Peace For Prosperity
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Peace is actually better for most United States businesses than war. Less that 20% of The People of the United States have their livelihoods tied to the military-industrial complex. The corporations profiting from the Iraq debacle represents a minority of corporate interests. It simply is not true that war is good for business, at least not the majority of businesses.
Where are the corporate players to promote peace? That is a very good question. Do they just have their heads down, nose to the grindstone doing the best they can to turn profits in these troubled times? Perhaps that’s part of the answer.
The situation in the Middle East has closed many markets to United States businesses. This is not to say that there is no business there. China, Russia and a score of other countries are trading in the Middle East. United States businesses are losing business to their competitors. And the United States government has enabled and is permitting this loss.
But the United States government is not alone. It is aided and abetted by the corporations that do profit by this conflict. These corporations are the United State’s greatest allies in Iraq. By supplying a force estimated at 126,000 they dwarf the combined forces of all of the United States’ governmental partners. These corporations pay their soldiers at rates beginning at twice what the United States pays its soldiers. And United States taxpayers provide the pay.
Are these war profiteers so affluent they can afford to pay off the other corporations? Are they powerful enough to eclipse other influence peddlers and lobbyists? What is going on here?
Part of the explanation is that the United States’ own largest corporations no longer depend on the United State’s economy. They have become multi-national. Robert B. Reich writes a good article about this called “Double Decoupling.” It’s short but very informative. I suggest you read it. You can also find it here.
That is not all.
Globalization has not worked out well for the United States. Ralph Gomory wrote a book, “Global Trade and Conflicting National Interests,” in collaboration with respected economist William Baumol, former president of the American Economic Association. Gomory explains how IBM invented the disk drive then dropped out of the business unable to compete profitably. And this is just the beginning.
Ralph Gomory is now part of the Horizon Project. The Horizon Project just released their report and suggestions this February. You can get it here. It lays out concrete suggestions on how to keep United States corporations loyal to United States interests. Without this, they have no incentive to do right by the United States. And they aren’t.
Corporate Social Responsibility (CSR) is a concept that corporations are obligated to consider the interests of customers, employees, shareholders, communities, and ecological considerations in all aspects of their operations. This obligation can no longer extend beyond their statutory obligation to comply with legislation. Corporations must be forced to be good citizens of the United States. You would think that comes along with the deal to make them legal entities under the law. It hasn’t.
So all the big players are either profiting from our current mess or have moved production offshore. Still, there are many medium to small businesses that would be greatly aided by a return to peace. It is past time for them to stand up and make their combined influence felt.
In 1932 Mussolini wrote (with the help of Giovanni Gentile) an entry for the Italian Encyclopedia on the definition of fascism. Mussolini said that fascism should more properly be called “corporatism” since it was, under Mussolini, a blending of state and corporate power.
Today in the United States we have a blending of state and selective corporate power. The People of the United States and corporations that profit by peace must make their collective voices heard in congress. Now is the time. There really is no other.
Tags: Peace
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