The Founding Fathers were concerned about the problem from day one, though they described the influence and power of bigness in terms of “factions,” those groups of citizens—and now, more problematically, in a way the founders did not foresee, those groups of fake citizens known as corporations—“who are united and actuated by some common impulse of passion, or of interest, adverse to the rights of other citizens, or to the permanent and aggregate interests of the community.” Madison’s solution in the Federalist Papers was to allow a multiplicity of interests that, ideally, would balance each other out, so that no one interest could hold sway. In other words, competition for power among factions—that itself could only function in a decentralized system—was key to keeping all factions free.
The principles of representative democracy and the principles of free-market economics were able to coexist in the small-scale schematic of eighteenth-century America. But the bigness complexes of today require that we sacrifice one or the other. We can refuse to bail out the big companies while letting the economy falter—dragging into penury no small number of Americans—and fail in our oath to caretake the interests of the people. Or we can sacrifice free-market principles and fund the bailouts and let corporate obesity run riot till it crashes power-drunk into another wall—and it will, it always does. “The irony,” says James Brock, “is that we have established a reverse economic Darwinism, where we ensure the survival of the fattest, not the fittest, the biggest, not the best.”
Tuesday 2 March 2010
The Curse of Bigness ☀
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