Liberal Corporatism is Not New

If you don’t know the difference between capitalism and corporatism you may be laboring under false ideas such as that the American dream and 100% free markets are real. America is actually a mixed economy. Many older Conservatives were shocked and angered by the policies of Obama and now Biden. But corporatist policies have been changing our nation for many years. The Reagan years were an exception and even then there was not a complete reversal of progressive policies, only a necessary adjustment to repair the damage of the previous 10 years of meddling in the economy.

As we move towards an economy with fewer jobs that actually pay enough to afford housing and healthcare and transportation, the only way that people in the lower paying jobs will be able to survive is through income redistribution. Social planners knew this and they have been constructing the system for 100 years. Jobs programs and direct cash payments are needed to prevent societal collapse in a system that no longer has enough entry-level and non-technical jobs. This is income redistribution: the people with businesses and good jobs supporting the people with bad jobs.

We all know that Biden’s plan to ‘pay off’ student loans, is just to get votes. But it has had the usual and desired effect of causing anger and division amongst the people who feel they are getting ripped off. People don’t seem to remember the trillions that the government has given away for Covid checks and to Ukraine and to bailout banks and automakers and to fund big pharma’s vaccines. Or maybe they do and they supported those policies. We are a divided nation.

This Wikipedia article has some good explanations of the different varieties of corporatism and history.


During the post-World War II reconstruction period in Europe, corporatism was favored by Christian democrats (often under the influence of Catholic social teaching), national conservatives and social democrats in opposition to liberal capitalism. This type of corporatism became unfashionable but revived again in the 1960s and 1970s as “neo-corporatism” in response to the new economic threat of recession-inflation.

Neo-corporatism is a democratic form of corporatism which favors economic tripartism, which involves strong labour unionsemployers’ associations and governments that cooperated as “social partners” to negotiate and manage a national economy.[5][14] Social corporatist systems instituted in Europe after World War II include the ordoliberal system of the social market economy in Germany, the social partnership in Ireland, the polder model in the Netherlands (although arguably the polder model already was present at the end of World War I, it was not until after World War II that a social service system gained foothold there), the concertation system in Italy, the Rhine model in Switzerland and the Benelux countries and the Nordic model in Scandinavia.

Attempts in the United States to create neo-corporatist capital-labor arrangements were unsuccessfully advocated by Gary Hart and Michael Dukakis in the 1980s. As secretary of labor during the Clinton administration, Robert Reich promoted neo-corporatist reforms.[46]

Remember to vote in November! But don’t think that anything is going to change. The world is too far gone. We are not going to stop the progress of corporatism.



  1. I am preparing a blog of The Point of No Return, probably for next year, or at least after November elections. “The world is too far gone” epitomizes the epitaph that I will probably steal for the title of the blog, unless I just use Point of No Return.
    As for the politics of corporatism, I suspect it got its biggest boost from our first truly socialist president, FDR, who expanded the Great Depression past the borders of NY and CA until he conned everyone into going into WW 2 to get out of it.
    Going into WW 2 was probably the right thing to do, but FDR wanted it for all the wrong reasons, and we still have his boondoggle leftovers that continue to evolve like octopi to strangle American freedoms.
    Just sayin’.

  2. If only corporations would pay people a living wage we wouldn’t need government programs or NGOs running food banks out of church basements.
    I am a capitalist but believe that corporations have a mission beyond maximizing stock holder value.

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