Our nation is in decline. Deeply polarized, our government running huge deficits and weakened by futile military interventions abroad, the gap between rich and poor approaching Third World models, while indices of civilization, like longevity, infant mortality, percentage of homelessness, percentage of child poverty, and percentage of home ownership are among the poorest in the industrial world.
You always have to ask, when a crisis like this occurs, cui bono? Who benefits from this state of affairs? Who benefits from a weak government? Not the poor, obviously, who are bearing the brunt of budget slashes. Not the sick, not the elderly. Not children, who will be finding it harder and harder to survive, get fed, get an education, make a decent living in the world of the future. Not the environment, which will suffer more and more despoliation.
Yet to call attention to corporate power—the real beneficiary of this crisis, is almost taboo in the United States. As if it were somehow unpatriotic. Which is ironic since most major corporfations are international and owe no allegiance to any nation. It would be absurd to expect them to. Their only allegiance is to their stockholders. They’re not supposed to be loyal, they’re supposed to be profitable.
This is not a moral issue. It’s simply a practical one: mutinational corporations are the most powerful force in the world today, and simply by intelligently following the bottom line and being good at it, they are threatening the well-being of the vast majority of human beings on the planet. They are just doing their job. But the job of government is to make sure that in the process they don’t poison or impoverish their consumers, kill their workers, and destroy the planet.
Government regulation is not anti-corporate behavior. Corporations may moan and groan that regulation is crippling them, but it’s actually for their own good—their own long-term survival. It serves to protect them from self-destructing through their own short-sighted, competitve greed.
And since we’re a democracy, it’s our job to see that the government does its job. Because what corporations think they want is often bad for them in the long run.
It was, after all, runaway corporate greed, and the absence of adequate government regulation, that produced the financial meltdown and the prolonged recession we’re experiencing today.
The 1950s are usually remembered as a glorious time for business. Corporations were expanding, a Republican was in the White House, opportunities were proliferating, profits were high. The income tax system had created a booming middle class, and consumerism was in full bloom. Yet in the midst of this era of prosperity and conservatism, corporations contributed half of all income tax revenue, and labor union power was at an all-time high.
Today, unions have been decimated, corporate share of the tax burden is only about 10%—with the resulting burden falling on those with low and middle incomes. As Leona Helmsley famously said, “only little people pay taxes”, By ‘little people’ she refers to the 99% of Americans who are not pathologically addicted to the accumulation of symbolic wealth. Our middle class is shrinking rapidly, safety nets are diappearing for the elderly, our educational system is increasingly impoverished, and our rapacious health care industry is pushing more and more and more people into homelessness. Our parks are being defunded, support for the arts in almost nonexistent, and the only area in which we can compete with other societies is our gargantuan, wasteful military bureaucracy, almost equal to those of the rest of the world put together. While nations like China and India are approaching the status of the United States in the 1950s, we seem to be trying to emulate the classic military regimes of Latin America in the 1950s.
It is bizarre that political conflict today is framed in terms of the ‘populist’ Tea Party movement for small government vs. ‘Liberals’ who want big government, when the Tea Party movement was created, organized, and financed by a pair of oil company billionnaires, and when corporations are the main beneficiaries of the Tea Party agenda. But after all, the media are financed by large corporations, and It would be absurd to expect them to voice any serious criticism of their funding sources. This is why right-wingers are eager to cut off government funds for NPR, which is somewhat less biassed than other networks since it is only very partially funded by corporations.
Corporations want a government that will do their bidding—that will provide subsidies, bargain-rate resources, and sweetheart contracts—not one that will ‘regulate’ them and police white-collar crime. They often demand concessions on the grounds that they ‘provide American jobs’. But any good executive tries to eliminate as many jobs as possible, or send them overseas, since. labor is the major cost for any big corporation. Corporations are supposed to make money. That’s what they’re about. The best ones do this from a long-term perspective. The worst ones—among which the oil companies are conspicuous—are just after the quick bucks. None of them are supposed to be civic-minded, except for PR purposes.
In Science Fiction novels about the future the dominant planetary organization is often ‘The Company’ rather than a planetary government. As is so often the case sci-fi is prescient. Over half of the world’s largest economic entities are multinationals rather than nations, and they are able to block democratic processes with the economic power they wield. Through campaign contributions and their armies of lobbyists they can determine public policy. Through their ability to buy air time and column space they can determine what ideas and images appear, and don’t appear, in the media. Through their ability to hire large, expensive legal teams they can manipulate the law to their advantage, and make it prohibitively expensive to punish them for malfeasance. They have all the legal protections and rights of private citizens. Yet a private citizen cannot, like Exxon Mobil, avoid paying taxes—even get a refund—despite making the largest profit in corporate history. Nor can that citizen, like Exxon Mobile, spend a half billion dollars on propaganda to persuade the American people that climate change is a myth.
Corporations are international and they act globally, while our benighted ‘patriots’ are stuck in a parochial mindset. And all governments are handicapped today because they can’t get these corporate giants to pay taxes. Their ultimate weapon is: ‘Tax us and we’ll move’.
The voice of the Tea Party in America today is not even an American voice. It is the voice of multinational corporations, who have the wit to realize that the notion of national sovereignty is simply an annoying inconvenience on the tiny planet we inhabit.