mutualization

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planted: 30/01/2022last tended: 30/01/2022

Mutualizing means to contribute and belong to a group enterprise with a larger, enduring social purpose; this association in turn entitles participants to specific individual benefits. However, members do not necessarily receive equal value or the same benefits in return for what they give, as in a market transaction. They typically receive some stipulated benefit based on need or other criteria. The benefits of mutualization are socially agreed upon, often based on differential shares and predetermined formulas.

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An insurance pool and social security fund are classic examples.

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However mutualization is structured, it is critical that everyone with a stake in the mutualized pool have a say in the agreement. It is a peer-determined reciprocity, a specific form of practicing Gentle Reciprocity.

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Mutualization bears some resemblances to a commercial transaction. What makes it different is that participants generally have an interest in each other and goals that are not just monetary.

Free, Fair and Alive

mutualization is socially driven reciprocity; trading is a market-based reciprocity

Free, Fair and Alive

1. Elsewhere

1.1. In my garden

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1.2. In the Agora

1.3. Mentions

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