2.2 Household relationships with other provisioning institutions
Households are the most important economic institution. People in their households provide the direct and indirect care that human beings need to survive and thrive. But households do not operate alone. They are deeply embedded in ecological and other social systems (Figure 1).
Subtopic 2.2 explores the interdependence of households with markets, the commons, and the state. These other provisioning institutions can and should also provide care in our societies. This diversity and redundancy in care work builds more resilient societies, but it’s important to find the right balance of care provision between them. It’s also important to consider how we meet our needs in our households, because our choices have huge impacts on the rest of the living world.
Figure 1. Households are embedded in social and ecological systems
(Credit: Kate Raworth and Marcia Mihotich CC-BY-SA 4.0)
At the end of Subtopic 2.2 Household relationships with other provisioning institutions, you should be able to:
explain the production and consumption relationships between households and markets
discuss the tensions between households and markets related to profit maximisation, market power and care work
outline similarities and differences between households and commons
discuss the relationships between households and commons
discuss the relationships between households and the state
use the care diamond to explain the concept of a resilient care economy
explain the factors that determine the balance of care between the four provisioning institutions
discuss some consequences of unbalanced care among provisioning institutions in an economy