Earlier this week, I wrote this piece talking about the dangers of unchecked corporate growth and the centralized state power that grows with it.
The Federalist follows up with some actual examples of corporations changing the playing field in their favor.
It's better to have many small pockets of economic and political power because it keeps the system dynamic and flexible. A thousand small businesses try more solutions than four giant businesses and are more likely to find the best ones. And, best, if one fails, then nothing vital is lost. The economy is built on a thousand small foundations, so the loss of one makes no difference.
In large systems like Wal-Mart or the federal government, the decision-makers are so removed from the individuals at the bottom of the hierarchy that the individuals become abstractions. This allows for decisions that devastate communities but pad the profit margin.
There is one flaw, though. An economy built on many small actors creates stability at the expense of exponential growth. But then, that doesn't sound so bad to me.
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