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By Ronald Cohen, John Middleton

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Additional resources for Comparative Political Systems: Studies in the Politics of Pre-Industrial Societies (Texas Press sourcebooks in anthropology)

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A Theory of Groups and Organizations 39 Whether a group behaves exclusively or inclusively, therefore, depends upon the nature of the objective the group seeks, not on any characteristics of the membership. Indeed, the same collection of firms or individuals might be an exclusive group in one context and an inclusive group in another. The firms in an industry would be an exclusive group when they sought a higher price in their industry by restricting output, but they would be an inclusive group, and would enlist all the support they could get, when they sought lower taxes, or a tariff, or any other change in government policy.

This is something a union may be happy to do because this will help it fulfill its political, lobbying function. Interestingly, the CIO, and the catch-all District 50 of the UMW. may possibly have allowed the influence of John L. Lewis and the UMW to expand at some times when union wage levels limited employment in coal mining. I am thankful to one of my former students, John Beard, for stimulating ideas on this point. 40 The Logic of Collective Action behavior is attempted. When there is organized or coordinated effort in an inclusive group, as many as can be persuaded to help will be included in that effort.

Thus there are no profits in equilibrium in any industry with a really large number of firms. A profit-maximizing firm will start restricting its output, that is, will start acting in a way consistent with the interests of the industry as a whole, when the rate at which the gain to the group increases, as more T (a higher price) is provided, is l/Fi times as great as the rate at which the total cost of output restriction increases. This is the same criterion for group-oriented behavior used in the more general case explained earlier.

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