THE CORPORATE TAKE OVER

THE CORPORATE TAKE OVER   Capitalism is an economic system in which trade, industry, and the means of production are largely or entirely privately owned and operated for profit. Capitalism was carried across the world by broader processes of globalization such as imperialism and, by the end of the nineteenth century, became the dominant global economic system, in turn intensifying processes of economic and other globalization.   A corporation is a separate legal entity that has been incorporated either directly through legislation or through a registration process established by law. Incorporated entities have legal rights and liabilities that are distinct from those of their employees,shareholders,[1] and members, and may conduct business as either a profit-seeking business or not-for-profit.  A conglomerate is a combination of two or more corporations engaged in entirely different businesses that fall under one corporate group, usually involving a parent company and many subsidiaries. A conglomerate is a multi-industry company. Conglomerates are often large and multinational. Large company composed of a number of smaller companies engaged in seemingly unrelated businesses.   Monopoly from the Greek word monos (alone or single) + polein (to sell)) exists when a specific person or company is the only supplier of a particular commodity this contrasts with a monopsony which relates to a single entity's control of a market to purchase a good or service, and with oligopoly which consists of a few entities dominating an industry. Monopolies are thus characterized by a lack of economic competition to produce the good or service and a lack of viable substitute goods. The verb "monopolise" refers to the process by which a company gains the ability to raise prices or exclude competitors. In economics, a monopoly is a single seller. In law, a monopoly is a business entity that has significant market power, that is, the power to charge high prices. Although monopolies may be big businesses, size is not a characteristic of a monopoly. A small business may still have the power to raise prices in a small industry (or market).   A central bank, reserve bank, or monetary authority is an institution that manages a state's currency, money supply, and interest rates. Central banks also usually oversee the commercial banking system of their respective countries. In contrast to a commercial bank, a central bank possesses a monopoly  on increasing the amount of money in the nation, and usually also prints the national currency.   An oligopoly is a market form in which a market or industry is dominated by a small number of sellers (oligopolists). Oligopolies can result from various forms of collusion which reduce competition and lead to higher prices for consumers. Oligopoly has its own market structure. With few sellers, each oligopolist is likely to be aware of the actions of the others. According to game theory, the decisions of one firm therefore influence and are influenced by the decisions of other firms. Strategic planning by oligopolists needs to take into account the likely responses of the other market participants.   In economics, a cartel is an agreement between competing firms to control prices or exclude entry of a new competitor in a market. It is a formal organization of sellers or buyers that agree to fix selling prices, purchase prices, or reduce production using a variety of tactics. Cartels usually arise in an oligopolistic industry, where the number of sellers is small or sales are highly concentrated and the products being traded are usually commodities. Cartel members may agree on such matters as setting minimum or target prices (price fixing), reducing total industry output, fixing market shares, allocating customers, allocating territories, bid rigging, establishment of common sales agencies, altering the conditions of sale, or combination of these. The aim of such collusion (also called the cartel agreement) is to increase individual members' profits by reducing competition. If the cartelists do not agree on market shares, they must have a plan to share the extra monopolyprofits generated by the cartel. THE CORPORATE JUSTICE   Lewis Franklin Powell, Jr. (September 19, 1907 – August 25, 1998) was an Associate Justice of the Supreme Court of the United States. Powell developed a reputation as a judicial moderate who was known for consensus-building during his tenure. He was known for drafting the Powell Memorandum, a confidential memorandum for the US Chamber of Commerce.   Powell Memorandum: Based in part on his experiences as a corporate lawyer and as a representative for the tobacco industry with the Virginia legislature, he wrote the Powell Memorandum to a friend at the US Chamber of Commerce. The memo called for corporate America to become more aggressive in molding politics and law in the US and may have sparked the formation of several influential right-wing think tanks and lobbying organizations, such as The Heritage Foundation and the American Legislative Exchange Council, as well as inspiring the U.S. Chamber of Commerce to become far more politically active.   On August 23, 1971, prior to accepting President Nixon's request to become an Associate Justice of the Supreme Court, Powell sent the "Confidential Memorandum" titled "Attack on the American Free Enterprise System." He argued, "The most disquieting voices joining the chorus of criticism came from perfectly respectable elements of society: from the college campus, the pulpit, the media, the intellectual and literary journals, the arts and sciences, and from politicians." In the memorandum, Powell advocated "constant surveillance" of textbook and television content, as well as a purge of left-wing elements. He named consumer advocate Ralph Nader as the chief antagonist of American business.   This memo foreshadowed a number of Powell's court opinions, especially First National Bank of Boston v. Bellotti, which shifted the direction of First Amendment law by declaring that corporate financial influence of elections through independent expenditures should be protected with the same vigor as individual political speech. Much of the future Court opinion in Citizens United v. Federal Election Commission relied on the same arguments raised in Bellotti.   Though written confidentially for Eugene Syndor at the Chamber of Commerce, it was discovered by Washington Post columnist Jack Anderson, who reported on its content a year later (after Powell had joined the Supreme Court). Anderson focused on the efforts of Powell to undermine the democratic process however, in terms of business's view of itself in relation to government and public interest groups, the memo did little but convey the thinking among businessmen at the time. The real contribution of the memo, instead, was its emphasis on institution building, particularly updating the Chamber's efforts to influence federal policy. Here, it would be greatly influential in motivating the Chamber and other groups to modernize their efforts to lobby the federal government.