Question

Question 3: In a cooperative, workers collectively invest in the firm, make decisions about production, and share profits equally. Dr. Ellerman believes this is the right solution to private government - make the workplace a democracy by having all workers provide capital and share in the firm's profit. Do you think the strengths outweigh the weaknesses of this idea? Why?

Answer 1

Yes . In cooperative system members, not the absentee investors , are the owner of the business .So they take prompt and quick decision .This system exist and operate for the benefit of the members .Because of the ownership, members take interest in business and work hard to earn more profit.By sharing of the resources cooperative system maximize their output and profit . They enjoy the benefit of bulk purchasing . They also enjoy the benefit of mass advertising .