By using this site, you agree to our Privacy Policy and our Terms of Use. Close

Forums - Politics Discussion - T.C.O.W. 1: Is Capitalism the justification for Corporatism..

 

Is Capitalism the justification for Corporatism.

Capitalism is outdated, t... 7 21.88%
 
Of course. 2 6.25%
 
Of course not. 10 31.25%
 
Can the two be mutually exclusive? 5 15.63%
 
See results 8 25.00%
 
Total:32

and/or can Corporatism be the endgame for Capitalism?

I'm just wondering what you guys think.  I tend to love reading political discussion so please reply.

I personally think it is btw but I'd love to be proven wrong.



Pixel Art can be fun.

Around the Network

True free market capitalism has had a vwery small period of existence in history.

Particulraly at the start of USA.Free market capitalism is what made USA the richest country in the world.

 

The bankers didn't like this stuff and re-established their banks.

 

Then they made nw banking system which few people understand.In this system,money is given to corporations who comply with the banks.



Well... no Capitalism and Corportism are completely different things.

Corporatism is what happens when you move away from capitalism and allow government to decide who wins and loses in business.

Corporitism is more likely to come out of socialism then captialism... because under capitalism there is no function in which it can happen.

BTW: Assuming you mean "Corporate rule" here and not the actual form of corportism... since real corpotism is really more communist like then anything... though also is a product of socialism more then capitalism.

I mean, just about every case of corportism I can think of.... came after a move AWAY from capitalism.  A lot of them.  Like Neo Corportism and Liberl Corporatism created specifically BECAUSE of distaste of capitalism.



Umbrella Corp. owns you.



I interpret Corporatism as being a form of Crony Capitalism. Big Corporations use government to implement laws and regulations to ensure the large corporation maintains its market control and puts competitors out of business. Corporations influence government decisions with bribes and kickbacks ala donations to political parties.

In hard economic times the Big Corporations will use the government for bailouts at the expense of the tax payers and rack up huge national debts that come with austerity for the average citizen. In good economic times they will minimise tax by taking advantage of tax loopholes and offshore tax havens.

Good times the corporations win and bad times the corporations win. Win, win. Big Corporations are effectively too big too fail.



Around the Network

Pretty much was Kasz said.

Corporatism really isn't an offshoot of capitalism, which is an economic theory. Corporatism is the product of a dangerous synergy between big businesses and big government. When you look at nations that have had big business or labor influence government, you don't have free markets or smaller government - as both are the antithesis of corporatism.



Back from the dead, I'm afraid.

I would personally argue that "Democratic Socialism" is far more likely to lead to corporatism than free market capitalism ...

In a free market (laissez faire) system the rules are supposed to be equitable for all participants in the system and the market is supposed to determine who is successful of not. In this system there is no advantage for businesses to get "into bed" with the government because there is nothing the government can do to benefit them.

In contrast, in a social democracy the government is always arbitrarily deciding what has "merit" or what is "damaging" which often determines who is successful or a failure. With this in mind there is a significant incentive for businesses to manipulate the government.

As an example, in a social democracy a company that manufactures electric automobiles can become far more profitable if they can manipulate the processes of the government to pay for R&D, provide buying incentives for customers, and introduce legislation that creates fines on their competition.



Corporations are the things, they will lead us to economic and political freedom! Only they don't, they ship jobs and industrial capacity overseas to pump up this quarter's profits to increase bonuses, if they don't they are fired.

Ingrained in us from our first school days, the government should stay out of the world of business. That's communism.
The government shouldn't make laws that protect the individual. That's communism.
The government shouldn't help the less fortunate, that's socialism. The government shouldn't make sure that all of its citizens have healthcare and are highly educated, that's communism.
The government shouldn't invest in the future, that's communism.
So now a huge ball of debt and a huge economy to rebuild, and we automatically reject any from the other camp.
http://voices.yahoo.com/stalins-revenge-why-america-losing-cold-7899978.html



Dark_Lord_2008 said:
Corporations are the things, they will lead us to economic and political freedom! Only they don't, they ship jobs and industrial capacity overseas to pump up this quarter's profits to increase bonuses, if they don't they are fired.

Ingrained in us from our first school days, the government should stay out of the world of business. That's communism.
The government shouldn't make laws that protect the individual. That's communism.
The government shouldn't help the less fortunate, that's socialism. The government shouldn't make sure that all of its citizens have healthcare and are highly educated, that's communism.
The government shouldn't invest in the future, that's communism.
So now a huge ball of debt and a huge economy to rebuild, and we automatically reject any from the other camp.
http://voices.yahoo.com/stalins-revenge-why-america-losing-cold-7899978.html


Actually, government making laws that protect the individual is the complete opposite of communism; and is the core of what democratic capitalism is about.

At its core communism is taking utilitarianism and applying it to a political system. This means that any harm inflicted on an individual (including death, sterilization, or any other atrocity) can be justified if the total benefit of this action throughout the country is of greater value. Unfortunately, the values are determined by a collection of high ranking members of a political party making any harm inflicted on an individual or group justifiable  as long as the benefit to the political leadership is of greater value.

What we are searching for is an economic system that produces the Nash equilibrium; which is the best possible outcome for the individual and the group. For the most part, while their actions are well intended, the influence of government within the economy tends to move us away from the Nash equilibrium. Using education as an example, when the government manipulates the credit markets to make student loans more affordable they create an environment where universities are nearly unbounded in what they can charge for tuition and students can make foolish choices about what they study; and the net result of this is a large number of highly credentialed poorly educated people with massive debt loads that will take decades to pay off who are protesting against individuals who made more rational decisions.



HappySqurriel said:
I would personally argue that "Democratic Socialism" is far more likely to lead to corporatism than free market capitalism ...

In a free market (laissez faire) system the rules are supposed to be equitable for all participants in the system and the market is supposed to determine who is successful of not. In this system there is no advantage for businesses to get "into bed" with the government because there is nothing the government can do to benefit them.

In contrast, in a social democracy the government is always arbitrarily deciding what has "merit" or what is "damaging" which often determines who is successful or a failure. With this in mind there is a significant incentive for businesses to manipulate the government.

As an example, in a social democracy a company that manufactures electric automobiles can become far more profitable if they can manipulate the processes of the government to pay for R&D, provide buying incentives for customers, and introduce legislation that creates fines on their competition.

While I agree that political influence of corporations does rely on the government regulating things - true free-market capitalism would kill the planet, kill people and screw workers. It's a really bad idea to allow corporations to have completely free rein.

Personally I don't think the problem in America is with the capitalism - it's with the system of government. Capitalism doesn't require that the corporations have to have the ability to make donations and fund campaigns to bribe politicians into voting for things that favour them.