaucratic apparatus of the state we require a third model a form of strategic coordination between governments and firms that is decentralized, pluralistic participatory, and experimental the horizon is a change in the character of production and of labour with two aspects one aspect is the reconstruction of free labour economically dependent wage labour was always a compromise retaining some of the characteristics of slavery and serfdom the aim is to affirm the predominance of the two other forms of free labour combined with each other self employment and cooperation in such a way that they can address the problems of scale the other aspect is to change the relations between people and machines everything that we have learned how to repeat we can express in a formula and whatever we can express in a forumla we can embody in a physical contraption - a machine the point of machines is to do for us everything that we have learned to repeat the better to preserve the time of our lives for the not yet repeatable and inbetween the point of departure and the horizon the institutional reshaping of the market economy so that it ceases to be fastened to a single institutional version of itself the familiar idea of economic freedom as the power to recombine factors of production within an institutional structure of production and exchange that is left unchallenged should be deepened into a larger power to innovate in the institutional arrangements of production and exchange alternative regimes of private and social property would come to co-exist experimentally within the same market economy education the role of a school in a democracy is to be the voice of the future recognizing in every child a tongue tied prophet the school should not serve as the instrumentality of the family which says 'become like me' or of the state which says 'be useful to me' education is to empower the mind to see and to discover more than the established context can countenance there are two priorities the first priority is to reconcile especially in countries that are large, unequal and decentralized the local management of the schools with national standards of investment and quality the quality of the education that a child receives should not depend on the happenstance of its birth to reconcile local management with national standards three tools are necessary the first is a national system of evaluation of performance the second is a mechanism to redistribute resources and staff from richer places to poor places the third is a procedure for corrective intervention in local failing school systems the second priority is radically to change the way of teaching and learning it is not enough to subordinate information to analysis and problem solving or to sacrifice superficial encyclopaedic coverage to selective deepening in the service of analytic capability or to prefer cooperation to the combination of individualism and authoritarianism it is also necessary to establish in the approach to receive knowledge a dialectical attitude every subject should be addressed from at least two contrasting points of view civil society in even the most equal countries in the world money transfers in the form of social entitlements have become the major basis of social solidarity money is too weak a social cement the only adequate basis of social solidarity is direct responsibility to take care of other people the very young the very old or the infirm and the needy outside the boundaries of ones own family every able bodied adult should have at least two positions in society one in the production system the other in the caring economy this change in the practical basis of social solidarity should be prepared by an innovation in the way in which we provide public services an innovation of enormous value in its own right what we now have is the bureaucratic provision of standardized low quality public services that is to say public services of lower quality than the analogous services that can be bought by those who have money and the only alternative seems to be the privatization of public services in favour of profit driven firms there is however another option that the state act to equip to finance and to coordinate independent civil society so that it shares in the competitive and experimental provision of public services that is the best way to enhance their quality and at the same time to create the arrangements and the attitudes hospitable to a higher level of social cohesion democracy democratic politics is not just one more terrain for institutional experimentation it is the area in which we determine the condition for the revision of the arrangements in all the other areas the democracies that now exist in the world continue to make change depend upon crisis their rule is - no crisis, no change a high energy democracy will diminish the dependence of change upon crisis and turn democracy not simply into a form of majority rule qualified by minority rights but also into a collective practice of the creation of the new a high energy democracy requires five sets of convergent institutional innovations the first set of innovations is designed to increase the temperature of politics the level of organized popular engagement in public life the premise is that a politics with rich structural content is necessarily a high temperature politics innovations that establish the public financing of campaigns that extend free access to the means of mass communication to the benefit of the organized social movements as well as the political parties and that change the electoral regimes in ways that favour the presentation of definite options for society a second set of innovations hastens the pace of politics take the example of American-style presidential government imitated in much of Latin America it combines a liberal principle of fragmentation of power with a conservative principle of the slowing down of politics the result is to establish a kind of correspondence between the transformative ambition of a political project and the severity of the constitutional obstacles they must overcome to be implemented our interest is to reaffirm the liberal principle but to repudiate the conservative one the Americans imagine that they are naturally and necessarily combined they are not they are combined by design to inhibit the political transformation of society if the context is that of a presidential form of government we would equip the regime with instruments for the rapid overcoming of deadlock between the political branches for example either of the political branches would enjoy the prerogative of calling early elections which however would always be bilateral for both political branches in this way the branch that exercised the constitutional prerogative would have to pay the political price of running the electoral risk a third set of innovations would exploit the latent experimentalist potential of a federal regime different parts of the country or even different sectors of society would enjoy the right to opt out of the general solutions and to create counter models of the future without it being the case that the degree of deviation that is allowed to one locality or one sector would have to be universalized for all of them a fourth set of innovations establishes in the state a distinct power or even a new branch designed, equipped, and legitimated to come to the rescue of groups suffering from forms of exclusion or disadvantage from which they are unable to escape by the means of collective action that are available to them it is a form of structural but localized intervention that does not fit within the limits of the present organization of government a fifth set of innovations enriches representative democracy with elements of direct or participatory democracy the best terrain in which to advance in this way is the engagement of independent civil society in the experimental and competitive provision of public services the path marked by these changes in the organization of the market economy of education, of civil society, and of democracy has as its counterpart a reshaping of the world political and economic order globalization is not there on a take it or leave it basis we are not confined to having more of it or less of it we need a different globalization the political and economic order that has been developed in the world since the second world war is a Metternichean project in the name of political security and economic openness it threatens to impose on all of humanity a formula of compulsive convergence to the same set of institutions and practices when in fact our interest lies in radical experiments in the institutional forms of the market economy of free civil society and of democracy take the example of the world trade regime the regime that is being established in the world conforms to four principles all of which should be replaced the first principle is to maximize the opportunities for free trade but free trade is not an end it is just a means the end should be the co-existence of alternative experiences of civilization and alternative trajectories of development within a world economic order that becomes progressively more open the second principle is to impose on the trading nations in the name of free trade adherence not simply to an abstract idea of a market economy but to a particular version of the market economy thus for example to outlaw under the label 'subsidies' all the forms of strategic coordination between governments and firms that the countries now rich used to become rich or to incorporate into the rules of free trade the odious regime of intellectual property developed since the late nineteenth century that places many of the technological innovations of greatest value to humanity in the control of a handful of big multinational businesses we should replace this institutional maximalism by an institutional minimalism the greatest economic openness with the least possible restraint on national institutional experiments including experiments in the way to organize a market economy a third principle is to grant goods and capital increasing freedom to roam the world while imprisoning people in the nation state or in blocks of relatively homogenous nation states such as the European Union freedom for labour to move could never be instantaneously established but things, money, and people should gain freedom together to cross national frontiers in small, cumulative steps there is no more powerful mechanism by which to achieve greater equalization in the world the freedom of things and of money to move is sometimes useful and sometimes harmful but the freedom of people to move is sacrosanct because it is part of the process by which humanity becomes both unified and diverse the fourth principle is that the world trading system is being organized on the pretence of universal free labour no matter how oppressive the conditions of economically dependent wage labour in fact are free labour must be really free and in the future free labour must mean the predominance of self employment and cooperation over economically dependent wage labour this example of reconstruction of the world trading system illustrates a larger principle the progressive program that I have outlined has as its ally the construction of a world political and economic order more hospitable to alternatives to divergence to experiments to heresies than the order that is now established the obstacles consider an intellectual and a spiritual obstacle to a progressive program like the one I have sketched the prevailing ideas in the whole field of social and historical studies are antagonistic to the exploration of institutional alternatives they have severed the link between insight into the actual and imagination of the possible they have become part of the problem rather than part of the solution sources of superstition forming a chorus of fatalism above all we need to form in political economy and legal analysis the twin disciplines of the institutional imagination an aim of this progressive program is to create a world in which trauma no longer needs to be the enabling circumstance of transformation nevertheless, the institutions that would diminish the dependence of change upon crisis themselves seem to depend for their establishment upon crisis only the imagination can break this vicious circle the task of the imagination is to do the work of crisis without crisis the cold calculus of interest must be reinforced by the visionary impulse by the prophetic voice the goal of the progressives was never just to humanize society to attenuate its cruelties and to redress its injustices it was always also to divinize humanity to raise us up to a greater life