Duke Augustus was pleasantly surprised last night to hear former Alaska Governor Sarah Palin describe the US economy as “Corporate Socialism.”  This a a term that the Duke has been using for years to describe the US economy.  And a term that a quick Google search show was also used by Ralph Nader. The concept is simple.  The US has not had a capitalist economy since the first Europeans landed.  Classical Capitalism requires buyers and sellers with equal power and equal information.  Instead, the US has an economy planned by a small group, the classical definition of socialism.  That small group is not a politburo.  It is a klatch of large corporations.  Hence “corporate socialism.”

Duke Augustus agrees with Palin’s first conclusion.  That once we recognize that our economy is “corporate socialism”, it is clear that the bailouts are merely self-dealing by the oligarchs who run the economy.  The bailouts do not favor the flesh and blood citizens.  After all, large corporations do not make jobs — small and medium size companies are the job engines of the US economy.  Large corporations do not invest in the US economy.  They don’t even pay taxes.  These large corporations hide any profits they get in off-shore tax shelters and then use the tax rebates they get to lobby the US Congress to give them a tax holiday to bring these sheltered profits back while only paying a 5% tax.  Continue reading Palin, Nader, & Augustus Agree the Problem is “Corporate Socialism” →