plutocracy n : a political system governed by the wealthy people

English

Etymology

From (ploutokratia) "rule of the wealthy" < (ploutokrateō) "I rule through wealth" < (ploutos) "wealth" + (krateō) "I rule" < (kratos) "power, might".

Pronunciation

• italbrac RP /pluːˈtɒkrəsi/
• italbrac US /pluːˈtɑːkrəsi/

Noun

1. Government by the wealthy.
2. A controlling class of the wealthy.

Quotations

• 1933 — G. K. Chesterton, All I Survey, Essay XXIII: On Industrialism''

  Modernity is not democracy; machinery is not democracy; the surrender of everything to trade and commerce is not democracy. Capitalism is not democracy; and is admittedly, by trend and savour, rather against democracy. Plutocracy by definition is not democracy. But all these modern things forced themselves into the world at about the time, or shortly after the time, when great idealists like Rousseau and Jefferson happened to have been thinking about the democratic ideal of democracy.

Translations

Plutocracy is rule by the wealthy, or power provided by wealth. In a plutocracy, the degree of economic inequality is high while the level of social mobility is low. This can apply to a multitude of government systems, as the key elements of plutocracy transcend and often occur concurrently with the features of those systems. The word plutocracy (Modern Greek: πλουτοκρατία - ploutokratia) is derived from the ancient Greek root ploutos, meaning wealth and kratein, meaning to rule or to govern.

Usage

The term plutocracy is generally used to describe two distinct concepts: a historical term and a modern political term. The former indicates the political control of the state by an oligarchy of the wealthy. Examples of such plutocracies include some city-states in Ancient Greece, the Italian merchant republics of Venice and Florence, and Genoa.

Kevin Phillips, author and political strategist to U.S. President Richard Nixon, argues that the United States is a plutocracy in which there is a "fusion of money and government." .

Modern political

The second usage of plutocracy is a pejorative reference to a disproportionate influence the wealthy are said to have on political process in contemporary society. Positive influence includes campaign contributions and bribes; negative influence includes refusing to support the government financially by refusing to pay taxes, threatening to move profitable industries elsewhere, and so on. It can also be exerted by the owners and ad buyers of media properties which can shape public perception of political issues. Recent examples include Rupert Murdoch's News Corp's alleged political agendas in Australia, the UK and the United States or the oil industry oligarchy, and billionaire Richard Mellon Scaife, which may back right-leaning political action committees (PACs), as well as billionaire George Soros' efforts to influence US politics by backing left-leaning PACs.

Recently, there have been numerous cases of wealthy individuals and organizations exerting financial pressure on governments to pass favorable legislation. (see: Lobbying) Most western democracies permit partisan organizations to raise funds for politicians, and it is well-known that political parties frequently accept significant donations from various individuals (either directly or through corporate institutions). Ostensibly this should have no effect on the legislative decisions of elected representatives; however it would be unlikely that no politicians are influenced by these contributions. Some describe these donations as bribes, although legally they are not. In the United States, campaign finance reform efforts seek to ameliorate this situation. However, campaign finance reform must successfully challenge officials who are beneficiaries of the system which allows this dynamic in the first place. This has led many reform advocates to suggest taxpayer dollars be used to replace private campaign contributions, these reforms are often called clean money, clean elections reform as opposed to simply campaign finance reform which does not address the conflict of interest involved where most or all of the campaign money is from private, often for-profit sources. Critics of so-called clean elections point out that that having the government decide which candidates would receive tax dollars and therefore be allowed to run would create an effective dictatorship where the government decides who the people can vote for.

Forms of control

A Plutocracy is a government controlled by a minuscule proportion of extremely wealthy individuals found in most societies. In many forms of government, those in power benefit financially, sometimes enough to belong to the aforementioned wealthy class.

Classically, a plutocracy was an oligarchy, which is to say a government controlled by the wealthy few. Usually this meant that these ‘plutocrats’ controlled the executive, legislative and judicial aspects of government, the armed forces, and most of the natural resources. To a certain degree, there are still some situations in which private corporations and wealthy individuals may exert such strong influence on governments, that the effect can arguably be compared to a plutocracy.

If there are no forms of control within the society, the plutocracy can easily collapse into a kleptocracy, "reign of thieves", where the powerholders attempt to confiscate as much public funds as possible as their private property. A kleptocratic state is usually thoroughly corrupt, has very little production and its economy is unstable. Many failed states represent kleptocracies.

References

External links

• Plutocracy Defined

See also

• Corporate abuse
• Corporatism
• Corporatocracy
• Netocracy
• Megacorporation
• Special interest
• Anti-globalization