Thursday, November 03, 2011

Corporate Whining Is An American Tradition

The cartoon above from the excellent site called Ampersand is very funny, but it also reveals a fundamental truth about corporations -- they will never give up any of their power or stop abusing their employees (or the public) until they are forced to do so. Anytime their abusive tactics are brought up, their response is always the same -- they can't stay in business unless they are allowed to continue doing whatever devious and abusive thing is being discussed. And their whining is never true.

In fact, corporations have been whining for so long that it could almost be considered to be an American tradition. In the 19th century they were whining that allowing workers to unionize and to strike would put them out of business. But unions were formed and workers did get the right to strike, and the corporations survived just fine. Workers got better wages and corporations continued to turn a profit.

In the early part of the 20th century the corporations tried to convince Americans that instituting safe working conditions, outlawing child labor, and creating the 40-hour work week would put them out of business. But sweatshops were outlawed along with child labor and the 40-hour work week became a reality. And guess what, the corporations continued to turn a profit.


The whining even continued into the 60's and 70's, when the corporations claimed that equal pay for women & African Americans, making work sites safer, and protecting the environment would put them out of business. But OSHA made work sites safer, the EPA instituted regulations to protect the environment, and equal pay laws were passed. And once again the corporations not only survived, but continued to make healthy profits.

And the tradition continues. Now the corporations are telling us (along with their Republican and blue dog lackeys) that they cannot compete and stay in business unless they are allowed to outsource American jobs to foreign countries, and get more government giveaways (like subsidies and huge tax cuts). Those are LIES -- just like in the past.

The truth is that corporate survival and profits are not determined by taxes or outsourcing or subsidies, anymore than they were determined by child labor, unequal pay, unsafe work sites, environmental pollution, or anti-union measures. Profits are determined by one thing -- demand for the corporation's goods or services. If the demand is high, then the profits will be high. If the demand is low, then the survival of the corporation is in doubt (unless they can somehow increase that demand).

If corporate executives were smart they would encourage government to create new jobs and help the poor and educate children -- because when ordinary Americans do well, everybody does well. When ordinary Americans have money to spend, demand is created for a variety of goods and services (which benefits businesses and corporations).

Sadly though, all most corporate executives can think about is the short term -- and manipulating their stock to increase their next bonus. So they whine -- in the hope that their own incompetence and malfeasance won't be discovered.

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