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Study Cards on government, corporatism, interests

What is the origin of corporatism?

To the attempt in fascist Italy to construct a so-called 'corporate state' by integrating both managers and workers into the process of government.

What are the parallel developments in major industrialized states?

Neocorporatism.
This tendency to integrate economic interests into government was a consequence of the drift towards economic management and intervention.

Where attempts have been made to shift economic policy away from state intervention and towards the free market, the impact of corporatism has markedly diminished.

Why is corporatism significant in terms of democratic processes?

- Corporatism makes a form of functional representation possible, in the way that individuals' views and interests are articulated more by the groups to which they belong (instead of through competitive elections). --> major groups compete to shape government policy.

Why can corporatism be a threat to democracy?

- Corporatism only advantages groups that are accorded privileged access to government (insider vs outsider groups).
- It can work to the benefit of the state, rather than major economic interests (peak associations can be used to exert discipline over their members and filter out radical demands).
- It threatens to subvert the processes of electoral or parliamentary democracy (no representative assembly but negotiations between government officials and leaders of powerful economic interests).

Interest-group leaders may exert political power, while not being publicly accountable.