Theoretical Political Economy & Institutional Lab

Institutional Corridor: Acemoglu Democracy & Working Class Simulator

Framework: Acemoglu & Robinson (2019) Model: Dual-Power Dynamic Phase-Space Year t = 0 (1950)
Phase-Space Dynamics: State Capacity vs. Labor & Societal Power
Inside The Shackled Corridor
DESPOTIC LEVIATHAN Dominant State / Authoritarian Surveillance ABSENT LEVIATHAN Stateless Clan / Local Oligarchies THE NARROW CORRIDOR Shackled Leviathan: Red Queen Synergy 0 25 50 75 100 0 25 50 75 100 POWER OF SOCIETY & LABOR MOBILIZATION (S) → STATE ADMINISTRATIVE & FISCAL CAPACITY (x) →
Shackled Corridor (Liberty & Shared Growth)
Despotic Drift (State Dominance)
Absent Drift (Anarchy / Oligarchy)
50-Yr Trajectory Trace
Evolution Speed:
Labor Power (S) 56.0 Robust Union Density
State Capacity (X) 58.5 Tax Base & Bureaucracy
Wage Share of GDP 64.2% Equitable Productivity
Red Queen Synergy 0.92 Balanced Mutual Checks
Institutional Parameters & Historical Scenarios
Working Class Bargaining & Union Density 65%

Collective bargaining agreements, sectoral bargaining laws, and grass-roots worker mobilization.

Technological Direction: Pro-Worker vs. Pure Automation +35% Pro-Worker

Tax code bias on capital vs labor and AI policy: subsidizing human task complementarity vs labor displacement.

State Enforcement & Fiscal Apparatus 60%

Progressive tax collection efficiency, judicial infrastructure, public service delivery, and regulatory enforcement.

Judicial Independence & Electoral Enfranchisement 75%

Freedom of the press, independent courts, campaign finance limits, and transparent voting rights.

Corporate Market Concentration (Monopsony) 25%

Capital consolidation, antitrust laxity, wage-setting power, and corporate lobbying dominance.

Modular Institutional Interventions

Select structural reforms to simulate immediate trajectory correction and calculate democratic resilience deltas.

1. Co-Determination & Worker Board Seats ACTIVE

Mandate 30% worker elected representation on corporate boards, linking executive pay to median wage multiples.

+12 Labor Power +5.4% Wage Share
2. AI Human-Complementarity Tax Credits ACTIVE

Equalize tax treatment of capital vs labor; redirect federal R&D grants away from surveillance automation towards worker augmentative AI.

+18 Tech Direction +4.1% Wage Share
3. Sectoral Wage Bargaining Framework INACTIVE

Establish industry-wide wage boards setting wage floors across entire sectors, neutralizing firm-level union busting.

+15 Labor Power -8 Monopoly Power
4. Big Tech Structural Separation & Antitrust INACTIVE

Enforce interoperability and breakup of monopsonistic platform gatekeepers to foster decentralized innovation.

-16 Monopoly Power +7 State Capacity
5. Democracy Vouchers & Dark Money Bans ACTIVE

Public campaign financing with matched citizen vouchers to dilute oligarchic political lobbying leverage.

+14 Democratic Checks +6 Society Voice
6. Civil Service & Digital State Modernization INACTIVE

Expand tax inspection on high wealth brackets, automate public benefit distribution, and modernize judicial processing.

+15 State Capacity +4 Institutional Trust