today you will meet the box.. the box is an orientation basis orientation because we can use the box...

Today you will meet the box.

The box is an orientation basis

• Orientation because we can use the box to get our bearings amid all the variety, confusion, and complexity of the world around us.

• Basis because the box is a foundation to build on to understand business and the other principal institutions of the modern world.

BOLD CLAIMS !! you say

•

Give us a chance to make our case.

• Then you be the judge.• Please wait a while before you answer the

question:• Does the “box” approach to understanding the

institutions of the modern world really make sense?

• But wait!! Another question:• What exactly is “the box” ? • We might start to answer by asking where it

comes from.

Where does the box come from?

• It comes from the legal framework of modern western economy and society.

• DO YOU REFER TO THE ROOTS OF MODERN WESTERN INSTITUTIONS IN ANCIENT ROMAN LAW ?

• Is that what you mean by “the legal framework of modern western economy and society” ???????????

Yes, we do.

Yes, it is.

In the year 533 a.d. a group of scholars convened by Emperor Justinian I

• Published a summary of Roman Law called “the Institutes”. In its introduction it declares three basic principles:

• 1. Honeste vivere.

• 2. Alterum non laedere.

• 3. Suum cuique tribuere.

• In 1688 the German jurist Samuel Pufendorf working in the Roman Law tradition that governed Europe added a fourth basic principle: 4. Pacta sunt servanda.

Translated into English and phrased to bring out their meaning

for our times

• 1. Respect the individual juridical subject.

• 2. There is a duty to refrain from harming others, but no duty to help others.

• 3. Respect property rights.

• 4. Human relationships organized by contracts.

That is the box.

THE FREE INDIVIDUAL

PROPERTY CONTRACT

NO DUTY TO HELP

One more question

• What does the box have to do with unbounded organization?

Suggested answer:

Organizing inside the box

Organizing outside the box

Unbounded organization