Article The Practical Organization of Moral Transactions: Gift Giving, Market Exchange, Credit, and the Making of

The fusion of gift giving and market exchange elements in economic transactions creates practical difficulties. How can the parties involved agree about the meaning of their engagement and the value of the exchanged objects? This article tackles the topic—an important one in economic sociology—by looking at moral transactions (i.e., transactions that combine pecuniary and ethical considerations). Through an empirical study of the issuance of Irish and Israeli diaspora bonds during the 1920s and 1950s, respectively, I identify practices that help actors overcome the difficulties inherent in moral transactions. Clarification practices allow actors to treat the exchange as either gift giving or market exchange. Blurring practices allow actors to complete a transaction without agreeing on its meaning. Blurring practices require creating a zone of indeterminacy, that is, a context in which the parties can cooperate without agreeing on their relationships. The broader implications of these practices are then discussed. Keywords gift giving, market exchange, credit and loans, zone of indeterminacy, morals and market