How Big Money Changed The Democratic Game, with Daniel Ziblatt
Jan 2, 2025
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In this fascinating discussion, Daniel Ziblatt, a Harvard political scientist and co-author of bestselling books like *How Democracies Die*, examines how big money disrupts democratic processes. He highlights the alarming rise of corporate influence and its role in pushing voters toward extremes, undermining civil liberties and economic growth. Ziblatt questions whether democracy can truly thrive when undemocratic leaders are elected. He offers insights on how to realign governmental interests back to serving the people and confronting the decline of democracy globally.
The overwhelming influence of big money in politics distorts democratic processes, leading to a legitimacy crisis among citizens who feel ignored.
A complex relationship exists between capitalism and democracy, where economic rules must foster equity to prevent the erosion of democratic values.
Modern threats to democracy often arise from elected officials undermining competition and civil liberties through legal manipulations rather than overt coups.
Deep dives
The Distortion of Politics by Big Money
The influence of big money is recognized as a major issue in modern democracy, particularly how it distorts political processes. For instance, despite the overwhelming public support for raising the national minimum wage, such initiatives often fall short due to the lobbying power of wealthy interests. This disconnection fosters a legitimacy crisis within the democratic system, causing citizens to perceive their government as out of touch. Consequently, this breeds an environment where outsiders, including potentially demagogic leaders, can gain traction by appealing to public resentment.
Capitalism's Dual Role in Democracy
The relationship between capitalism and democracy is complex, as capitalism can support or undermine democratic ideals. On one hand, it can foster economic freedoms and promote civil liberties, both essential for a healthy democracy. On the other hand, when capitalism tilts toward corruption, it may facilitate the erosion of democratic values. Hence, for democracy to thrive, it is vital to maintain the right economic rules to create a just and equitable system.
Threats to Democratic Processes
Modern threats to democracy often stem from elected officials who gradually dismantle the very principles that uphold democratic governance. Unlike the past, where military coups were common, today's dangers involve politicians using legal means to undermine competition and restrict civil liberties. This insidious tactic makes it more challenging for citizens to recognize the erosion of democracy, as these actions are often cloaked in legal jargon and democratic rhetoric. Understanding this shift is crucial for recognizing and combating the deterioration of democratic systems.
Defining Democracy and Its Challenges
Democracy is defined not merely by the majority rule but by competition, participation, and the protection of civil liberties. One significant indicator of a functioning democracy is whether incumbents genuinely fear losing elections, which has become increasingly rare. Moreover, excessive economic power's concentration poses a threat to political competition, as seen in different global contexts where oligarchs influence governance. Without genuine political competition, even societies labeled as democratic can fall short of true democratic governance.
Corporate Power and Its Impact on Democracy
The increasing power of corporations has raised concerns about the erosion of political equality, as big money influences electoral processes and policy-making. This results in a government that often caters more to corporate interests than to those of everyday citizens. Significant topics, such as the regulation of private equity or tax policies, rarely find their way into campaign dialogues due to corporate lobbying. As a result, disenfranchised voters may turn to extreme political options, leading to further instability within the democratic landscape.
Daniel Ziblatt is an American political scientist, Eaton Professor of the Science of Government at Harvard University, and the co-author (with Steven Levitsky) of several bestselling books, including How Democracies Die and Tyranny of the Minority. Ziblatt writes from the position that what defines strong democracies is free and fair competition for power, inclusive participation, and a package of civil liberties that make those first two conditions possible.
2024 saw voters in more than 60 countries go to the polls—and deliver difficult outcomes for incumbents and traditional political parties. This week, Ziblatt joins Bethany and Luigi to discuss the fate of democracy after 2024. They explore how big money and corporate power have destabilized democracies worldwide by interfering with the conditions for free and fair competition for power. The consequence has been the movement of voters toward political extremes, which in turn can often threaten economic growth, civil liberties, and the rule of law. Nevertheless, should we judge the strength of democracy by process or outcome? Does democracy still thrive when the people vote for undemocratic politicians and parties?
Together, Ziblatt and our co-hosts discuss how to curb global democratic decline by realigning government away from the interests of corporations or big money and back to those of the people.
Episode Notes:
Revisit ProMarket’s series seeking to understand the issues of political economy driving global populist movements during the 2024 “year of elections.”
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