The Cost of Corporate Communism
August 23, 2011Originally posted on the Huffington Post
Lately I have been using the phrase “Corporate Communism” on my television show. I think it is an especially fitting term when discussing the current landscape in both our banking and health care systems.
As Americans, I believe we reject communism because it historically has allowed a tiny group of people to consolidate complete control over national resources (including people), in the process stifling competition, freedom and choice. It leaves its citizens stagnating under the perpetual broken systems with no natural motivation to innovate, improve services or reduce costs.
Lack of choice, lazy, unresponsive customer service, a culture of exploitation and a small powerbase formed by cronyism and nepotism are the hallmarks of a communist system that steals from its citizenry and a major reason why America spent half a century fighting a Cold War with the U.S.S.R.
And yet today we find ourselves as a country in two distinctly different categories: those who are forced to compete tooth and nail each day to provide value to society in return for income for ourselves and our families and those who would instead use our lawmaking apparatus to help themselves to our tax money and/or to protect themselves from true competition.
If you allow weak, outdated players to take control of the government and change the rules so they are protected from the natural competition and reward systems that have created so many innovations in our country, you not only steal from the citizens on behalf of the least worthy but you also doom them by trapping the capital that would be used to generate new innovation and, most tangibly in our current situation, jobs.
We are losing the opportunity cost of all the great ideas that should be coming from the proper deployment of that 23.7 trillion in capital. Everything from innovation in medical delivery systems to accessible space travel, free energy to the driverless car; all of these things may never come to bear because those powerful individuals who have failed, been passed over by technological advancements, innovation and flat-out smarts, have commandeered our government to unfairly sustain their wealth and power.
Unfortunately, they use our wealth and laws not only to benefit their outdated, failed companies, but also spend a small pittance of their ill-gotten gains lobbying and favor-trading with politicians so the government will continue to protect them from competition and their well-deserved failure.
The massive spike in unemployment, the utter destruction of retirement wealth, the collapse in the value of our homes, the worst recession since the Great Depression have all resulted directly from the abdication of proper government.
Even with all that — the only changes that have been made, have been made to prop up and hide the massive flaws on behalf of those who perpetuated them. Still utterly nothing has been done to disclose the flaws in this system, improve it or rebuild it. Only true rules-based capitalism ensures constant adaptation and implementation of the latest and best practices for a given business, as those businesses that don’t adapt fail, and those who deploy the latest innovations to their customers benefit, prosper.
The concept of communism is rightly reviled in this country for the simple reason that it is blind to human nature, allowing a small group of individuals near-total control, while sticking everyone else with the same crappy systems — and the bill. America spent countless lives and half a century fighting against this system of government. So why are we standing for it now?









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Wonderfully Stated!
Alan Grayson for President on a Progressive ticket! That would take care of that
Agree!! Notice anytime he spoke back to some republican hypocrisy, he shut them down every time
Talk about being prescient, Mr Ratigan. Excellent piece.
The US Constitution was written for one specific purpose, to keep government Out of My Face and Off My Back. Those who risked death, by standing against a King, wanted a free society filled with choice and Liberty. The Progressive movement wants, and Demands, that government get in my face (Cigarette propaganda warnings) and climb on my back (taxes to support fraud riddled social programs and a broken education system).
According to Marx, Socialism is just a temporary transition stage toward Communism. The Communist State owns all companies. When you talk about Corporate Communism, you're actually talking about full blown Socialism. The State, along with Private Commerce, works together to pick winners. They support each other at the expense of all others. Stead Fast Rules, Not Faulty Regulators, are the only thing that will help restore our Capitalistic innovation that is the envy of the world. Steady Rules, along with Tax Reform, will help release the unconfident $2T sitting on the balance sheets.
I have to disagree, we're nowhere close to communism. In fact I happen to like Dylan's term "corporate communism" where the good of the few (the rich and their corporations) outweighs the good of the many (a dwindling American middle-class). What is happeing is closer to the following…
"The first truth is that the liberty of a democracy is not safe if the people tolerate the growth of private power to a point where it becomes stronger than their democratic state itself. That, in its essence, is fascism — ownership of government by an individual, by a group, or by any other controlling private power. ” – Franklin D. Roosevelt, "Message from the President of the United States Transmitting Recommendations Relative to the Strengthening and Enforcement of Anti-trust
Webster's dictionary definition would differ. Russia and China are similar to what is being described in the this article. The Major difference is that the US people can vote Reps out of office – see 2010 WI and US House elections.
A wave of Reform is coming from Americans who can see the current failures.
We can vote them out, but the corporate media runs our information, so many people are not informed enough to make choices that go against what Dylan is talking about. I urge you to get information about the candidates from sources outside of the big 5 corporate media channels. YouTube them and listen to what they say about the issues. Use the big 5 only as way to see what it is corporations want you to know.
Naw, no change in the cards until something is done about campaign finance reform and term limtis. Same old crap, different faces.
I would agree only if 501a and Unions were a part of that deal.
We can't disallow one while allowing the other to continue which is exactly what McCain Feingold did.
"our capitalistic innovation that is the envy of the world". Ha, have you actually lived overseas. I disagree with Ratigan's loud rhetoric and with his label, corporate communism.
The intent of the Constitution was to prevent the consolidation of power in the hands of the few, regardless of the form "the few" takes. Back then in was monarchies and their crown corporations. Today, it's multi-national corporations and wannabe oligarchs like the Koch Brothers.
Also, what Ratigan is describing is not full blown Socialism, but a form of Fascism, or as is common to call it today: Corporate Socialism. In actual socialism, the government owns the major factors of production: resources, energy, transportation, etc. But there is still some private enterprise– generally small businesses, merchants, etc.
In the USSR, a person's membership in The Communist Party helped secure a government job. Ironically, most people were not members of the Communist Party. In the US, a person's membership in a Union helps secure a US government job. Too much like Communism. The biggest and most destructive part of our current system is the future generation's enslavement, without their say so, into paying for the current generation's social programs (SS, Medicare, Medicaid). How is this not Communism?
There are 1000's of charities that could do as good a job, if not better, than the current social safety net. Charities would grow tremendously if we could get rid of the, inefficient, fraud riddled, generation enslaving, social programs and open the competitive, innovative, Capitalistic, choice driven charities. Education is in the same position, just talk with Michelle Rhee. The NEA will not allow choice, they want the power that their Socialist position gives them. NEA's Lawyer says it all: http://www.youtube.com/watch?v=umXIFPIU25s
Does not anyone today know of a thing called Civil Service Employment and what it stands for.
It (SS, Medicare, Medicaid) is not communism because 1) the government does not deny the individual right to private property, or private for-profit business (ie. "free enterprise"); 2) the provision of medical care and medical insurance is not monopolized by the state — anyone is free to choose private medicine or health insurance if they prefer.
Belonging to a union does not help one bit in securing a government job. Once hired, it is not required to join the government workers' union, which, by the way is a "company" union and not in the workers' best interests either. Most government workers choose NOT to belong to the union, even though they enjoy the few benefits that go to all government workers, thanks to the union, such as pay scales, choice of health care plans (which they pay for), and work conditions. How do I know? I worked for both the Federal and State governments. One thing about the government unions: they make certain that there is absolutely equal opportunity in hiring and in working conditions, including advancement opportunities, and also absolute fairness if it becomes necessary to furlough workers. I dont know where you got the idea that union members get preference in government hiring, especially since the government unions are separate from other unions, and membership in them is only open to government workers. In other words you dont join until AFTER you are hired, and then only at will.
It’s the elected Govt officials that are to blame, not the Corporations following the rules put forth by the government officials. The government officials could change ANY campaign contribution laws IN A WEEK, if they had any character, but they will not for one simple reason. The Union money would be shut out as well.
Progressives favor bigger government for the betterment of society. Thomas Jefferson's historical reference about bigger governments destroying themselves rings true today. "Our country is now taking so steady a course as to show by what road it will pass to destruction, to wit: by consolidation of power first, and then corruption, its necessary consequence." Thomas Jefferson
We need to stand for the Constitution and against those who would stifle Liberty.
who do you think gets those people elected? CORPORATIONS!!!!
take a look at open congress and see which reps are getting paid the most by corporate lobbyists – ding ding ding it's the Tea Baggers!!!! (see Eric Cantor, etc.)
Maybe the fight should begin at the gas pump. Mayb e this is where we find the very heart of corporate communism. Have the Standard Oil knock-offs, i.e. Chevron-Texaco, Exxon Mobil, etc., really stifled innovation over the last century? I think the argument that they have is undefeatable. Possibly, the rest of the economy would correct quicker without them. Just sayin'.
“Fascism should rightly be called Corporatism, as it is the merger of corporate and government power." Benito Mussolini
"…Nearly two-thirds of U.S. companies and 68% of foreign corporations do not pay federal income taxes, according to a congressional report released Tuesday."
"Top Iraq contractor skirts US taxes offshore – Kellogg Brown & Root, the nation's top Iraq war contractor and until last year a subsidiary of Halliburton Corp., has avoided paying hundreds of millions of dollars in federal Medicare and Social Security taxes by hiring workers through shell companies based in this tropical tax haven…"
"Oil Storage at Record Levels as Speculators Await Higher Prices – …Contango is the term oil traders use to describe the profitable price spread that can develop between the spot price of oil and the higher price they can obtain for future delivery. If the future price is high enough, the person selling the oil can pay all the storage costs and still make a good profit."
“Fascism should rightly be called Corporatism….."
Agreed. We should call it Corproate Fascism.
Well done, man.
Hey, please don't ignore my posts. I want to add to health care and banking systems, the gasoline system, which I have concluded is a key to the mess we're in.
John D. Rockefeller, Jr. created Standard Oil, was responsible for the massacre of coal miners in Ludlow, and created an empire of repression of all innovation in automotive technology. We can blame all of our environmental woes on Standard Oil, its spin-offs, and more recently its mergers. Anti-trust laws did not stop Standard Oil … they found a way around them. And, yes, the government acquiesced, was bought, and was paid for. But innovation is here again, and there are things we can do about this now.
I sincerely hope, in my lifetime, I'll see these criminal corporate conspiracies defeated.
We can undo the current situation if we only choose to elect someone like Dylan for president. Our leaders today are part of the corporate structure and yet we vote for them regardless of their ability or desire to better America. Please Dylan, run for president, our country needs you now.
Dear America, sorry but it is not the fault of your government, it is not the fault of your corporations and it is not the fault of your "liberal" media, the responsibility lies with you, the people. What happened to "by the people for the people". You gave away your power by your laziness and lack of involvement in the political process and now you ain't gonna get it back without a giant upheaval and frankly we don't think youv'e got it in you. You have become too fat and bloated, too used to the good life. The recent in-fighting on the issue of PAYING YOUR BILLS showed the rest of the world how unstable you have become. I pray I am wrong but the USA is no longer AOK.
Communism is based on control by the government. Fascism is similar except control is with corporations. These corporations have extra human rights and private property rights to most things we would consider commons and government property. I know the choice of Communism raises hackles, but being accurate is probably more important.
When comments begin stating that they'll spend 15 minutes of personal time daily aimed at influencing better government we'll have opportunity to effect real change. Remind your audience of the power of the internet. Remind them that those taking advantage of us are executing a plan while we're executing our gums!
Senior Citizen
Dylan,
We've missed you this week on msnbc, it's just not the same without you in the chair. Anywho, it's seems to me that the only way to change the conversation in washington is to create a moment or an event to grab the attention of America, congress and the whitehouse. Ten thousand fist in the air demanding a real voice in congress. Rush the halls of congress with the press in tow, cameras rolling, and force the conversation on the floor of the house and senate. Enough talk talk talk, we need a revalution. We need an AMERICAN SPRING. We know our congress and whitehouse are bought, that to me seems the same a treason. We need more than cable news commentary, we need action. We can talk until we a blue in the face, but the greedy bastards in washington will never listen until they are crapping there pants in fear a revolt by the people. We need a leader to take the charge with the bully pulpit of the microphone. YOU are that leader Dylan. Rant until they hear you, rant until all of america hears you. I hear you, can you hear me?
we need to stop buying the 'uncertainty' claim for the corp's. not hiring or putting money to work in the economy. if just 10% (250 billion) of the money sitting on the sidelines in CASH were put toward hiring, 4 million people could be hired at 40k per year WITH benefits. JOBS is where the recovery HAS to start. call out the corp's. for not doing THEIR job as 'job creators' and holding the economy hostage to their demands. make a deal…devote this 250 billion to hiring and cut the corp. tax rate to 22%, which is all we collect now overall anyway. but cut the subsidies and loopholes. if they turned this deal down it totally exposes the hypocricy and greed to EVERYBODY…even the republicans couldnt defend saying NO.
THANK YOU!
I’M MAD AS HELL AND I’M NOT GONNA TAKE IT ANYMORE!!!!
Um, Mr. Ratigan, when you use "corporate communism" you are practicing some sort of journalistic demagoguery. There are better terms to describe what is going on with the protection of the wealthy and Wall Street. Our times require a more reasoned, label-free debate.
Our best bet is to vote Democrat….that's closer to the people than any other viable option.
Vote for the People….Vote Democrat….Buy American.
The fascists in Germany in the 1930s called their party and system National Socialist. Like Mussolini in Italy, Hitler felt that the Government needed only the rich and the working class… Don't blame socialism which is working quite well in Australia where the AUD is high, crime rates are low and there is universal unemployment payments without time limits and a universal healthcare safety net. From a government that costs no more than that of the US.
i tend to think of it more as corporate feudalism, but perhaps i assume a less centralized government/military… what happens when the corporations in charge are competing with each other?
YEAH SCREW THESE GUYS AND THIS THIS GOVERNMENT!!
I'M DONE WITH IT.
I'VE WORKED FOR MYSELF., CASH ONLY.,
IF I DO WORK AT SOMETHING IT WILL PAY SOMETHING OF GREAT VALUE.
I WILL NOT BE A SLAVE TO THE COMMUNISTS.
I HAVE'NT BEEN A SLAVE FOR ALL MOST ALL MY LIFE.,WHY START NOW OR ANY TIME?
I HAVE WORKED AROUND IT SOMEHOW AND SCREWED THE GOVERNMENT ALPHABET SOUP BEUROCRACEY BIG TIME., JUST ONCE AND THAT'S ALL IT TOOK.
I'M GOLD.
SOLID.
I'M OUT OF HERE AT A MOMENTS NOTICE.
AMERICA IS FINISHED.
THE CITIZENRY HAS BEEN DUMBED DOWN SO FAR THEY ARE USELESS TO THE CAUSE OF REAL FREEDOM AND LIBERTY.
EVEN MOST OF THE MILITARY GUYS THESE DAYS ARE BRAINWASHED INTO JUST.,
"FOLLOWING ORDERS" FOR THIS ILLEGAL GOVERNMENT AND ITS CORPORATE SPONSORED OIL WARS.
I CAN SMELL A RAT FINK A MILE AWAY AND OUR GOVERNMENT IS ONE BIG FAT RAT!!!!
PEEEE UUUUUUUUU!!!!! IT STINKS LIKE ROTTEN SOULLESS THIEVES AND TYRANTS!!!!!!!
Dylan is a genius. And I hope you read this Dylan. Because I'm glad that you have someone who knows about writing laws in Washington, and I'm sure the two of you will come up with an admiral amendment to bring our constitution into the 21st century. Then we need a call to action on this website to read, and approve it, sign your name to it, and explain to people you know about this massive corruption on both sides of the isle.
You know about the banks and health care systems corruption, You know about the trade systems who don't benefit the USA. And we all know about the rigged trade with China where they are the only country in the world who doesn't let their currency float on the world market, but instead decided to de-value it at 25% of ours, killing our exports and manufacturing jobs in the process.
Dylan, If we can get these people who watch your show educated to what's actually going on(which you have been doing a good job at by the way), and then get them and all of their friends and family so sign on. If we could get in touch with this tea party(they want to stop corruption to), and educate them so they will no longer act like a maniac with a knife trying to burn the whole town down. If we could team up with at least some of the parties to and have them sign on to this bill, we would have a strong force.
Then,(this is a grand view) if we could walk liberal and tea party, hand in hand, Democrats and republicans, hand in hand, and MARCH to the Martin Luther King Memorial with one of our many recognized southern black church leaders, and make a speech to all of those greedy bastards watching on t.v., and to all of those greedy politicians watching on the hill, and to all of those freedom fighters in the march, just in time for elections, that the time is now, and wont be ignored, then WOW THAT would be a change maker! I have wanted to visit one of our fine black churches down here in Atlanta lately, and I bet I could find one that would be perfect for a speech such as that. HMM….. bring together southern black religious leaders with the tea-party and democrats and republicans alike, with the same goal to fix Washington, they would not be ignored!
DYLAN,RUN FOR PRESIDENT! THS COUNTRY NEEDS YOU MORE THAN EVER…I COULD JUST CRY!
communist fascist hybrid