Which economic democracy? Towards principles for transformative democratization in socialization projects

Abstract Recent years have seen increasing interest in socialization as a strategy for the democratization of economic processes, both in academia and among social movements. In these discussions, democratization is frequently invoked as both a means for achieving transformation as well as the end goal of socialization. However, it often remains unclear which prerequisites are necessary and which forms of participation and organization are suited to a transformative democratization of economic processes. This raises two pertinent questions: Firstly, which forms and principles of democratization are relevant when we talk about socialization? And under what conditions can democratization of economic processes through socialization contribute to a social-ecological transformation of current capitalist economies? Drawing on insights from radical democratic theory and critical realism, this article develops a framework of specific principles that can enhance the transformative potential of democratization in socialization projects. These principles are follows: (1) recognizing the biophysical embeddedness of economic processes, (2) enabling the active and equal participation of all political subjects, (3) the creation of suitable contestation procedures, (4) guaranteeing transparency and cultivating a sense of “possibility for change,” (5) establishing institutional self-questioning, and (6) guiding the institutional set-up based on the principle of subsidiarity. We argue that these principles cannot simply be “implemented” but can serve the context-specific shaping and critical probing of different socialization models. To showcase the applicability of the framework, the article discusses the principles with regards to the Deutsche Wohnen & Co. enteignen campaign in Berlin.