Table

From BeyondPolitics

Jump to: navigation, search
Feature Corporation Association Democracy
Voting strength Each stockholder casts votes according to how much he has invested in the company. Thus, if a majority of shares are voted to devote the company's money to a wasteful expenditure, those shareholders will be primarily wasting their own money. Each member has one vote, but members usually pay similar dues payments. Each voter has one vote, but the country can coercively tax voters disproportionately to their voting strength. Thus, an electoral majority can vote to waste the money of a minority (e.g. the poor in the case of regressive taxes; or smokers in the case of tobacco taxes; etc.)
Membership Voluntary and transferable; stockholders can sell their shares at will. Voluntary but usually non-transferable. Compulsory and non-transferable. One can move out of a particular jurisdiction, but must belong to some jurisdiction; and a more favorable jurisdiction may not exist.
Payment of representatives Principals can pay proxies to represent them. The company establishes compensation for board members and officers. The association establishes compensation for board members and officers. Voters are not allowed to pay representatives directly. The legislature establishes compensation for representatives, which is paid for through taxation-coercion.
Rules of fairness Unfair or fraudulent decisions that oppress a minority may be set aside by a court. For instance, if a majority votes to funnel all the profits into a company owned by the dominant shareholders for the sole purpose of enriching themselves at the minority's expense, that decision can be set aside. Members are expected not to vote on matters that involve conflicts of interest. Voters are allowed to vote for measures that will enrich themselves at others' expense. For example, military contractors are allowed to vote for politicians who will approve pork barrel projects benefiting them.


Other forms of governance suitable for new organizations: