ABSTRACT
Chapter 7 digs deeper into the annual participatory planning procedure. It begins by clarifying a vital issue: Who will say no to proposals submitted by consumer councils that are too greedy? Who will say no to proposals submitted by worker councils that fail to use productive resources efficiently, or to proposals where workers are being too lazy? After addressing these central concerns, we move on to explain how we propose to handle capital goods, public goods, and emissions of different pollutants during annual planning. After which we perform a rigorous welfare theoretic analysis of the participatory planning procedure. The chapter closes by explaining how participatory planning differs from central planning; from common conceptions of comprehensive, democratic economic planning; and from a market system with a Walrasian auctioneer.
