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DAVID A. BALDWIN
Politicalscientists
are fondof observing
that"poweris to us what
moneyis to the economist:themediumvia whichtransactions are
observedand measured."' The analogysometimesimplies,as it
does in thisquotation,thatmoneyand powerperform similarsocial
functions.At othertimesit seemsto meanthatpoliticalscientists
oughtto spendas muchtimethinking aboutpoweras economists
do thinking aboutmoney. At stillothertimesone detectsan en-
vious tone thatseemsto say, "How luckyare the economists to
COMPARINGSUBSETS OF POWER
9Mitchell,SociologicalAnalysis,87-90.
'0Deutsch,Nervesof Government, 116.
:"RobertA. Dahl, "Power,"InternationalEncyclopediaof the Social Sci-
ences,XII (New York: Free Press,1968), 407.
582 THE JOURNAL OF POLITICS, VOL. 33, 1971
PurchasingPower
12Parsons,
"Conceptof Influence,"42-45.
MONEY AND POWER 583
19Catlin,
Science,206-279;Lasswelland Kaplan,Power,80-81.
20DorwinCartwright, "Influence,
Leadership,Control,"in Handbookof Or-
ganizations,
ed. by JamesMarch(Chicago: Rand McNally,1965),40.
21See RobertA. Dahl, ModernPoliticalAnalysis(Englewood Cliffs,N.J.:
Prentice-Hall,1963), 47-49, 53-54.
22Parsons,"Conceptof PoliticalPower,"232.
23Parsons,"Conceptof Influence," 38-42. JamesS. Colemanindicatesthat
he objectedat firstto "the analogyof influence
to money,on the groundsthat
586 THE JOURNAL OF POLITICS, VOL. 33, 1971
30Parsons,"PoliticalAspect,"90.
3tDeutsch,Nerves of Government, 118-119. (Italics added.) See Par-
sons,"Conceptof PoliticalPower,"254-255; "PoliticalAspect,"87, 90, 93, 98,
100. At timesParsonsappearsto see barteras directexchange;see "Concept
of PoliticalPower,"256 and "Conceptof Influence,"40-42. One mustdis-
tinguish,however,between the conceptionof barterthat Parsons identifies
and the one that he uses. Althoughhe has definedbarteras the directex-
changeof one itemof commodity or serviceforanother("Concept of Political
Power,"237), his usage of the termelsewhereimpliesthata directexchange
of a package of vaguelydefinedgoods or servicesforanothersimilarpackage
would not be barter. It is the specificity
of the itemsbeing exchangedthat
seemsto matterforParsons,notthedirectness of theexchange.
MONEY AND POWER 589
32Parsons,
"Conceptof Influence,"48.
33Deutsch,International
Relations,41.
590 THE JOURNAL OF POLITICS, VOL. 33, 1971
Measuring Power
Althoughthereis widespread agreementthat purchasingpower
is easier to measurethan politicalpower,thereis less agreementas
to why this is true and what the implicationsare for the power-
moneyanalogy. Thus, Parsonsargues thatpower is "directlyparal-
lel in logical structure"to moneyin its abilityto functionas both a
medium of exchange and a measure of value.39 A few pages later
in the same article he notes that a "crucial difference"between
money and power is that money can be measured in linear terms;
whereas power measurementinvolves a quite differentdimension
which makes power harder to measure than money.40 Deutsch
tends to minimize the differencein the measurabilityof power
and moneyby focusingattentionon the factthat"like othercurren-
cies, power can be quantified,althoughfar more imperfectlyso."'4
The question that goes unansweredhere is whetherthere is more
significanceforpoliticalscientistsin the factthatpower and money
can both be quantifiedor in the factthat quantification is easier for
moneythan forpower. To clarifythis question let us examinethe
originsof money,not in historicaltermsbut in termsof the logic of
the situation.
If there were no money,there would still be a number of re-
sources (base values or power bases) that could be used to exer-
cise purchasingpower in direct exchange. These would include
everygood or serviceforwhich thereis any demand. Since there
is no generallyagreed-uponstandard of value, the price of every
resource would theoreticallyhave to be stated in terms of every
other resource. Thus, if there were 500,000 resources,each one
would have 499,999 different prices. Since this is extremelyincon-
39Parsons,"Conceptof PoliticalPower,"234.
40Ibid.,242.
4'Deutsch,Nervesof Government, 120. See also, International
Relations,
42.
594 THE JOURNAL OF POLITICS, VOL. 33, 1971
of a science of poli-
such a measuringrod as "the supremedifficulty
tics."48 When Parsonsinvitesus to view politicalanalysisas parallel
to economicanalysisin the sense that "a centralplace in it is occu-
pied by a generalizedmedium involved in the political interaction
process, which is also a 'measure' of the relevantvalues,"49 he is
obscuringone of the mostimportantdifferences between economics
and political science. One of the fundamental reasons why politi-
cal analysis is so enormously is
difficult the absence of a "gener-
alized medium involved in the political interactionprocess, which
is also a 'measure' of the relevant values."50 Lasswell and Kaplan
were especially concerned about the consequences of a failureto
realize that political power was tied to particularpower bases and
could not be expressedin termsof a "unitaryconceptionof power."51
They warned: "Failure to recognizethatpower may reston various
bases, each with a varyingscope, has confused and distortedthe
conceptionof power itself,and retardedinquiryinto the conditions
and consequences of its exercise in various ways."52 Purchasing
power also restson various bases, but it does not matterso much,
since economistscan convert the potential purchasing power of
each base into a commondenominator. The power-moneyanalogy
can be helpfulif it stimulatesawarenessof the similaritiesbetween
barterand political exchange,but the analogy can be harmfulif it
temptsus to single out a particularbase value in termsof which to
expressthe value of the others. If thereis no generalagreementon
a measure of political value, it would be follyto pretendthatthere
is.
(3) Recognitionthatpolitical exchange occurs under conditions
that are more akin to barterthan to the sophisticatedmarketsof a
48Catlin,Science,251.
49Parsons,"Conceptof PoliticalPower,"234.
5oWilliamMitchellseemsto agreethatit is usefulto focusattentionon the
betweenmoneyand its politicalanalogues. Contrary
differences to the above
however,he sees Parsons'sapproachas helpingto producethis
interpretation,
focus. See Mitchell,SociologicalAnalysis,87-93.
5lLasswelland Kaplan, Power,92.
52Ibid.,85. On the difficulty of analyzingpower withouta satisfactory
commondenominator formsof power can be reduced,see
to which different
also RobertA. Dahl and CharlesE. Lindblom,Politics,Economicsand Wel-
fare (New York: Harper& Row, 1953), 228-229.
598 THE JOURNAL OF POLITICS, VOL. 33, 1971
"does not tell quite the whole story."65He impliesthat the portion
of the storyit does tell is correctbut incomplete. Most economists,
however,would regardexplanationsof the value of moneyin terms
of the value of gold not merely as incomplete,but as incorrect.
When economistsreferto the belief that gold determinesthe value
of money,they usually depict it as one of several discreditedor
erroneousbeliefs on this subject.66 (In the Americancase, for ex-
ample, it would make more sense to say that dollars determinethe
value of gold than it would to say that gold determinesthe value of
dollars.) On the basis of his dual explanation of the value of
money,Parsons observesthat "the question of whetherit [force] is
or is not the 'basis' of power is ambiguousin a sense exactlyparallel
to that of the question of 'basing' the value of moneyon command
of gold reserves."67In the eyes of most economists,however,it is
not ambiguous to say that monetaryvalue is based on gold; it is
wrong. AlthoughParsons may not intend to argue that gold and
force are the ultimate determinantsof economic and political
power, he is certainlyambivalenton the issue. Given the wide-
spread misunderstanding of both gold and force,such ambivalence
is likelyto do more harm than good.
The second pitfallto be avoided in comparinggold with force
is the assumptionof a fixedsocial role foreach. AlthoughDeutsch
and Parsonsfrequentlysay thatthe role of forcein politicalsystems
is parallel to the role of gold in economic systems,it is not clear
what thismeans. It is obvious thattheyview forceas occupyinga
special place in political systemscomparable to the special place
that they thinkgold occupies in economic systems;but precisely
what is this special place, and why is it occupied by gold and
force?68 Apparently,they see gold and force as the most intrinsi-
cally effectivebases of purchasingand political power. As such,
65Ibid., 44.
66See,forexample,Chandler,Moneyand Banking,24; and Hart,"Money,"
431.
67Parsons,"Reflectionson the Place of Force,"47.
68See Parsons,"Conceptof PoliticalPower,"237-240; "Reflections on the
Place of Force," 48; and "Conceptof Influence," 47. Parsonsusuallythanks
betweengold and
Deutsch forhavingcalled his attentionto the similarities
force.
MONEY AND POWER 603
Does IsomorphismMatter?
and economic systems,i.e., the fact that only the latterhas a gen-
eralized medium of exchange that also serves as a standardized
measure of value. One of the most valuable services the analogy
between politics and economics can renderto political scientistsis
of this difference. In comparingpolitical with
clear identification
economic processes, as in comparingmen with women, we may
findthe differences as the similarities.
as interesting
76Parsons,"Conceptof PoliticalPower,"258.
77Mitchell,SociologicalAnalysis,89-90.
78Parsons,"Conceptof PoliticalPower,"232-233.
79Mitchell,SociologicalAnalysis,89-90.
80Parsons,"Conceptof Influence," 60; "Conceptof PoliticalPower,"232-
the zero-sum
233, 250-251; "PoliticalAspect,"99-100. Parsonsalso attributes
assumptionto V. 0. Key and C. WrightMills. I have not examinedtheir
writingsto determinethe accuracyof thisclaim.
606 THE JOURNAL OF POLITICS, VOL. 33, 1971
92lnternation.al
Relations,44-46.
93Hart,"Money,"428.
612 THE JOURNAL OF POLITICS, VOL. 33, 1971
CONCLUSION
96Coleman,"Comment,"77.
97Robertson,
Money,1, 9-10; and Boulding,EconomicAnalysis,I, 20.
614 THE JOURNAL OF POLITICS, VOL. 33, 1971
Relations,43.
98Deutsch,International