Showing posts with label corporate America. Show all posts
Showing posts with label corporate America. Show all posts

Thursday, June 5, 2025

Musk vs. Trump: American Business and Government at Loggerheads?

When the wealthiest person in the world and the President of the United States cross swords, people are bound to notice. Such a very public clash between billionaires, one of whom is the most politically powerful person in the U.S., should not lead the rest of us to infer that the interests of large corporations and the U.S. Government, including the respective executives and elected representatives, typically conflict. Corporate and individual mega-donations to political campaigns, the proverbial “revolving door” between working in government and at a corporation, the reliance of regulatory agencies on information from the regulated companies invite the exploit of conflicts of interest such that legislation and regulations are even written by corporate lawyers for their respective companies’ financial interest. Furthermore, that many very large American-based corporations have interlocking boards of directors gives corporate America considerable unified force in seeing to it that Congress and the federal president remain friendly to business interests. That both benefit from the status quo and have de jure or de facto vetoes of reform proposals reinforces the staying power of the club. Even as U.S. Senator Bernie Sanders enjoyed considerable media attention and crowds in his speaking tour against oligopoly (i.e., consolidation within an industry such that companies can set prices at will and can thus extract extra profit beyond that which would accrue in a competitive market), it would be wildly optimistic to hope for an onslaught of anti-trust enforcement from a Republican or Democratic administration.

Even though U.S. President Trump claimed in early June, 2025, that he had told Elon Musk to leave the Administration because Musk was “wearing thin,” and Secretary of State Rubio would doubtless attest to that, it should not be forgotten that Musk had spent more than $250 million “helping President Donald Trump win a second White House term.”[1] Musk “also spent more than $19 million in the final weeks of the 2024 election cycle to help Republicans win narrow majorities in Congress.”[2] Even though Musk was the richest person in the world at the time, to spend so much money and yet be inattentive to how his companies could benefit from government contracts and electric-car subsidies defies human nature. Indeed, even though Musk denied opposing Trump’s tax and government spending “Big Beautiful Bill” because of the cuts to EV subsidies, Trump had a point that the negative financial impact on Tesla was not a point in the bill’s favor to Musk. To be sure, Musk’s complaint about too much “pork” and thus deficit spending being major problems in the bill that the U.S. House had recently passed by a single vote is valid. Nevertheless, lest it be assumed that a dispute on public policy between two billionaires is in the interest of the poor and middle-class, Musk registered no complaint about the cuts to Medicaid, which finances healthcare for the poor who cannot afford private health-insurance, and food assistance for the poor.

Even in the midst of an argument between billionaires in business and government, we cannot assume that the conflict of political-economic interests among the elite results in the enactment of public policy that is in the public interest. In Trump’s bill, for example, even though less money would subsidize electric vehicles, there were no reductions of subsidies in the bill that passed the House for coal and oil companies. The grip of those companies in Congress and the Trump Administration could be assumed to be tight in spite of the global average temperature having reached 1.5C degrees, which the Paris Accord of 2016 set as a threshold. The cozy relationship amid climate change puts in stark relief the distinction between private interests and the public interest.

When asked at the Qatar Economic Forum in 2025 whether he would continue making political donations as he had in 2024, Musk replied, “I think I’ve done enough.”[3] It should not be missed that he added, “Well, if I see a reason to do political spending in the future, I will do it.”[4] It would be of value to the American political economy if he would do contribute to political campaigns aimed at breaking up the cosy relationship that CEO’s and (and the corporations) have with elected officials and regulators at both the state and federal systems of government in the U.S.; by “breaking up,” I mean something more substantial and structural than barring government officials and employees from being hired by corporations that have benefitted from the work of the officials and employees.

Instead, I recommend a return to competitive markets and even possibly limiting political-campaign contributions of corporations and the ultra-rich, for the financial influence of large concentrations of wealth on elected officials and appointees tilts the political economy away from being oriented to the public interest, which is not arrived at by the entanglement of certain powerful private interests. To be sure, going so far as trying to eliminate the gravitas of wealth politically would be utopian and thus a fool’s errand, but public policy could be formulated and enacted that is aimed at reversing or countering at least some of the self-interested tilt of the American political economy that so benefits members of the club—Trump and Musk included. Nor is Socialism necessarily the answer to protecting the poor and middle-class from the self-interested endeavors of the interlaced economic and political elites, for Adam Smith’s invisible hand can do wonders to regulate price if only competition is restored to oligopolistic industries, which includes even social-media companies.

Trump’s threat to cut off Musk’s SpaceX from government contracts and Musk’s acknowledgement that he might make sizable political donations even though he was disappointed in Trump’s bill for its pork and probable significant addition to the U.S. federal debt indicate that politicians have considerable discretion being able to benefit companies financially and that CEO’s can make use of such discretion by legally paying off political candidates and those office-holders who are up for re-election and would all too easy exploit a personal conflict of interest by bending public duty to private campaign-interest. Using ambition to check ambition is part of the genius of the American political system of checks and balances, but as the ambitions are solely among the wealthy, it cannot be assumed that the public interest is necessarily being served by the resulting public policies, for collusion even between contending ambitions does indeed exist even if the publicly-aired arguments among the elite of the political economy are more titillating.


1. Kevin Breuninger, “Elon Musk Says He Will Spend ‘A Lot Less’ on Future Campaign Donations,” CNBC.com, May 20, 2025.
2. Ibid.
3. Ibid.
4. Ibid.

Thursday, December 12, 2024

On the Hidden Police Power of Corporate America

After the UnitedHealthcare chief executive “was gunned down by a masked man outside a Manhattan hotel” in New York City, “a days-long manhunt” occurred that “spanned several states.”[1] The fact that only a few days were needed to find the suspect, Luigi Mangione, indicates just how massive and public the manhunt was. For it was not just any murder, as if the murder of a person who is the chief executive of a large corporation were worth so much more than that of the rest of us. I suspect that the influence of the company, and, moreover, corporate America, on local police in any U.S. member state is more than reaches the headlines. The case at hand my even suggest that that influence includes even tacit instructions to treat anti-corporate suspects of murder violently both in retaliation and as a visible reminder to other potential killers that CEOs are off-limits.

As Pennsylvania sheriff employees took Mangione from a vehicle to the back door of a courthouse, at least two of the employees shoved the suspect—and, remember, in the U.S. a suspect is presumed innocent unless or until proven guilty in a court of law—into a wall even though the wall was not on the way from the vehicle to the back door. In other words, the unnecessary violence was not on the way to the back door, and nor was the suspect resisting going into the courthouse. I contend that the unnecessary violence was at the behest of the corporation whose CEO the suspect allegedly shot. At that time, the evidence that would be found had not yet been found, as per the defense attorney’s statement in the courthouse. Whether the violence being maliciously applied by sheriff employees was merely to show the world how a suspect accused of killing a CEO gets treated by law enforcement, or to stop the suspect from speaking to the media present on his way to the backdoor is not clear. It seems to be possible, at the very least, that corporate instructions given to the police in Pennsylvania included: Don’t let the guy get his anti-corporate message out. This would be ironic, given that corporations had at the time the right of free speech, even through spending as if money constitutes speech.

That Mangione was not resisting going into the courthouse and yet was manhandled rougher than suspects were typically treated at the time may give Americans, as well as the world, a glimpse into the power that large concentrations of private wealth (which is what a corporation is) even as translated into raw violence. The use of police by companies in twentieth-century America to beat workers on strike is well documented. What I am suggesting is that local police were still susceptible to wealthy private interests such as corporations into the next century, at least as of the 2020s. I contend that any contact between police departments and the healthcare insurance company would properly have been limited to the police gaining information in the search for the killer.

Another indication of an over-reaction by local police occurred days after Mangione had been arrested, when Briana Boston was charged with a felony “with one count of making threats to conduct a mass shooting” during a phone call with Blue Cross Blue Shield, her health-insurance company, which was denying a claim that she had submitted. Obviously angry, she said, “Delay, deny, depose. You people are next.”[2] The phrase, “delay, deny, depose,” had been written on bullets by Mangione in reference to tactics that insurers use to avoid paying out claims and had become popular online. Because of the popularity, it could not be assumed that the woman was planning on writing the three words on bullets; the phrase had entered the lexicon. In fact, “(a)ccording to a consumer survey by KFF, more than half of insured [American] adults [had] experienced problems with their insurance provider, and some [of those adults] reported serious consequences.”[3] Strangely, the local police in Lakeland, Florida, said that her statement could be taken as probable cause of “making a threat to conduct a mass shooting . . ., according to the affidavit.”[4] A reasonable interpretation of, “you guys are next,” is that if Blue Cross continues to screw policy holders who do their part in paying premiums, someone may eventually go too far in retaliation. She did not say that she was going to take any violent action, or what that action might be. Given that she was momentarily angry, and perhaps justifiably so, the police employee who leapt to the conclusion that the woman was saying she would conduct a mass killing is ludicrous, and yet the police had the discretion (and thus power) to make an example of the woman by charging her with a crime carrying a fourteen-year sentence, without her having done anything. Had being angry at customer-service employees become a crime? Or, had free-speech that is objectionable to big business become a crime? If so, could corporations next go after certain thoughts, using employees of local police departments who dismiss protecting the public as dutiful sycophants?

We can turn the Lakeland police investigation on its head by investigating that department. It is significant that “Lakeland, Florida police said they were contact by the FBI . . . in response to the alleged threat.”[5] That the police did not waste any time and did not seem to second-guess the FBI may suggest that the FBI had been determined to snuff out the “potential” copy-cat. To be sure, the FBI may simply have been over-cautious, but even that could have been due to pressure from Blue Cross or elected officials who have received campaign contributions from the giant company. That both the FBI and the local police department in Florida would knowingly seek to charge an angry policy holder of a crime that carries a sentence of 14 years in prison indicates a grossly disproportionate reaction, which itself could point back to the deference that the FBI (and local police) give to business in doing its bidding, even to scare the public.

As an anecdote, once when leaving a restaurant after barely eating a very badly cooked meal, I was speaking to people in the shopping center’s parking lot about the food. The manager of the restaurant got wind of this and approached me even though I was no longer on her establishment’s property. “The police here are my friends!” she warned me. “Keep talking about my restaurant and I will get them to make you leave.” The manager’s sheer presumptuousness was laughable, so I kept talking as was my right. She did call her friends, who told me I had to leave the parking lot even though that lot was not owned by the restaurant. That the police dismissed my legitimate objection told me enough; I moved to another suburb of Phoenix only months later; Mormon-run Mesa was simply too corrupt (and drug-ridden).

If my small window into the deference that local police pay to small business in falsely enforcing law that is not really law is correct, it is not difficult to conjecture that the FBI as well as local police may be unduly biased towards, perhaps even de facto working for, large corporations. The sort of unaccountability in accusing a distraught policy-holder of mass murder (even without noticing that she had no record of violence and not even a gun!) and being willing to put her in prison for fourteen years, likely to send the public a message from the large corporations, is consistent with the lack of accountability generally on market participants that are so large and wealthy that even competition is stifled that so enrages consumers and thus prompts anti-corporate politics. The connection can be found in Adam Smith’s claim that one of the main rationales for government is to protect the wealthy from the poor, who would otherwise steal the wealth. Does this hold of the governments in the U.S., or is the public to be served? The official answer may differ from the real answer.

That the governments in the U.S. have allowed companies to become so large as to choke competition without anti-trust law being enforced—something that Adam Smith would not like—is yet another indication of the “under the table” power of large corporations in the United States, thanks in part to unlimited political campaign contributions being legal. Perhaps elected officials were the people delivering the instructions from the health insurance company to the Pennsylvania sheriff in Altoona: Be rough with the guy and don’t let him speak to the media. Push him up against a wall if you want. Grab him by the neck. Show the world what happens if someone goes up against corporate America.  Hence the anti-corporate political movement in a democracy that is premised on accountability rather than plutocracy with impunity.

My main point is that institutionally, or structurally, very large and wealthy private companies, whether corporations or privately held, are incompatible with not only market competition, which ensures fair prices (even at grocery stores after a pandemic), but also political democracy, wherein one person has one vote and thus is just as important as the next. Whether a man on the street or a corporate CEO is murdered, the police-response should be the same in terms of the cost and effort in the manhunt and how the suspects are treated. Innocent until proven guilty means that police violence against a suspect who is not being violent or resistant is itself a crime regardless of how rich the victim’s family or company happens to be. 

The case of the health insurance CEO’s murder in December, 2024 was deliberately not supposed to be a vehicle for getting an anti-corporate message out—with even violence being used to enforce this proscription—but how the Pennsylvania police aggressively treated the suspect unabashedly in public view can be seen as a poster advertising the interlarding of corporate power at the expense of accountability in American democracy. Both economically and politically, it can be asked whether large corporations are accountable in the United States; politically, the same question may be asked of the local police departments in the member states. The American governments in the U.S. could do worse than apply anti-trust law to a variety of markets and apply criminal law to local police departments whose actual paymasters can be characterized proverbially as the man behind the curtain—an allusion to the hidden Wizard in the film, The Wizard of Oz. Then again, perhaps Mr. Smith Goes to Washington is a more pertinent film, as the senator played by Jimmy Stuart filibusters for hours and hours against corruption in his home state.


1. Jessica Parker and Nadine Yousif, “Luigi Mangione Fingerprints Match Crime-Scene Prints, Police Say,” BBC.com, December 11, 2024.
2. Pocharapon Neammanee, “Woman Arrested After Saying ‘Delay, Deny, Depose’ On Call With Insurance Company,” The Huffington Post, December 12, 2024.
3. Ibid.
4. Ibid.
5.Ibid.