When progressive artistes conjure images of the future that ought not to be, they foresee a world where monopolistic corporations rule, a handful of plutocrats live in luxury, and the masses are ground beneath gold-slippered feet. If I were pitching a film along the lines of Soylent Green and Elysium, the plot might go something like this:
A man who manages ten trillion dollars of other people’s money decides that the government isn’t doing enough to implement his ideas on how the world should be run. Cutting democracy out of the picture, he demands that corporations carry out his preferred policies and announces that those that don’t will lose access to his trillions. Corporations fall into line, some out of fear, many because they agree with him that political processes too often yield the wrong results. In the final scenes, we see a world run by oligarchs who bask in self-congratulation and feed crumbs of welfare to the lower classes whose livelihoods have been suppressed for the sake of the greater good.
That pitch couldn’t be used, though, because it’s real life, not fiction. The CEO of ten trillion dollar investor BlackRock touts it in the form of “stakeholder capitalism”, which he has marketed with increasing success to the executives who run major corporations.
Why? They, and many of their colleagues in the C-suite, have realized that, in a regime where stakeholder, rather than shareholder, capitalism is the dominant ethos in the “private” sector, their rewards will be less dependent on delivering value to shareholders (who can be a demanding bunch) than in the past. Rather, they will be expected to pay increased attention to the somewhat nebulously defined aspirations of their almost as nebulously defined stakeholders. In practice, that means putting “their” companies’ capital, and the power that comes with it, behind a social, political, and economic agenda set by the state, various interest groups (unions, say, or NGOs, to take two examples), and, yes, business, a set-up that may not only offer them a pathway to (in many cases, even more) wealth but also to a degree of political power. And the latter comes with the advantage that it is largely free of conventional democratic control.
Whatever the merits of the causes that the stakeholder capitalists pursue, their method of pursuing them is a naked exercise in rule by the rich. Progressives would see that if BlackRock were withholding funds from corporations that pour money into “green energy” projects powered by Sun, wind and noble intentions or that indoctrinate employees with the fashionable variety of anti-white racism.
But one should not accuse our progressive friends of inconsistency. Left-wing politics has always followed one unwavering policy: Decisions must be made through whatever mechanism is most likely to ensure progressive outcomes. Democracy was fine when the “deplorables” could be counted on to vote for Democrats. Now that the American version of aristocracy is converting en masse to the Woke Religion, oligarchy is the only acceptable form of government. The world must be saved By Any Means Necessary, dystopia included.
Further reading: Andrew Stuttaford, “The Dangers of ‘Stakeholder Capitalism’”
Milton Friedman, “The Social Responsibility of Business is to Increase its Profits”