The New Deal and corporatism
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Corporatism is a collectivist political ideology which advocates the organization of society by
corporate groups A corporate group or group of companies is a collection of parent and subsidiary corporations that function as a single economic entity through a common source of control. These types of groups are often managed by an account manager. The concept ...
, such as agricultural, labour, military, business, scientific, or guild associations, on the basis of their common interests. The term is derived from the Latin ''corpus'', or "body". As originally conceived, and as enacted in
fascist Fascism is a far-right, Authoritarianism, authoritarian, ultranationalism, ultra-nationalist political Political ideology, ideology and Political movement, movement,: "extreme militaristic nationalism, contempt for electoral democracy and pol ...
states in mid-20th century Europe, corporatism was meant to be an alternative to both free market economies and socialist economies. The hypothesis that society will reach a peak of harmonious functioning when each of its divisions efficiently performs its designated function, as a body's organs individually contributing its general health and functionality, lies at the center of corporatist theory. Corporatism does not refer to a political system dominated by large business interests, even though the latter are commonly referred to as "corporations" in modern American vernacular and legal parlance; instead, the correct term for this theoretical system would be corporatocracy. Corporatism is not government
corruption Corruption is a form of dishonesty or a criminal offense which is undertaken by a person or an organization which is entrusted in a position of authority, in order to acquire illicit benefits or abuse power for one's personal gain. Corruption m ...
in politics or the use of
bribery Bribery is the Offer and acceptance, offering, Gift, giving, Offer and acceptance, receiving, or Solicitation, soliciting of any item of value to influence the actions of an official, or other person, in charge of a public or legal duty. With reg ...
by corporate interest groups. The terms corporatocracy and corporatism are often confused due to their name and the use of corporations as organs of the state. Corporatism developed during the 1850s in response to the rise of classical liberalism and Marxism, as it advocated cooperation between the classes instead of
class conflict Class conflict, also referred to as class struggle and class warfare, is the political tension and economic antagonism that exists in society because of socio-economic competition among the social classes or between rich and poor. The forms ...
. Corporatism became one of the main tenets of fascism, and
Benito Mussolini Benito Amilcare Andrea Mussolini (; 29 July 188328 April 1945) was an Italian politician and journalist who founded and led the National Fascist Party. He was Prime Minister of Italy from the March on Rome in 1922 until his deposition in 194 ...
's fascist regime in Italy advocated the collective management of the economy by state officials by integrating large interest groups under the state, which is a combination of crony capitalism and state capitalism; however, the more democratic neo-corporatism often embraced Tripartism. Corporatist ideas have been expressed since ancient Greek and Roman societies, with integration into
Catholic social teaching Catholic social teaching, commonly abbreviated CST, is an area of Catholic doctrine concerning matters of human dignity and the common good in society. The ideas address oppression, the role of the state (polity), state, subsidiarity, social o ...
and
Christian democratic Christian democracy (sometimes named Centrist democracy) is a political ideology that emerged in 19th-century Europe under the influence of Catholic social teaching and neo-Calvinism. It was conceived as a combination of modern democratic ...
political parties. They have been paired by various advocates and implemented in various societies with a wide variety of political systems, including authoritarianism, absolutism, fascism and liberalism.


Kinship corporatism

Kinship In anthropology, kinship is the web of social relationships that form an important part of the lives of all humans in all societies, although its exact meanings even within this discipline are often debated. Anthropologist Robin Fox says that ...
-based corporatism emphasizing
clan A clan is a group of people united by actual or perceived kinship and descent. Even if lineage details are unknown, clans may claim descent from founding member or apical ancestor. Clans, in indigenous societies, tend to be endogamous, meaning ...
, ethnic and family identification has been a common phenomenon in Africa, Asia and Latin America. Confucian societies based upon families and clans in East Asia and Southeast Asia have been considered types of corporatism.
China China, officially the People's Republic of China (PRC), is a country in East Asia. It is the world's most populous country, with a population exceeding 1.4 billion, slightly ahead of India. China spans the equivalent of five time zones and ...
has strong elements of ''clan corporatism'' in its society involving legal norms concerning family relations.
Islam Islam (; ar, ۘالِإسلَام, , ) is an Abrahamic religions, Abrahamic Monotheism#Islam, monotheistic religion centred primarily around the Quran, a religious text considered by Muslims to be the direct word of God in Islam, God (or ...
ic societies often feature strong clans which form the basis for a community-based corporatist society. Family businesses are common worldwide in capitalist societies.


Politics and political economy


Communitarian corporatism

Ancient Greece developed early concepts of corporatism. Plato developed the concept of a totalitarian and
communitarian Communitarianism is a philosophy that emphasizes the connection between the individual and the community. Its overriding philosophy is based upon the belief that a person's social identity and personality are largely molded by community relati ...
corporatist system of natural-based classes and natural social hierarchies that would be organized based on function, such that groups would cooperate to achieve social harmony by emphasizing
collective A collective is a group of entities that share or are motivated by at least one common issue or interest, or work together to achieve a common objective. Collectives can differ from cooperatives in that they are not necessarily focused upon an ...
interests while rejecting individual interests. In '' Politics'', Aristotle also described society as being divided along natural classes and functional purposes that were priests, rulers, slaves and warriors. Ancient Rome adopted Greek concepts of corporatism into their own version of corporatism but also added the concept of political representation on the basis of function that divided representatives into military, professional and religious groups and created institutions for each group known as '' collegia.'' After the fall of Rome and the beginning of the Early Middle Ages corporatist organizations in Europe became largely limited to religious orders and the idea of Christian brotherhood especially within the context of economic transactions. From the High Middle Ages onward corporatist organizations became increasingly common in Europe including such groups as religious orders, monasteries, fraternities, military orders such as the
Knights Templar , colors = White mantle with a red cross , colors_label = Attire , march = , mascot = Two knights riding a single horse , equipment ...
and Teutonic Order, educational organizations such as the emerging universities and learned societies, the chartered
towns A town is a human settlement. Towns are generally larger than villages and smaller than cities, though the criteria to distinguish between them vary considerably in different parts of the world. Origin and use The word "town" shares an ori ...
and cities, and most notably the
guild system A guild ( ) is an association of artisans and merchants who oversee the practice of their craft/trade in a particular area. The earliest types of guild formed as organizations of tradesmen belonging to a professional association. They sometimes ...
which dominated the economies of population centers in Europe. The military orders notably gained increased support during the Crusades. These corporatist systems co-existed with the governing medieval estate system, and members of the first estate, the clergy, the second estate, the
aristocracy Aristocracy (, ) is a form of government that places strength in the hands of a small, privileged ruling class, the aristocracy (class), aristocrats. The term derives from the el, αριστοκρατία (), meaning 'rule of the best'. At t ...
, and third estate, the common people, could also participate in various corporatist bodies. The creation of the guild system involved the allocation of power to regulate trade and prices to guilds, whose members included artisans, tradesmen, and other professionals. This diffusion of power is an important aspect of corporatist economic models of economic management and class collaboration. However from the 16th century onward absolute monarchies began to conflict with the diffuse, decentralized powers of the medieval corporatist bodies. Absolute monarchies during the Renaissance and
Enlightenment Enlightenment or enlighten may refer to: Age of Enlightenment * Age of Enlightenment, period in Western intellectual history from the late 17th to late 18th century, centered in France but also encompassing (alphabetically by country or culture): ...
gradually subordinated corporatist systems and corporate groups to the authority of centralized and absolutist governments, removing any checks on royal power these corporatist bodies had previously utilized. After the French Revolution, the existing absolutist corporatist system was abolished due to its endorsement of social hierarchy and special "corporate privilege". The new French government considered corporatism's emphasis on group rights as inconsistent with the government's promotion of individual rights. Subsequently corporatist systems and corporate privilege throughout Europe were abolished in response to the French Revolution. From 1789 to the 1850s, most supporters of corporatism were reactionaries. A number of reactionary corporatists favoured corporatism in order to end
liberal capitalism Economic liberalism is a political and economic ideology that supports a market economy based on individualism and private property in the means of production. Adam Smith is considered one of the primary initial writers on economic liberalis ...
and restore the feudal system. Counter to the reactionaries were the ideas of Henri de Saint-Simon whose proposed 'industrial class' would have had the representatives of various economic groups sit in the political chambers, in contrast to the popular representation of liberal democracy.


Progressive corporatism

From the 1850s onward, progressive corporatism developed in response to classical liberalism and Marxism. These corporatists supported providing group rights to members of the middle classes and working classes in order to secure cooperation among the classes. This was in opposition to the Marxist conception of
class conflict Class conflict, also referred to as class struggle and class warfare, is the political tension and economic antagonism that exists in society because of socio-economic competition among the social classes or between rich and poor. The forms ...
. By the 1870s and 1880s, corporatism experienced a revival in Europe with the creation of
workers' union The Workers' Union was a general union based in the United Kingdom, but with some branches in other countries. During the 1910s, it was the largest general union in the UK, but it entered a rapid decline in the 1920s, and eventually became part ...
s that were committed to negotiations with employers. In his work ''
Gemeinschaft und Gesellschaft ''Gemeinschaft'' () and ''Gesellschaft'' (), generally translated as "community and society", are categories which were used by the German sociologist Ferdinand Tönnies in order to categorize social relationships into two types. The Gesellschaf ...
'' ("Community and Society") of 1887,
Ferdinand Tönnies Ferdinand Tönnies (; 26 July 1855 – 9 April 1936) was a German sociologist, economist, and philosopher. He was a significant contributor to sociological theory and field studies, best known for distinguishing between two types of social gro ...
began a major revival of corporatist philosophy associated with the development of
neo-medievalism Neo-medievalism (or neomedievalism, new medievalism) is a term with a long history that has acquired specific technical senses in two branches of scholarship. In political theory about modern international relations, where the term is originally a ...
, increasing promotion of guild socialism and causing major changes to theoretical sociology. Tönnies claims that
organic Organic may refer to: * Organic, of or relating to an organism, a living entity * Organic, of or relating to an anatomical organ Chemistry * Organic matter, matter that has come from a once-living organism, is capable of decay or is the product ...
communities based upon clans, communes, families and professional groups are disrupted by the mechanical society of economic classes imposed by capitalism.Peter F. Klarén, Thomas J. Bossert. Promise of development: theories of change in Latin America. Boulder, Colorado, USA: Westview Press, 1986. Pp. 221. The Nazis used Tönnies' theory to promote their notion of '' Volksgemeinschaft'' ("people's community"). However, Tönnies opposed Nazism and joined the
Social Democratic Party of Germany The Social Democratic Party of Germany (german: Sozialdemokratische Partei Deutschlands, ; SPD, ) is a centre-left social democratic political party in Germany. It is one of the major parties of contemporary Germany. Saskia Esken has been the ...
in 1932 to oppose fascism in Germany and was deprived of his honorary professorship by Adolf Hitler in 1933.


Corporatism in the Roman Catholic Church

In 1881, Pope Leo XIII commissioned theologians and social thinkers to study corporatism and provide a definition for it. In 1884 in Freiburg, the commission declared that corporatism was a "system of social organization that has at its base the grouping of men according to the community of their natural interests and social functions, and as true and proper organs of the state they direct and coordinate labor and capital in matters of common interest". Corporatism is related to the sociological concept of structural functionalism. Corporatism's popularity increased in the late 19th century and a corporatist internationale was formed in 1890, followed by the publishing of ''
Rerum novarum ''Rerum novarum'' (from its incipit, with the direct translation of the Latin meaning "of revolutionary change"), or ''Rights and Duties of Capital and Labor'', is an encyclical issued by Pope Leo XIII on 15 May 1891. It is an open letter, pass ...
'' by the Catholic Church that for the first time declared the Church's blessing to trade unions and recommended for organized labour to be recognized by politicians. Many corporatist unions in Europe were endorsed by the Catholic Church to challenge the
anarchist Anarchism is a political philosophy and movement that is skeptical of all justifications for authority and seeks to abolish the institutions it claims maintain unnecessary coercion and hierarchy, typically including, though not neces ...
,
Marxist Marxism is a Left-wing politics, left-wing to Far-left politics, far-left method of socioeconomic analysis that uses a Materialism, materialist interpretation of historical development, better known as historical materialism, to understand S ...
and other radical unions, with the corporatist unions being fairly conservative in comparison to their radical rivals. Some Catholic corporatist states include Austria under the leadership of Federal Chancellor Engelbert Dollfuss and Ecuador under the leadership of Garcia Moreno. The economic vision outlined in ''Rerum novarum'' and '' Quadragesimo anno'' also influenced the regime of
Juan Perón Juan Domingo Perón (, , ; 8 October 1895 – 1 July 1974) was an Argentine Army general and politician. After serving in several government positions, including Minister of Labour and Vice President of a military dictatorship, he was elected P ...
and
Justicialism Peronism, also called justicialism,. The Justicialist Party is the main Peronist party in Argentina, it derives its name from the concept of social justice., name=, group= is an Argentine political movement based on the ideas and legacy of ...
in Argentina. In response to the Roman Catholic corporatism of the 1890s, Protestant corporatism was developed, especially in Germany, the Netherlands and Scandinavia. However, Protestant corporatism has been much less successful in obtaining assistance from governments than its Roman Catholic counterpart.


Corporate solidarism

Sociologist Émile Durkheim advocated a form of corporatism termed "solidarism" that advocated creating an
organic Organic may refer to: * Organic, of or relating to an organism, a living entity * Organic, of or relating to an anatomical organ Chemistry * Organic matter, matter that has come from a once-living organism, is capable of decay or is the product ...
social
solidarity ''Solidarity'' is an awareness of shared interests, objectives, standards, and sympathies creating a psychological sense of unity of groups or classes. It is based on class collaboration.''Merriam Webster'', http://www.merriam-webster.com/dictio ...
of society through functional representation.Antony Black, pp. 226. Solidarism was based upon Durkheim's view that the dynamic of human society as a
collective A collective is a group of entities that share or are motivated by at least one common issue or interest, or work together to achieve a common objective. Collectives can differ from cooperatives in that they are not necessarily focused upon an ...
is distinct from that of an individual, in that society is what places upon individuals their cultural and social attributes. Durkheim posited that solidarism would alter the division of labour by evolving it from mechanical
solidarity ''Solidarity'' is an awareness of shared interests, objectives, standards, and sympathies creating a psychological sense of unity of groups or classes. It is based on class collaboration.''Merriam Webster'', http://www.merriam-webster.com/dictio ...
to organic solidarity. He believed that the existing industrial capitalist division of labour caused "juridical and moral ''
anomie In sociology, anomie () is a social condition defined by an uprooting or breakdown of any moral values, standards or guidance for individuals to follow. Anomie is believed to possibly evolve from conflict of belief systems and causes breakdown ...
''", which had no norms or agreed procedures to resolve conflicts and resulted in chronic confrontation between employers and trade unions. Durkheim believed that this anomie caused social dislocation and felt that by this "it is the law of the strongest which rules, and there is inevitably a chronic state of war, latent or acute". As a result, Durkheim believed it is a moral obligation of the members of society to end this situation by creating a moral organic solidarity based upon professions as organized into a single public institution. Corporate solidarism is a form of corporatism that advocates creating
solidarity ''Solidarity'' is an awareness of shared interests, objectives, standards, and sympathies creating a psychological sense of unity of groups or classes. It is based on class collaboration.''Merriam Webster'', http://www.merriam-webster.com/dictio ...
instead of collectivism in society through functional representation, believing that it was up to the people to end the chronic confrontation between employers and labor unions by creating a single public institution. Solidarism rejects a materialistic approach to social, economic, and political problems, while also rejecting
class conflict Class conflict, also referred to as class struggle and class warfare, is the political tension and economic antagonism that exists in society because of socio-economic competition among the social classes or between rich and poor. The forms ...
. Just like corporatism, it embraces tripartism as its economic system.


Liberal corporatism

The idea of
liberal corporatism Liberal corporatism is the application of economic corporatism by liberal political parties and organizations, that recognizes the bargaining interests of multiple groups within society, such as in the business, labour, and agricultural sectors a ...
has also been attributed to English liberal philosopher
John Stuart Mill John Stuart Mill (20 May 1806 – 7 May 1873) was an English philosopher, political economist, Member of Parliament (MP) and civil servant. One of the most influential thinkers in the history of classical liberalism, he contributed widely to ...
who discussed corporatist-like economic associations as needing to "predominate" in society to create equality for labourers and give them influence with management by economic democracy. Unlike some other types of corporatism, liberal corporatism does not reject capitalism or individualism, but believes that the capitalist companies are social institutions that should require their managers to do more than maximize
net income In business and accounting, net income (also total comprehensive income, net earnings, net profit, bottom line, sales profit, or credit sales) is an entity's income minus cost of goods sold, expenses, depreciation and amortization, interest, a ...
by recognizing the needs of their employees.Waring, Stephen P. ''Taylorism Transformed: Scientific Management Theory Since 1945''. University of North Carolina Press, 1994. Pp. 193. This liberal corporatist ethic is similar to Taylorism, but endorses democratization of capitalist companies. Liberal corporatists believe that inclusion of all members in the election of management in effect reconciles "ethics and efficiency, freedom and order, liberty and rationality". Liberal corporatism began to gain disciples in the United States during the late 19th century. Economic liberal corporatism involving capital-labour cooperation was influential in Fordism. Liberal corporatism has also been an influential component of the progressivism in the United States that has been referred to as "interest group liberalism".


Fascist corporatism

A fascist corporation is a government body that brings together federations of workers and employers syndicates belonging to the same profession and branch, to regulate production in a holistic manner. Each trade union would theoretically represent its professional concerns, especially by negotiation of labour contracts and the like. It was theorized that this method could result in harmony amongst social classes. In Italy from 1922 until 1943, corporatism became influential amongst Italian nationalists led by
Benito Mussolini Benito Amilcare Andrea Mussolini (; 29 July 188328 April 1945) was an Italian politician and journalist who founded and led the National Fascist Party. He was Prime Minister of Italy from the March on Rome in 1922 until his deposition in 194 ...
. The
Charter of Carnaro The Italian Regency of Carnaro ( it, Reggenza Italiana del Carnaro), also known in Italian as (), was a self-proclaimed state in the city of Fiume (now Rijeka, Croatia) led by Gabriele d'Annunzio between 1919 and 1920. ''Impresa di Fiume'' ...
gained much popularity as the prototype of a "corporative state", having displayed much within its tenets as a
guild system A guild ( ) is an association of artisans and merchants who oversee the practice of their craft/trade in a particular area. The earliest types of guild formed as organizations of tradesmen belonging to a professional association. They sometimes ...
combining the concepts of autonomy and authority in a special synthesis. Alfredo Rocco spoke of a corporative state and declared corporatist ideology in detail. Rocco would later become a member of the Italian fascist regime. Italian Fascism involved a corporatist political system in which the economy was collectively managed by employers, workers and state officials by formal mechanisms at the national level. Its supporters claimed that corporatism could better recognize or "incorporate" every divergent interest into the state organically, unlike majority-rules democracy which they said could marginalize specific interests. This total consideration was the inspiration for their use of the term " totalitarian", described without coercion (which is connoted in the modern meaning) in the 1932 ''
Doctrine of Fascism "The Doctrine of Fascism" ( it, "La dottrina del fascismo", italics=no) is an essay attributed to Benito Mussolini. In truth, the first part of the essay, entitled "" (), was written by the Italian philosopher Giovanni Gentile, while only the se ...
'' as thus: A popular slogan of the Italian Fascists under Mussolini was "Tutto nello Stato, niente al di fuori dello Stato, nulla contro lo Stato" ("everything within the state, nothing outside the state, nothing against the state"). Within the corporative model of Italian fascism each corporate interest was supposed to be resolved and incorporated under the state. Much of the corporatist influence upon Italian Fascism was partly due to the Fascists' attempts to gain endorsement by the Roman Catholic Church that itself sponsored corporatism. However, fascist corporatism was a top-down model of state control over the economy while the Roman Catholic Church's corporatism favored a bottom-up corporatism, whereby groups such as families and professional groups would voluntarily work together. The fascist state corporatism (of Roman Catholic Italy) influenced the governments and economies of not only other Roman Catholic-majority countries, such as the governments of Engelbert Dollfuss in Austria and António de Oliveira Salazar in Portugal, but also Konstantin Päts and Kārlis Ulmanis in non-Catholic Estonia and
Latvia Latvia ( or ; lv, Latvija ; ltg, Latveja; liv, Leţmō), officially the Republic of Latvia ( lv, Latvijas Republika, links=no, ltg, Latvejas Republika, links=no, liv, Leţmō Vabāmō, links=no), is a country in the Baltic region of ...
. Fascists in non-Catholic countries also supported Italian Fascist corporatism, including Oswald Mosley of the
British Union of Fascists The British Union of Fascists (BUF) was a British fascist political party formed in 1932 by Oswald Mosley. Mosley changed its name to the British Union of Fascists and National Socialists in 1936 and, in 1937, to the British Union. In 1939, fo ...
, who commended corporatism and said that "it means a nation organized as the human body, with each organ performing its individual function but working in harmony with the whole". Mosley also considered corporatism as an attack on '' laissez-faire'' economics and "international finance". The corporatist state of Portugal had similarities to
Benito Mussolini Benito Amilcare Andrea Mussolini (; 29 July 188328 April 1945) was an Italian politician and journalist who founded and led the National Fascist Party. He was Prime Minister of Italy from the March on Rome in 1922 until his deposition in 194 ...
's Italian fascist corporatism, but also differences in its moral approach to governing. Although Salazar admired Mussolini and was influenced by his
Labour Charter of 1927 The Charter of Labour of 1927 ( it, Carta del Lavoro) was one of the main pieces of legislation Benito Mussolini, the Italian Fascist dictator from 1922–43, introduced in his attempts to modernise the Italian economy. The Charter was promulgate ...
, he distanced himself from fascist dictatorship, which he considered a pagan Caesarist political system that recognised neither legal nor moral limits. Salazar also had a strong dislike of Marxism and liberalism. In 1933, Salazar stated: "Our Dictatorship clearly resembles a fascist dictatorship in the reinforcement of authority, in the war declared against certain principles of democracy, in its accentuated nationalist character, in its preoccupation of social order. However, it differs from it in its process of renovation. The fascist dictatorship tends towards a pagan Caesarism, towards a state that knows no limits of a legal or moral order, which marches towards its goal without meeting complications or obstacles. The Portuguese New State, on the contrary, cannot avoid, not think of avoiding, certain limits of a moral order which it may consider indispensable to maintain in its favour of its reforming action".


Neo-corporatism

During the post- World War II reconstruction period in Europe, corporatism was favored by Christian democrats (often under the influence of
Catholic social teaching Catholic social teaching, commonly abbreviated CST, is an area of Catholic doctrine concerning matters of human dignity and the common good in society. The ideas address oppression, the role of the state (polity), state, subsidiarity, social o ...
),
national conservatives National conservatism is a nationalist variant of conservatism that concentrates on upholding National identity, national and cultural identity. National conservatives usually combine nationalism with conservative stances promoting Cultural cons ...
and social democrats in opposition to liberal capitalism. This type of corporatism became unfashionable but revived again in the 1960s and 1970s as "neo-corporatism" in response to the new economic threat of recession-inflation. Neo-corporatism is a democratic form of corporatism which favors economic tripartism, which involves strong labour unions, employers' associations and governments that cooperated as "
social partners {{cleanup-rewrite, article, date=June 2014 Social partners are groups that cooperate in working relationships to achieve a mutually agreed-upon goal, typically for the benefit of all involved groups. Examples of social partners include employers, em ...
" to negotiate and manage a national economy.
Social corporatist Social corporatism, also called social democratic corporatism, is a form of economic Tripartism, tripartite corporatism based upon a social partnership between the interests of Capital (economics), capital and Labour (economics), labour, involvin ...
systems instituted in Europe after World War II include the
ordoliberal Ordoliberalism is the German variant of economic liberalism that emphasizes the need for government to ensure that the free market produces results close to its theoretical potential but does not advocate for a welfare state. Ordoliberal ideals ...
system of the social market economy in Germany, the social partnership in Ireland, the polder model in the Netherlands (although arguably the polder model already was present at the end of World War I, it was not until after World War II that a social service system gained foothold there), the concertation system in Italy, the Rhine model in Switzerland and the Benelux countries and the
Nordic model The Nordic model comprises the economic and social policies as well as typical cultural practices common to the Nordic countries (Denmark, Finland, Iceland, Norway, and Sweden). This includes a comprehensive welfare state and multi-level coll ...
in Scandinavia. Attempts in the United States to create neo-corporatist capital-labor arrangements were unsuccessfully advocated by
Gary Hart Gary Warren Hart (''né'' Hartpence; born November 28, 1936) is an American politician, diplomat, and lawyer. He was the front-runner for the 1988 Democratic presidential nomination until he dropped out amid revelations of extramarital affairs. ...
and Michael Dukakis in the 1980s. As secretary of labor during the Clinton administration, Robert Reich promoted neo-corporatist reforms.Waring, Stephen P. ''Taylorism Transformed: Scientific Management Theory Since 1945''. University of North Carolina Press, 1994. Pp. 194.


Contemporary examples by country


China

Chinese corporatism, as described by
Jonathan Unger Professor Jonathan Unger (born 1946) is a journalist and an expert on China. His major works include ''The Transformation of Rural China'' and ''The Nature of Chinese Politics from Mao to Jiang'' (as editor). Unger is currently conducting researc ...
and Anita Chan in their essay ''China, Corporatism, and the East Asian Model'', is the following:
the national level the state recognizes one and only one organization (say, a national labour union, a business association, a farmers' association) as the sole representative of the sectoral interests of the individuals, enterprises or institutions that comprise that organization's assigned constituency. The state determines which organizations will be recognized as legitimate and forms an unequal partnership of sorts with such organizations. The associations sometimes even get channelled into the policy-making processes and often help implement state policy on the government's behalf.
By establishing itself as the arbiter of legitimacy and assigning responsibility for a particular
constituency An electoral district, also known as an election district, legislative district, voting district, constituency, riding, ward, division, or (election) precinct is a subdivision of a larger State (polity), state (a country, administrative region, ...
with one sole organization, the state limits the number of players with which it must negotiate its policies and co-opts their leadership into policing their own members. This arrangement is not limited to economic organizations such as business groups and social organizations. The political scientist
Jean C. Oi Jean C. Oi (Chinese name: zh, c=戴慕珍, hp=Dài Mùzhēn) is an American political scientist and expert in the politics of China. She is the William Haas Professor in Chinese Politics in the department of political science at Stanford Univer ...
coined the term "local state corporatism" to describe China's distinctive type of state-led growth, in which a communist party-state with Leninist roots commits itself to policies which are friendly to the market and to growth. The use of corporatism as a framework to understand the central state's behaviour in China has been criticized by authors such as Bruce Gilley and William Hurst.


=Hong Kong and Macau

= In two special administrative regions, some legislators are chosen by
functional constituencies A functional constituency is an electoral device (a non-geographical constituency) used within the political systems of two Special Administrative Regions of the People's Republic of China: * Functional constituency (Hong Kong) * Functional cons ...
( Legislative Council of Hong Kong) where the voters are a mix of individuals, associations, and corporations or indirect election ( Legislative Assembly of Macau) where a single association is designated to appoint legislators.


Ireland

Most members of the Seanad Éireann, the upper house of the
Oireachtas The Oireachtas (, ), sometimes referred to as Oireachtas Éireann, is the Bicameralism, bicameral parliament of Republic of Ireland, Ireland. The Oireachtas consists of: *The President of Ireland *The bicameralism, two houses of the Oireachtas ...
(parliament) of Ireland, are elected as part of vocational panels nominated partly by current Oireachtas members and partly by vocational and special interest associations. The Seanad also includes two university constituencies.


The Netherlands

Under the Dutch Polder Model, the Social and Economic Council of the Netherlands (Sociaal-Economische Raad, SER) was established by the 1950 Industrial Organisation Act (Wet op de bedrijfsorganisatie). It is led by representatives of unions, employer organizations, and government appointed experts. It advises the government, and has administrative and regulatory power. It oversees Sectoral Organisation Under Public Law ( Publiekrechtelijke Bedrijfsorganisatie, PBO) which are similarly organized by union and industry representatives, but for specific industries or commodities.


Russia

Post-Soviet Russia has been described as an oligarchy, a kleptocracy, and corporatist. On October 9, 2007, an article signed by Viktor Cherkesov, head of the Federal Drug Control Service of Russia, was published in '' Kommersant'', where he used the term "corporativist state" in a positive way to describe the evolution of Russia. He claimed that the administration officials detained on criminal charges earlier that month are the exception rather than the rule and that the only development scenario for Russia that is both realistic enough and relatively favorable is to continue evolution into a corporativist state ruled by security service officials. In December 2005,
Andrei Illarionov Andrey Nikolayevich Illarionov (russian: Андре́й Никола́евич Илларио́нов, born 16 September 1961) is a Russian economist and former senior policy advisor to Vladimir Putin, the President of Russia, from April 2000 ...
, former economic adviser to Vladimir Putin, claimed that Russia had become a corporativist state:
The process of this state evolving into a new corporativist 'sic''model reached its completion in 2005. ..The strengthening of the corporativist state model and setting up favorable conditions for quasi-state monopolies by the state itself hurt the economy. ... Cabinet members or key Presidential Staff executives chairing corporation boards or serving on those boards are the order of the day in Russia. In what Western country—except in the corporativist state that lasted for 20 years in Italy—is such a phenomenon possible? Which, actually, proves that the term 'corporativist' properly applies to Russia today.
According to some researchers, all political powers and most important economic assets in the country are controlled by former state security officials ''( siloviks)''. The takeover of Russian state and economic assets has been allegedly accomplished by a clique of Putin's close associates and friends who gradually became a leading group of Russian oligarchs and who "seized control over the financial, media and administrative resources of the Russian state" and restricted democratic freedoms and human rights Illarionov described the present situation in Russia as a new socio-political order, "distinct from any seen in our country before". In this model, members of the Corporation of Intelligence Service Collaborators (KSSS) took over the entire body of state power, follow an omertà-like behavior code and "are given instruments conferring power over others – membership 'perks', such as the right to carry and use weapons". According to Illarionov, the "Corporation has seized key government agencies – the Tax Service, Ministry of Defense,
Ministry of Foreign Affairs In many countries, the Ministry of Foreign Affairs is the government department responsible for the state's diplomacy, bilateral, and multilateral relations affairs as well as for providing support for a country's citizens who are abroad. The entit ...
, Parliament, and the government-controlled mass media – which are now used to advance the interests of KSSS members. Through these agencies, every significant resource of the country – security/intelligence, political, economic, informational and financial – is being monopolized in the hands of Corporation members".Andrei Illarionov: Approaching Zimbabwe (Russian)
Analyst Andrei Piontkovsky also considers the present situation as "the highest and culminating stage of bandit capitalism in Russia". He believes that "Russia is not corrupt.
Corruption Corruption is a form of dishonesty or a criminal offense which is undertaken by a person or an organization which is entrusted in a position of authority, in order to acquire illicit benefits or abuse power for one's personal gain. Corruption m ...
is what happens in all countries when businessmen offer officials large bribes for favors. Today’s Russia is unique. The businessmen, the politicians, and the bureaucrats are the same people."


Slovenia

The Slovene National Council, the upper house of the Slovene Parliament, has 18 members elected on a corporatist basis.


See also

* Class collaboration *
Co-determination In corporate governance, codetermination (also "copartnership" or "worker participation") is a practice where workers of an enterprise have the right to vote for representatives on the board of directors in a company. It also refers to staff having ...
*
Corporate nationalism A corporation is an organization—usually a group of people or a company—authorized by the state to act as a single entity (a legal entity recognized by private and public law "born out of statute"; a legal person in legal context) and r ...
* Corporate statism * Cooperative * Distributism * Fascism * Gemeinschaft and Gesellschaft *
Gremialismo Gremialismo, or guildism, is a social, political, and economic ideology, inspired in the Catholic social teachings that claims that every correct social order should base itself in intermediary societies between persons and the state, which are ...
* Guild * Guild socialism * Managerialism * Mutualism (movement) * Integralism * National syndicalism *
Paritarian Institutions In the field of social protection, paritarian institutions are non-profit institutions which are jointly managed by the social partners (representatives of the employers and employees). In other words, the governance of these institutions is based ...
* Pillarisation *
Solidarism (disambiguation) Solidarism or solidarist can refer to: * The term " solidarism" is applied to the sociopolitical thought advanced by Léon Bourgeois based on ideas by the sociologist Émile Durkheim which is loosely applied to a leading social philosophy operative ...
* Third Position


Notes


References

* Black, Antony (1984).
Guilds and civil society in European political thought from the twelfth century to present
'. Cambridge, United Kingdom: Cambridge University Press, . * *


Further reading

* Acocella, N. and Di Bartolomeo, G.
007 The ''James Bond'' series focuses on a fictional British Secret Service agent created in 1953 by writer Ian Fleming, who featured him in twelve novels and two short-story collections. Since Fleming's death in 1964, eight other authors have ...
"Is corporatism feasible?", in: ''Metroeconomica'', 58(2): 340-59. * Jones, Eric. 2008.
Economic Adjustment and Political Transformation in Small States
'. Oxford University Press. *Jones, R. J. Barry. ''Routledge Encyclopedia of International Political Economy: Entries A-F''. Taylor & Frances, 2001. . *Schmitter, P. (1974)
"Still the Century of Corporatism?"
''The Review of Politics'', 36(1), 85-131. * Taha Parla and Andrew Davison, ''Corporatist Ideology in Kemalist Turkey Progress or Order?'', 2004, Syracuse University Press,


On Italian corporatism

*
Constitution of Fiume The Italian Regency of Carnaro ( it, Reggenza Italiana del Carnaro), also known in Italian as (), was a self-proclaimed state in the city of Fiume (now Rijeka, Croatia) led by Gabriele d'Annunzio between 1919 and 1920. ''Impresa di Fiume'' ...

''Rerum novarum'': encyclical of Pope Leo XIII on capital and labor



On fascist corporatism and its ramifications

* Baker, David, "The political economy of fascism: Myth or reality, or myth and reality?", ''New Political Economy'', Volume 11, Issue 2 June 2006, pages 227–250. * Marra, Realino, "''Aspetti dell'esperienza corporativa nel periodo fascista'', ''Annali della Facoltà di Giurisprudenza di Genova'', XXIV-1.2, 1991–92, pages 366–79. * There is an essay on "The Doctrine of Fascism" credited to
Benito Mussolini Benito Amilcare Andrea Mussolini (; 29 July 188328 April 1945) was an Italian politician and journalist who founded and led the National Fascist Party. He was Prime Minister of Italy from the March on Rome in 1922 until his deposition in 194 ...
that appeared in the 1932 edition of the ''Enciclopedia Italiana'', and excerpts can be read at
Doctrine of Fascism "The Doctrine of Fascism" ( it, "La dottrina del fascismo", italics=no) is an essay attributed to Benito Mussolini. In truth, the first part of the essay, entitled "" (), was written by the Italian philosopher Giovanni Gentile, while only the se ...
. There are also links there to the complete text. * ''My rise and fall'', Volumes 1–2 – two autobiographies of Mussolini, editors Richard Washburn Child, Max Ascoli, Richard Lamb, Da Capo Press, 1998
The 1928 autobiography of Benito Mussolini. Online.
''My Autobiography''. Book by Benito Mussolini; Charles Scribner's Sons, 1928. .


On neo-corporatism

* Katzenstein, Peter. ''Small States in World Markets: industrial policy in Europe.'' Ithaca, 1985. Cornell University Press. . * Olson, Mancur. '' The Logic of Collective Action: Public Goods and the Theory of Groups

' 1965, 1971. Harvard University Press. . * Schmitter, P. C. and Lehmbruch, G. (eds.). ''Trends toward Corporatist Intermediation.'' London, 1979. . * Rodrigues, Lucia Lima.
Corporatism, liberalism and the accounting profession in Portugal since 1755
" ''Journal of Accounting Historians,'' June 2003.


External links

; Encyclopedias
Corporatism
Encyclopædia Britannica
Corporatism
The Canadian Encyclopedia ; Articles
Professor Thayer Watkins, ''The economic system of corporatism''
, San Jose State University, Department of Economics.
Chip Berlet, "Mussolini on the Corporate State"
2005, Political Research Associates.

''The Freeman'', Vol. 44, No. 6, June 1994, Foundation for Economic Education; Irvington-on-Hudson, New York. {{Authority control Collectivism Economic ideologies Fascism Political systems Political theories