Stakeholder Government?

Stakeholder Government? 

 

Other money will be allocated to speed the adoption of AI in sectors such as agriculture and health care, the statement said. The funds “will help harness the full potential of AI so Canadians, and especially young Canadians, can get good-paying jobs while raising our productivity, and growing our economy,” Trudeau said.

 

-      Trudeau Unveils $1.8 Billion Package for Canada’s AI Sector, Bloomberg 

 

By Gregg Wall (4-13-2024)

 

Stakeholder capitalism was the hot buzzword or term in the 2020 general election, but the term seems to have fallen out of favor.  Stakeholder capitalism essentially means the spoils of capitalism should be shared, to some degree, by the stakeholders: consumers, labor, smaller businesses along the supply chain & within the community, the larger community itself, and arguably the government itself, in the form of said business actually paying taxes.  This idea runs contrary to the belief, largely held among many mainstream economists & Wall St., that businesses should serve exclusively ‘animal spirits,’ a/k/a greed, a/k/a shareholder value.

 

The term, ‘stakeholder capitalism,’ came to mind this week as we all watched PM Justin Trudeau seemingly do what he does best, hand out corporate welfare.  Mr. Trudeau delivered $2.4 billion (CAD) in taxpayer money, like candy, to boost the AI industry in Canada.  In his announcement, all the key buzzwords were there: tech, well paying jobs, helping Canadians, the economy, growth, etc., etc.  All this, despite the fact that many in the Tech industry have been calling for a pause and restraint, concerning AI.  In all fairness to Mr. Trudeau, he’s not alone in his love of socialism for multinationals and the wealthy.  Biden burned his first two years in office, with House and Senate majorities, not delivering BBB, not delivering on abortion, a higher minimum wage, or the more generous iteration of the child tax credit (the COVID version)… but rather, doing what Western leaders, centrists, corporatists, and neolibs do best, shoveling out the corporate welfare by the billions (w/ money printed up by central banks and funded by the taxpayer, many of whom are being crushed, presently, by corporate greed).  See, for example, Mr. Biden’s comparable Chips Act, where the president will pay billionaires and chip utilities, already swimming in unimaginable profits, to return operations to U.S. shores. Who said trickle-down is dead?  And that’s exactly what corporate handouts are: trickle-down fiscal policy. 

 

All of which begs the question, why is Canada, the United States doling about billions to big business, tech, and utilities?  And where does it all go…. CEO pay packages, dividends for shareholders, greed, kickbacks to sleazy politicians, stock buybacks?  One of the greatest boondoggles are the stadiums local, state, and provincial governments fund for billionaires and professional sports teams.  Not only is this form of socialism for the rich entirely unnecessary, but conveniently, seemingly, nobody goes back after the fact to learn if all the taxpayer funded largesse actually yields the purported results (in terms of ‘well-paying jobs,’ boosting the economy, and business ‘growth’).  Although we do know taxpayer funded stadiums are a waste, and rarely, if ever, deliver the alleged benefits back to the community and taxpayer.  In short, it’s a scam. 

 

Meanwhile, conservatives/libertarians throw a tantrum at the mere thought of free school lunches for little Jimmy or Sally.  Right?

 

All this begs the questions, if the private sector is the end all, be all of the economy, the cornerstone of human existence… why all the poverty, why the growing tent cities, why the endless greed, price gouging, and inflation?  Why the endless race to the bottom among governments & politicians, who conveniently play along with the scam?  Why the endless taxpayer funded socialism for a privileged few and endless austerity for citizens?  Why all the extravagant national debt backstopping failed neoliberalism?  And if governments are shoveling it out, why not have the governments produce the goods or services themselves to better ensure competition, growth, jobs, opportunities, and the money is well spent?  Since private sector cartels & monopolies are married to the state (see again, privatized profits, socialized losses), why not let the state produce the goods & service, preferably with audits and oversight by NGOs and third parties?  The reason is obvious: because in many instances, the state, unfettered, would humiliate the private sector.  It’s also much harder for state run enterprises to kickback to politicians, which is the real reason why politicians can’t fund privatization initiatives fast enough. 

 

Hell.  Next time some scumbag billionaire insists upon a new stadium and shakes down local, provincial, or state government(s) for a taxpayer funded stadium… why not tell said scumbag to get the hell out of Dodge, and inform Mr. Scumbag that the province will create its own professional team and join the league, insist upon joining the league.  In this manner, all the benefits of said sports team accrue, exclusively, to the taxpayer.  Talk about building up state or provincial budgetary surpluses, or pay down state or provincial debt & deficits. 

 

In fact, while we are on the topic, where are all the caveats and conditions on how all this corporate welfare is spent (surrounding all the billions Messrs. Biden, Trudeau, and Western leaders are shoveling out the door)?  You won’t find any caveats or conditions.  Why isn’t the Chips Act paid back, at least in part by the industry?  Why isn’t the Canadian taxpayer receiving a cut in future AI profits, as a result of Mr. Trudeau’s generosity?  (What about all the drug research the American taxpayer funds that is handed over to Big Pharma, year, after year, after year?)  Where are the audits and guarantees?  You won’t find any. 

 

At a time that national debt is growing higher and higher, in Europe, N. America, and the UK... at a time that social spending and public services are the first to be cut (see Social Security in America)...  isn’t it time for responsible stewardship of public monies by politicians and not a band of insiders and thieves that are helping themselves to the public till???  At a time of endless austerity for the public and endless socialism for Bay and Wall Street… really, who has the public’s back?  Seemingly, no one. 

 

Stakeholder capitalism appears to be dead and buried… another casualty of crony capitalism & greed… perhaps, Stakeholder government will take off?  After all, don’t we all live in ‘democracies’… you know, governments that allegedly serve the people, governments that are ‘by and for’ the people.  Elected politicians that, allegedly, serve the greater good and not donors and themselves?  Wild concepts, I know.  Perhaps, dated even?  If that’s the case, shouldn’t we ditch the charade and begin the revolution?

 

The bottom line, we need people in power, who make it their passion to think outside the box and make sure budgets, spending measures, and the national debt are their personal responsibility... as closely guarded as they guard their own money.  Elected leaders who are constantly looking for ways to serve the, presently, disenfranchised taxpayer, not a small group of billionaire crooks & oligarchs.  And especially, not themselves. 

 

Stakeholder government, a/k/a democracy… has a nice ring to it. 

Copyright JM Hamilton Publishing 2024