I’ve seen a new to me term being used in support of collectivism and thought worth opening a discussion thread.
It appears in the most based sense, Extractive Capitalism is used to describe monopolistic behaviors within capitalist systems. In this regard, the term is hardly new by a surrogate for good old monopolistic behavior where those that can gain monopolistic control of goods and/or services can charge whatever they want. Control the oil supply and gasoline prices rise. Control the global Uranium supply and you can “extract” profits seemingly at will from nuclear energy.
In the current paradigm, the solution to this is quite simple - regulation or forced divestiture.
Perhaps one of the best descriptions of how monopolies can develop at exponential rates might be found at the Consilience Project (linked). The most clear cut examples are Big Tech such as Amazon (books, music, now consumer retail and cloud services) to Facebook (free, but harvests data and influences mass thinking for advertising revenues) to Google (search used to influence mass thinking for advertising). In the “old days”, creating resource or labor based monopolies move much more slowly and by nature was more transparent (big oil, auto makers, electricity generation, airlines,…) as physical assets in the world were deployed. And when companies became large enough, they were forced to divest as in the breakup of ATT.
Our classic approach to monopolies was to simply regulate them. As an example, no bank can have more than 10% market share in retail banking - Chase, Wells Fargo, Citibank. In order to grow, they have to develop and deploy, or acquire, new service offerings.
Where seemingly now, instead of simply exercising the processes that have been “on the books” for decades, it seems the Left touts development of monopolies (aka Extractive Capitalism) as justification for complete overhaul of Western systems of governance. Interestingly this aligns with the Plan B mantras - Communism - that we’ve seen throughout the 100 years.
Is a complete “rewrite” of the US governance system required? Or can we simply “break up” the monopolies as we have been doing over the last century (coal, steel, rail, …)?
Would shift to a decidedly more Socialist or full Communist (Plan B collectivism) not be a hyper instantiation of “Extractive Capitalism”? Wouldn’t this simply be a shift from our current Liberal Democracy to a more arbitrary Oligarchy deciding “what’s too much, what’s just right”?