WASHINGTON (AP) — President Joe Biden, in his Wednesday farewell address to the nation, expressed concerns about the potential transformation of American democracy into an “oligarchy” dominated by tech billionaires. But what exactly is an oligarchy?
An oligarchy can be defined as a system where a small, privileged group holds power and controls the government’s actions. By invoking the term “oligarchy,” Biden drew parallels between the current state of affairs—where the world’s wealthiest individuals are seen cozying up to President-elect Donald Trump—and some of history’s most oppressive regimes.
Meta CEO Mark Zuckerberg is set to co-host a reception for Trump’s inauguration alongside affluent Republican backers in the coming week. Meanwhile, Amazon Prime Video, founded by billionaire Jeff Bezos, secured exclusive rights to stream and theatrically release a new documentary featuring first lady Melania Trump. Noteworthy donations to Trump’s inauguration fund were made by Meta, Amazon, and OpenAI CEO Sam Altman, amounting to $1 million. Additionally, billionaire Elon Musk’s super PAC contributed approximately $200 million to support Trump’s election bid.
Despite the complex relationship between Silicon Valley wealth and political aspirations, Biden highlighted the reliance of both Republicans and Democrats on the financial backing from tech moguls to advance their political agendas.
The term “oligarchy” traces its origins back to Ancient Greek, where it literally means rule by a few. Unlike aristocracy, which is associated with nobility and lineage, oligarchy is more closely linked to wealth and influence.
In his book “Politics,” philosopher Aristotle noted that “democracy is safer and more free from civil strife than oligarchy,” pointing out the inherent conflicts within oligarchies, such as strife between members of the ruling class and tensions between the oligarchs and the general populace.
Various countries have been characterized as oligarchies by scholars. Following the dissolution of the Soviet Union in 1991, a group of affluent businessmen, known as billionaire oligarchs, gained control over former state assets and institutions. The intertwining of wealth and politics during the era of then-Russian President Boris Yeltsin eventually led to crackdowns by his successor, President Vladimir Putin, who cultivated his own group of favored oligarchs, ensuring their loyalty in exchange for retaining their fortunes.
The Philippines, with a history marked by colonialism and influential dynasties, has faced accusations of operating as an oligarchy. Former President Rodrigo Duterte claimed to have dismantled the system, although critics argue that he merely shifted preferences toward a different set of oligarchs.
During the apartheid era, South Africa was perceived by some academics as a white racial oligarchy, characterized by the dominance of the white minority over the majority population.
Even before Biden’s remarks, the widening wealth gap in both the United States and China had sparked concerns about the emergence of oligarchic tendencies in the world’s two largest economies.
Contributions to this report were made by Associated Press writers Lindsey Bahr and Dan Merica.
