The Poster child for Corporatism
Reader comment on: Nobel Laureate Economist Phelps on Capitalism and Corporatism
Submitted by Lyle (United States), Aug 20, 2013 14:17
Is John Pierpont Morgan. He believed competition was a bad thing since it decreased profits. US Steel was founded partly to stop the innovation of Carnige Steel, who was eating the lunch of all its competitors, as it could make money even when the economy was down. He also believed that railroads should cooperate, not compete and used his position as the uber investment banker to make it so. So in addition to government to some extent you have the investment bankers pushing corporatism. (Even when government was not as large a part of the economy as today).
In general IMHO business folks do not like free competition when they are the ones being competed with, starting with the Guilds in the Medieval times, which arose from essentially self governing cities at the time.
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The Future of Capitalism replies:
Phelps write about the guilds, too.
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