ofof and the CorporationsCorporations DeteriorationDeterioration Democracy.

ofofofof

and theand theand theand the

CorporationsCorporationsCorporationsCorporations

DeteriorationDeteriorationDeteriorationDeterioration

DemocracyDemocracy

… …focusing less on the focusing less on the INSTITUTIONS AND RULES enabling INSTITUTIONS AND RULES enabling corporations to apply that power to corporations to apply that power to harm the Earth and its inhabitants. harm the Earth and its inhabitants.

The people of the United States The people of the United States have historically focused more have historically focused more

on the environmental and public on the environmental and public health EFFECTS of corporate health EFFECTS of corporate

power, while…power, while…

wealth & power of transnational wealth & power of transnational corporations have grown.corporations have grown.

All the while, theAll the while, the

Corporations use trade and investment rules to dominate

processes for managing commerce. In the U.S., legal doctrines such as

“corporate personhood” have shifted the power to corporations

over natural persons.

ON THE ENVIRONMENT…

Many corporations despoil our forests, degrade the land, pollute the air and water, and resist public health regulations.

ON OUR CULTURE…

Corporations promote consumption and materialism to the detriment of civic values.

The Consequences of Concentrated The Consequences of Concentrated Corporate PowerCorporate Power

Source: Challenging Corporate Rule, United for a Fair Economy, January 2000

IN THE EXCHANGE OF IDEAS…

The concentration of corporate media ownership limits political debate, the diversity of viewpoints presented, and media access.

ON GOVERNMENT…

Large corporations wield enormous political and electoral power.


ON SOCIETY…

Corporations are usurping civic space. Public functions are being privatized.

ON THE MARKETPLACE…

Mergers and monopolies eliminate competition and remove jobs.


Outline of PresentationOutline of Presentation

I. Examine the nature of the corporation - legally, economically, and politically.

II. Explore the history of how corporations acquired such wealth and power.

III. Cite examples of how corporate power affects the concerns of the people of the United States.

Outline of PresentationOutline of Presentation

IV. Review tactics that citizens and non-governmental organizations are using to hold corporations accountable and to redefine the relationship between citizens and corporations.

V. Identify corporate accountability challenges for the people of the United States.

What is a Corporation?What is a Corporation?LEGAL DEFINITIONLEGAL DEFINITION

• An ARTIFICIAL PERSON or LEGAL ENTITY,

• Created by or under authority of the laws of a STATE OR NATION,

• Composed, in rare instances, of a single person and successors. Ordinarily, an ASSOCIATION OF NUMEROUS INDIVIDUALS,

• Regarded as having a PERSONALITY AND EXISTENCE distinct from its members,

Source: Black’s Law Dictionary

• Vested with the capacity of CONTINUOUS SUCCESSION, irrespective of changes in membership, in perpetuity, or for a limited term of years,

• Acting as a UNIT OR SINGLE INDIVIDUAL, in matters relating to the common purpose of the association,

• Within the scope of POWERS AND AUTHORITY conferred on such bodies BY LAW.

Source: Black’s Law Dictionary

Source: Challenging Corporate Rule, United for a Fair Economy, January 2000.

HUMANSHUMANS CORPORATIONSCORPORATIONS

AWARDED RIGHTS AWARDED RIGHTS OF NATURAL OF NATURAL

PERSONSPERSONS YESYES YESYESCAN EXIST CAN EXIST FOREVERFOREVER NONO YESYESOWNERS OWNERS

PERSONALLY PERSONALLY PROTECTED FROM PROTECTED FROM

FINANCIAL LIABILITYFINANCIAL LIABILITYNONO YESYES

People v. CorporationsPeople v. Corporations

Tax Effort By Corporations

Size & Power

Corporate Pork Barrel

Merger Mania – Consolidations

and Layoffs

Influence of Money in Elections

How Wealthy and Powerful Have How Wealthy and Powerful Have Corporations Become?Corporations Become?

Corporations Have Acquired Corporations Have Acquired Tremendous Wealth and PowerTremendous Wealth and Power

• In 2002, 52 of the world’s largest 100 economies were corporations.

• Approximately 60% of all world trade is between firms within the same parent corporation.

Sources: Institute for Policy Studies, 1999 , 2000 and 2001 Reports, Global, Inc.

With 2002 sales of $246 billion, With 2002 sales of $246 billion, WalWalMart is Mart is larger than 150 countrieslarger than 150 countries, including…, including…

WALMART

Source: Institute for Policy Studies, 2005 Report.

Poland $187 Billion

Norway $189 Billion

and Greece $132 Billion

••The gap between The gap between average CEO pay and average CEO pay and worker pay has risen worker pay has risen from 42 to 1 in 1982 to from 42 to 1 in 1982 to 301 to 1 in 2003. 301 to 1 in 2003.

Field Guide to the Global Economy, 2005.

• In 1999, over 1/2 the sales of the largest 200 corporations were in just 4 economic sectors.

•In AUTOS, the top 6 firms produce 75% of the world’s motor vehicles.

• In ELECTRONICS, the top 5 firms have garnered over ½ the global sales.

Merger Mania Has Led to Merger Mania Has Led to Consolidations and LayoffsConsolidations and Layoffs

Source: www.inequality.org, Global, Inc. 2003.

•From 1998-2000 there were $3.7 trillion in mergers in the United States.

•The total value of cross-border merger and acquisition transactions in 2000 was $1.1 trillion, about 50% higher than in 1990.

Source: Too Much, Winter 2000, p.9; Jeff Gates, Shared Capitalism Institute, Jan. 16, 2000; Adbusters, Aug/Sept 2000, p. 40; www.inequality.org.

•In 1998, 678,000 Americans were laid off from their jobs, the highest total in a decade.

•In 2001, a total of 986,424 people were laid off worldwide from the top 500 U.S. companies.

Source: Too Much, Winter 2000, p.9; Jeff Gates, Shared Capitalism Institute, Jan. 16, 2000; Adbusters, Aug/Sept 2000, p. 40; www.inequality.org,

www.forbes.com.

TAX BREAKS Credits Deductions Exclusions

DIRECT PAYMENTS Subsidies Assistance

Child Welfare Food Stamps Nutrition Block Grants Housing Public Assistance

1994

CORPORATE $104.3

SOCIAL $75.1

$ B

ILLI

ON

SCorporate Pork Barrel v. Social WelfareCorporate Pork Barrel v. Social Welfare

Source: Office of Management and Budget, 1994.

•NONE of the 44 U.S. corporations in the year 2000 Institute of Policy Studies Top 200 Study paid the full corporate income tax rate from 1996-98.

•According to the U.S. General Accounting Office, between 1996 and 2000, 61% of all U.S. corporations paid no taxes at all.

Source: Institute of Policy Studies, 2000 and 2002 Report. Field Guide to the Global Economy, 2005.

Corporate Giants Adept at Corporate Giants Adept at Avoiding TaxesAvoiding Taxes

33%

43%

31%

49%

27%

57%

21%

66%

15%

72%

15%

73%

40s 50s 60s 70s 80s 90sCorporations Individuals

Percent of Federal Tax Collections from Percent of Federal Tax Collections from Individual & Corporate Income TaxesIndividual & Corporate Income Taxes

Source: Bartlett and Steele; America: Who Really Pays the Taxes?, p. 140 (The Growing Divide: Inequality and the Roots of Economic Insecurity, p. 19, United for a Fair Economy, May 2000).

WHATWHATIS THEIS THE

GROWINGGROWINGECONOMICECONOMIC

DIVIDE?DIVIDE?

0

20

40

60

80

100

120 +116%

+100%+111% +114%

+99%

+86%

Bottom 20%

In 1979: up to

$9,861

Second 20%

$9,861-$16,215

Middle 20%

$16,215-22,972

Fourth 20%

$22,972-$31,632

Top20%

$31,632and up

Top5%

$50,746and up

Perc

en

tag

e C

han

ge

Sources: Analysis for Census Bureau data by Lawrence Mishel and Jared Bernstein, The State of Working America 1994-95 p. 37. Income Ranges in 1979 dollars from March 2000 Census Current Population Survey, Table F-1. (The Growing Divide: Inequality and the Roots of Economic Insecurity, United for a Fair Economy, March 2004).

We Grew Together

1947 to 1979 – Real Family Income 1947 to 1979 – Real Family Income Growth by Quintile and for Top 5%Growth by Quintile and for Top 5%

0

20

40

60

80

100 We Grew Apart

Bottom 20%

up to $24,117

Second 20%

$24,117-$42,0577

Middle 20%

$42,057-$65,000

Fourth 20%

$65,000-$98,200

Top20%

$98,200and up

Top5%

$170,082 and up

-2%+8%

+15%+26%

+51%

+75%

Perc

en

tag

e C

han

ge

1979 to 2003 – Real Family Income 1979 to 2003 – Real Family Income Growth by Quintile and for Top 5% Growth by Quintile and for Top 5%

U.S. Census Bureau, March 2001 Census, Current Population Survey, Tables F-1 and F-3. Income ranges in 2001 dollars. (The Growing Divide: Inequality and the Roots of Economic Insecurity, United for a Fair Economy, March 2004).

05

101520253035404550

lowest

fifth

second

fifth

third

fifth

fourth

fifth

top

fifth

1961-68

1991-98

Source: Changes in family income in 1998 dollars for the upper limit of the lowest, second, third, and fourth quintile, and the lower limit of the top 5% of families by income. Annual data from U.S. Census Bureau (Dollars & Sense, May/June 2000).

DISTRIBUTION OF FAMILY INCOME

PER

CEN

TA

GE C

HA

NG

E IN

FA

MIL

Y IN

CO

ME

Percentage Change in Real Family Percentage Change in Real Family Income 1960s v. 1990sIncome 1960s v. 1990s

0%

10%

20%

30%

40%

50%

60%

70%

80%

White

Families

African-

American

Families

Latino

Families

38%

79%73%

Many families are forced to live on the edge.

Source: Melvin Oliver and Thomas M. Shapiro, Black Wealth, White Wealth (1995), p. 87 (The Growing Divide: Inequality and the Roots of Economic Insecurity, March 2004).

Percentage of Families Whose Savings Percentage of Families Whose Savings Would Run Out in 3 Months or LessWould Run Out in 3 Months or Less

Ownership of Household Wealth in Ownership of Household Wealth in the United Statesthe United States

In only 25 years, the Top 1% gained 10% of the pie. The

Bottom 99% got squeezed.

Wealthiest 1% Bottom 99 %

22%

78%

38%

62%

1976 2001

For 1976: Edward N. Wolff, Unpublished data. For 2001: Arthur B. Kennickel, A Rolling Tide: Changes in the Distribution of Wealth in the U.S. 1989-2001, Jerome Levy Economics Institute, November 2003. United for a Fair Economy.

32.7%

25%

12.1%

27.4%

2.8%

Top 1%

95-98%

90-94%

Next 40%

Bottom 50%

Source: www.inequality.org

Distribution of U.S. Wealth Distribution of U.S. Wealth Ownership, 2001 Ownership, 2001

(by population segments)(by population segments)

4400.0%

15.0%

Wealthiest 1% ofAmerican Households

Next Wealthiest 9% ofAmerican Households

Bottom 90% ofAmerican Households

Source: Edward N. Wolff, “Recent Trends in Wealth Ownership, 1983-1998.” Calculations based on the 1998 Survey of Consumer Finances, conducted by the Federal Reserve Bank. (The Growing Divide: Inequality and the Roots of

Economic Insecurity, March 2004).

Share of Total Ownership of Stocks and Share of Total Ownership of Stocks and Mutual Funds, 2001Mutual Funds, 2001

1.40% 1.90% 2.30%

11.70%

27%

Poorest 20% 2nd Poorest20%

Middle 20% 2ndWealthiest

20%

Wealthiest20%

% Increase in Income 1979-1998

In 2003, the wealth of the world’s 587 billionaires was greater than the combined incomes of the poorest half of humanity.

Source: Rachel’s Environment and Health Weekly, Field Guide to the Global Economy, 2005.

Global InequalityGlobal Inequality

•In the 2000 Federal election campaigns, corporations out-spent labor by 15-to-1.

•In the 2004 federal election cycle, finance, insurance, and real estate corporations led all sectors, giving $331 million to federal candidates.

Source: Center for Responsive Politics; Capital Eye, Vol. 6 No.4

Corporations Have Used Their Wealth & Power Corporations Have Used Their Wealth & Power to Sway Elections and Lawmakingto Sway Elections and Lawmaking

•Between 1998 and 2004, both Verizon corporation and General Electric corporation each spent over $100 million in lobbying expenditures.

Source: www.publicdomainprogress.com

Corporations Use Governments to Corporations Use Governments to Distort the Public InterestDistort the Public Interest

•• In June 2005, the U.S. Supreme Court approved the use of In June 2005, the U.S. Supreme Court approved the use of eminent domain for business developmenteminent domain for business development - making it - making it legal for local governments to seize homes and legal for local governments to seize homes and businesses, against the owners’ will, for the construction of businesses, against the owners’ will, for the construction of residential, commercial, and manufacturing developments residential, commercial, and manufacturing developments by giant corporations such as Wal-Mart and Target. by giant corporations such as Wal-Mart and Target. Eminent domain had previously been limited to Eminent domain had previously been limited to development for public use, such as schools, roads, and development for public use, such as schools, roads, and bridgesbridges ((Kelo v. City of New LondonKelo v. City of New London (04-108)). (04-108)).

http://money.cnn.com , June 2005http://money.cnn.com , June 2005

•The public sphere of decision making is shrinking with the increasing privatization of services formerly provided through the public sector.

Corporations are Increasingly Usurping Corporations are Increasingly Usurping Civic Space/DemocracyCivic Space/Democracy

Sources: Recent Trends in Wealth Ownership, Edward Wolff, April 2000; Business Week, Mar. 11, 1996, p. 65; The End of Politics, Carl Boggs, 2000, p. 11; Institute of Policy Studies 2000 Report.

•A September, 2000 Business Week/Harris Poll showed that 77% of U.S. adults believe corporations have gained too much power over American life.

abc

CNN

Disney owns

CBS

Viacom owns

General Electric owns

AOL Time Warner owns

Source: United for a Fair Economy

NBC

Who Owns the News Media?Who Owns the News Media?

0

5

10

15

20

25

30

35

40

1936: Sit-Down Strike in Flint, MI

1937: Wagner Act

World War II

1947: Taft- Hartley Act Manufacturing

Declines in U.S.

1981: Reagan Breaks PATCO

1998: 13.9% Unionized

Percentage of the workforce represented by a labor union. 1930-2002

Source: Bureau of Labor Statistics, published in The Growing Divide: Inequality and the Roots of Economic Insecurity, United for a Fair Economy, March 2004.

U.S. Labor Unions Have Historically U.S. Labor Unions Have Historically Confronted Corporate Power.Confronted Corporate Power.

2002: 13.2%

Unionized

Trade treaties like NAFTA, GATT, CAFTA and GATS set rules favoring corporations resulting in:

•Well paying unionized US manufacturing jobs shifting to low-wage countries

•Lower wages and living standards everywhere

•Weakened worker rights in all nations

•Environmental damage domestically and in other countries

•Cuts in social safety nets

FOR SALE

Source: The Growing Divide: Inequality and the Roots of Economic Insecurity, p. 19, United for a Fair Economy, May 2000.

Global trade treaties represent Global trade treaties represent corporations over the environment, corporations over the environment,

workers, and communitiesworkers, and communities..

On the Rise:

Big Campaign

Contributors

Corporate Lobbyists

Corporations

Investors

Wall Street

In Decline:

Voters

Labor Unions

Wage Earners

Employees

Main Street

The Power Shift since the 1980s Who has been setting the

agenda for economic policies?

Source: The Growing Divide: Inequality and the Roots of Economic Insecurity, United for a Fair Economy, May 2000.

Q: Why Has This Happened?Q: Why Has This Happened?A: A Power Shift Led to Rule ChangesA: A Power Shift Led to Rule Changes

HOWHOWDIDDIDTHISTHIS

HAPPEN?HAPPEN?

These Crown Corporations, such as the Massachusetts Bay Corporation, and:

Global Corporations, such as the East India Company

•established vast systems of trade and governance

•ravaged lands

•killed and enslaved millions of people


1500-1770: Joint Stock Companies and 1500-1770: Joint Stock Companies and Royal Charter Corporations Established Royal Charter Corporations Established

Trade Monopolies for ColonizationTrade Monopolies for Colonization

Corporate Directors could:

•wage war

•seize the commons

•force human labor

•judge and punish

•redefine the rights of the corporation


These Corporations had Powers Like These Corporations had Powers Like Dictatorial GovernmentsDictatorial Governments

No Rights were held by:

•employees

•subjects

•neighbors

•victims


These Corporations had Powers Like These Corporations had Powers Like Dictatorial GovernmentsDictatorial Governments

NO

RIGHTS


1776: The American Revolution1776: The American Revolution

The American Revolution dismantled the Crown Corporations and transferred them into states.

•The Virginia Co., which ran the Virginia Colony, became the Commonwealth of Virginia.


Following the American Revolution:Following the American Revolution:

The People in each of the 13 states wrote state constitutions including rules

on:

•elections

•lawmaking

•judiciary

•education

Under self government, corporate charters were limited:

•States routinely revoked the charters of corporations that broke the law or abused their privileges.

•Corporate charters were issued for only a limited time and were subject to periodic review by the state.


The People of the 13 States The People of the 13 States Bestowed Limited Privileges Upon Bestowed Limited Privileges Upon

Corporations Corporations


•Shareholders were personally liable for the debts of the corporations and the harms inflicted on the general welfare.

•States had authority to govern the financial dealings of corporations (for example, corporations could not own other corporations).

Notfor Sale!


•The charters limited many corporations to “not for profit” status.

•Corporations were created to meet public purposes such as canal digging and building roads (upon completion of the prescribed tasks the corporations were dissolved).

Corporations were not granted constitutional rights:


•Corporations could not lobby.

• Corporations could not donate money to political candidates.

•Corporations could not claim 1st Amendment rights to free speech.

•Corporations could not claim other Bill of Rights protections (i.e. from unreasonable search and seizure, etc.)

““I hope that we crush in its I hope that we crush in its birth the aristocracy of our birth the aristocracy of our monied corporations which monied corporations which

dare already to challenge our dare already to challenge our government to a trial of government to a trial of

strength, and bid defiance to strength, and bid defiance to the laws of our country.”the laws of our country.”

-Thomas Jefferson, 1816-Thomas Jefferson, 1816

Corporations were the vehicle for consolidating and increasing privileged wealth at the expense of the

broader society:


Throughout the 19Throughout the 19thth Century, a Struggle Ensued Century, a Struggle Ensued Between Commercial Interests Wishing to Between Commercial Interests Wishing to

Expand Property Rights and People Seeking to Expand Property Rights and People Seeking to Expand Human RightsExpand Human Rights

•During the Civil War, fortunes were made by industrialists who had acquired corporations to provide war materials.

• These “robber barons” used the judiciary to increase the power of corporations on behalf of their financial empires.

““I see in the near future a crisis approaching that I see in the near future a crisis approaching that unnerves me and causes me to tremble for the unnerves me and causes me to tremble for the safety of our country. As a result of the war, safety of our country. As a result of the war,

corporations have been enthroned and an era of corporations have been enthroned and an era of corruption in high places will follow, and the corruption in high places will follow, and the money power of the country will endeavor to money power of the country will endeavor to

prolong its reign by working upon the prejudices prolong its reign by working upon the prejudices of the people until all wealth is aggregated in a of the people until all wealth is aggregated in a few hands, and the Republic is destroyed. I feel few hands, and the Republic is destroyed. I feel

at this moment more anxiety for the safety of my at this moment more anxiety for the safety of my country than ever before, even in the midst of country than ever before, even in the midst of

war.”war.”

-President Abraham Lincoln, November 12, 1864, -President Abraham Lincoln, November 12, 1864, in a letter to Col. William F. Elkinsin a letter to Col. William F. Elkins

One of the most important Supreme Court cases you may never have heard of…

Santa Clara County vs. Southern Pacific Railroad

In 1886, the Supreme Court ruled that a private corporation was a natural person, entitled to the same rights and protections as human beings under the Bill of

Rights.

Source: 118 U.S. 394 (1886): 183, 323N.89 (56), 328N.110 (61).

1886: A Turning Point1886: A Turning Point

The Courts sided with corporations.

In 1886 alone, federal courts struck down 230 state laws regulating corporations.

Corporations took advantage of laws written for human beings.

The 14th Amendment was passed to protect freed slaves. Of the 307 14th Amendment cases brought before the Supreme Court between 1890 and 1910:

-19 dealt with African Americans -288 dealt with corporations

…and the Corporations…


Then What Happened?Then What Happened?

The people lost control over corporations States could no longer tell corporations what they could and could not do.

Advertising became “Free Speech.”

The New Deal’s regulatory thrust shut off debate about the legitimacy of corporate power.


BUY!

Examples of Examples of How Corporate How Corporate Power Affects Power Affects

the the EnvironmentEnvironment

Example #1: Corporate Example #1: Corporate PersonhoodPersonhood

THE PROBLEM

•Santa Clara v. Southern Pacific RR (1886) gave corporations rights of natural persons (personhood).

•Since Santa Clara, those rights and privileges have been expanded to exceed those of the natural persons creating them.


EXAMPLES

•Before Santa Clara, corporations could not exercise 1st Amendment rights such as lobbying or contributing to political campaigns.

•Also, chemical corporations could not claim the 4th Amendment right of protection from unreasonable search or seizure to withhold information about the environmental impacts of their products or production processes.


THE CONSEQUENCES

• By granting “personhood” rights to corporations, courts have allowed them to grow and maximize profits in ways that harm the environment, public health and democracy.

Example #2: Corporate Example #2: Corporate Manipulation of Government Manipulation of Government

Regulatory AgenciesRegulatory Agencies

THE PROBLEM

•Corporations use their wealth and power to get regulatory agencies to carry out their will.

•Governments shield corporations from and represent them over the public interest, environmental quality, and the public health.

AN EXAMPLE

•In 1986, Monsanto Corp. officials urged the Reagan Ag. Dept., EPA, and FDA to issue rules governing genetically modified food to reassure the public about its safety.

•The Reagan Adm. complied and gave Monsanto rules favored by industry .

•In 1992, Monsanto wanted to throw off the regs and speed food to market. The Bush Adm. created a generous policy of “self policing.”

THE CONSEQUENCES

•Public confidence in the government regulatory process has been diminished.

•Citizen energy has been exhausted while popular outrage has been deflected from the corporation to government. Corporations get what they want while escaping accountability.

Example #3: Chapter 11, North Example #3: Chapter 11, North American Free Trade Agreement American Free Trade Agreement

(NAFTA)(NAFTA)WHAT IT DOES

•Expands the rights of property to include intangible property rights, including current and future profits.

•Gives corporations the right to sue national governments to protect these anticipated profits from nat’l, state, or local gov’t actions, no matter how legal or for what purpose they have been taken.

AN EXAMPLE

•Metalclad, a US-based waste-disposal corp., sued Mexico for $90 million under Chap. 11 after the town of Guadalcazar in the Mexican state of San Luis Potosi refused to issue a permit for a waste-disposal facility on an alluvial stream, deeming it a threat to the local water supply. In Aug 2000, a NAFTA tribunal found that Mexico had breached Chap. 11 and awarded Metalclad $16.7 million. Metalclad then began construction on the facility without having local approvals, claiming assurances from Mexico. In Oct. 2001, the Mexican gov’t dropped its appeal of the NAFTA tribunal’s decision.

THE CONSEQUENCES

•Chapter 11 can have a “chilling” effect on state or local gov’ts considering passing laws or regs to protect the environment and public health.

•Guarantees profits to polluting corporations; violates the concept of a free market economy; and undercuts democratic decision making.

WHATWHATCANCANWEWEDO?DO?

Confront Corporate Crimes Directly Research, expose, and educate others about abuses of corporate power and behavior. Encourage corporate campaigns, shareholder actions, consumer boycotts, and socially responsible investment.

End Corporate “Pork Barrel” Significantly restrict corporate tax breaks and subsidies.


Actions to Reassert Popular Actions to Reassert Popular Sovereignty Over CorporationsSovereignty Over Corporations

Encourage Tax Reform Shift tax burdens more fairly to corporations and off individual taxpayers.

Encourage Campaign Finance Reform Enact substantive campaign finance reform legislation prohibiting corporate campaign donations.



Put the People in Charge of Defining Corporations

•Write state/local laws defining and

limiting the rights of corporations.

•Establish and enforce social and environmental criteria for corporate charters.

•Initiate state “Three Strikes and

You’re Out” charter revocation laws.

•Re-regulate corporate investment through anti-trust legislation.

Change Corporate Charters Amend state corporation codes to extend liability and revoke charters of renegade corporations.

Limit Personhood Rights for Corporations Challenge the Santa Clara US Supreme Court decision via public education leading to a constitutional amendment or court challenge.

…and the Corporations…


Corporate Charter

Expand Human Rights in Relation to Corporations Grant Bill of Rights powers to include employees in corporations (free speech, freedom of assembly), citizens in shopping malls, etc.

Reassert Citizen Sovereignty in Global Economy Re-negotiate trade deals (NAFTA, GATT, CAFTA, FTAA) and re-structure global trade and financial institutions (WTO, IMF, World Bank).


Encourage Grassroots Pro-Democracy Movement Go beyond tactics challenging one regulation or one corporation at a time to work with others nationally and internationally to challenge the rules giving corporations undue power and influence.


•Engage in Democratic Discussions Promoting a Just Society and an Environmentally Sustainable Economy

•Support Local Currencies & Community Banking

•Encourage Community Supported Organic Agriculture

•Foster Equitable Health Care Programs

•Create Cooperatives & Worker Owned Firms

•Recycling Local Waste as a Resource

•Nurture Pedestrian & Bicycle Transport

•Develop Local Renewable Energy Systems

•Buy Small & Local

•Institute Community Forestry Practices

•Demonstrate Voluntary Simplicity in Individual ActivitiesPrepared by David C. Korten, The Positive Futures Network (206)842-0216,11/13/96

Encourage:Encourage:Build Sustainable Local CommunitiesBuild Sustainable Local Communities

1.Confront individual “bad actor” despoiling and polluting corporations via focused, highly visible campaigns.

The Corporate Accountability The Corporate Accountability Challenges for the American Challenges for the American

People are three-fold:People are three-fold:

2. Challenge domestic laws and court decisions that unfairly enable all corporations to exploit the Earth and its inhabitants. Seek passage of laws to hold corporations accountable to citizen defined and government enforced environmental standards.

3. Join with other movements to challenge the unfair trade and capital investment rules proposed by the WTO, IMF, World Bank, and incorporated into such agreements as the Central American Free Trade Agreement (CAFTA).

““The struggle for justice should never The struggle for justice should never be abandoned because of the apparent be abandoned because of the apparent

overwhelming power of those who overwhelming power of those who have the guns and the money and who have the guns and the money and who seem invincible in their determination seem invincible in their determination to hold on to it. That apparent power to hold on to it. That apparent power

has, again and again, proved has, again and again, proved vulnerable to vulnerable to

human qualities…”human qualities…”

- Historian Howard Zinn- Historian Howard Zinn

“…“…We have been fighting fire on the well-worn We have been fighting fire on the well-worn lines of old-fashioned politics and political lines of old-fashioned politics and political

economy, regulating corporations, and leaving economy, regulating corporations, and leaving competition to regulate itself. But the flames of competition to regulate itself. But the flames of a new economic revolution run around us, and a new economic revolution run around us, and

we turn to find that competition has killed we turn to find that competition has killed competition, that corporations are grown competition, that corporations are grown

greater than the State, and have bred greater than the State, and have bred individuals greater than themselves, and that individuals greater than themselves, and that the naked issue of our time is with property the naked issue of our time is with property

becoming master instead of servant…”becoming master instead of servant…”

- Henry Demarest Lloyd, - Henry Demarest Lloyd, Wealth Against Commonwealth, 1894Wealth Against Commonwealth, 1894

THETHEENDEND

Produced by:Produced by:Jim Price, Senior Regional Staff Director

[email protected]

Powerpoint Graphics by:Powerpoint Graphics by:Lisa Evans, Administrative Coordinator

[email protected]

Robin Nelson, Christa TaylorSierra Club Southeast OfficeSierra Club Southeast Office

1330 21st Way South, Suite 100 Birmingham, AL 35205

Phone: 205/933-9111 Fax: 205/939-1020

Updated August 2005

•Alliance for DemocracyAlliance for Democracy•Center for Popular EconomicsCenter for Popular Economics•Center for Responsive PoliticsCenter for Responsive Politics

•Council on International and Public AffairsCouncil on International and Public Affairs•Democracy Unlimited of Humboldt CountyDemocracy Unlimited of Humboldt County

•International Forum on GlobalizationInternational Forum on Globalization•Institute for Policy StudiesInstitute for Policy Studies

•Program on Corporations, Law, and DemocracyProgram on Corporations, Law, and Democracy•Public Information NetworkPublic Information Network

•Sierra Club Corporate Accountability CommitteeSierra Club Corporate Accountability Committee•Sierra Club Confronting Corporate Power Task ForceSierra Club Confronting Corporate Power Task Force

•Sierra Club Environmental Justice CommitteeSierra Club Environmental Justice Committee•Sierra Club National Environmental Justice Grassroots Sierra Club National Environmental Justice Grassroots

Organizing ProgramOrganizing Program•Sierra Club Southeast OfficeSierra Club Southeast Office•United for a Fair EconomyUnited for a Fair Economy

for their assistance in the preparation of this for their assistance in the preparation of this workshop and related materials.workshop and related materials.

Special Appreciation is extended to:Special Appreciation is extended to:

ofof and the CorporationsCorporations DeteriorationDeterioration Democracy.

Documents

Transcript of ofof and the CorporationsCorporations DeteriorationDeterioration Democracy.