Consumer Sovereignty in the Digital Society

Abstract

Do digital technologies of early 21st century capitalism promote or reduce consumer sovereignty? This chapter addresses this question by examining John Kenneth Galbraith’s critique of consumer sovereignty during the post-war period of industrial society and looks at the insights he provides to understand the impact of platform capitalism on consumer sovereignty today. This chapter has the following sections: (1) I review the main postulates of Galbraith’s theory; (2) I highlight the main differences between traditional advertising and online behavioral advertising; (3) I explain how online behavioral advertisement strengthens Galbraith’s dependence effect and revised sequence theories; (4) I then discuss normative challenges raised by digital platform corporations to individual sovereignty; and (5) finally, I argue that platform capitalism is a mature form of Galbraith’s “new industrial state.”

Citation

Chirat, A. (2024), "Consumer Sovereignty in the Digital Society", Fiorito, L., Scheall, S. and Suprinyak, C.E. (Ed.) Research in the History of Economic Thought and Methodology: Including a Symposium on John Kenneth Galbraith: Economic Structures and Policies for the Twenty-first Century (Research in the History of Economic Thought and Methodology, Vol. 41C), Emerald Publishing Limited, Leeds, pp. 35-54. https://doi.org/10.1108/S0743-41542024000041C003