Part I
Chapter One
āYou know what you should do is go out and make a billion dollars first, and then run for office.ā
Michael Bloomberg.
Michael Bloomberg loves this quote; while I was researching him, a version of this quote came up at least three times. This specific variant comes from a New Yorker profile written in 2009 when Bloomberg was running for his third term as mayor of New York City. The author describes it as a half-joke, but I donāt think Bloomberg is joking at all. I think heās completely serious.
Wealthy businesspeople politicians like Michael Bloomberg bring about a complex set of moral dilemmas. How democratic is our society if money can buy overwhelming influence? Does having a lot of money make a politician more or less susceptible to corruption?
This recent influx of businesspeople-turned-politicians has also created a much larger (at least in numbers) issue that will have dire effects on the health of our government and democracy: young people are being told not to start their careers in public service.
Having Bloomberg and other rich ex-businesspeople in public office sends a message to young people that if they really want to be effective in government, they should go work in business first.
According to a study by the Brookings Institute, 231 congresspeople of the 114th Congressāover 53 percent of the House of Representativesāhad previous occupations related to ābusiness or banking.ā Just fifteen years prior, in the 107th Congress, 159 congresspeopleā36 percent of the Houseāhad previous experience in business. The same trend holds true for the Senate; forty-two senators in the 114th Congress have experience in business or banking as compared to twenty-four senators in the 107th Congress. Most other occupations remained unchanged. Increasingly, it seems that business experience is a prerequisite to a career in politics.
This trend is even more evident in the present day, with both Democrats and Republicans alike.
Besides Michael Bloomberg, who also ran for the Democratic nomination for president in 2020, many other candidates also had extensive business experience. Even among Democrats, who typically try not to flaunt their business experience as much as their Republican counterparts, a substantial number of candidates pointed to their business background as evidence of their governing acumen.
Another billionaire in the Democratic field, Tom Steyer, pointed to his business background as a key differentiating factor between him and his more prominent rivals; āBut hereās the truth: none of them . . . have built or run a successful, international business,ā Steyer said, calling out former Vice President Joe Biden, Massachusetts Senator Elizabeth Warren, Vermont Senator Bernie Sanders, and South Bend, Indiana Mayor Pete Buttigieg by name. āNone of them have a private sector track record of creating jobsānone of them have first-hand experience growing wealth and prosperity.ā
Tech entrepreneur Andrew Yang similarly equated his ability to run a presidential campaign with starting a company. In a tweet from November 2019, Yang wrote, āWhen people ask if Iām surprised by the success of our campaign, I remind them that I have founded and run multi-million-dollar organizations that began with just an idea. This feels very familiar. And we are not done yet.ā
Even the young South Bend mayor, Pete Buttigieg, who at twenty-six-years old already boasted a Harvard degree and a Rhodes scholarship, felt the need to gain business expertise and spent three years at āthe firmā (management consulting firm McKinsey). The New York Times remarked that Buttigiegās time at McKinsey āset him apart from many of his campaign rivals, underpinning his position as a more centrist alternative to progressive front-runners like Senators Bernie Sanders and Elizabeth Warren.ā
While recruiting, Buttigieg made it known that he viewed McKinsey as āan asset on the way to a career in public serviceā rather than a long-term career move. McKinsey not only gave Buttigieg an inside look into corporate America but also credibility as he ran for president a decade later.
Across the aisle, Republican businesspeople brandish their business experience with abandon.
One of the most prominent examples of a Republican businessman turned politician is Mitt Romney. After stints at consulting firms Boston Consulting Group (BCG) and Bain & Company, Romney cofounded private equity firm Bain Capital, a spin-off of the eponymous consulting firm. While running for president in 2012 as the Republican nominee, Romney frequently pointed to his business credentials as proof of his ability to govern; āThe lessons I learned over my fifteen years at Bain Capital were valuable in helping me turn around the 2002 Winter Olympics in Salt Lake City. They also helped me as governor of Massachusetts to turn a budget deficit into a surplus and reduce our unemployment rate to 4.7 percent. The lessons from that time would help me as president to fix our economy, create jobs, and get things done in Washington.ā
Romney went so far as to endorse a constitutional amendment that would require every presidential candidate to have at least three years of business experience: āI was speaking with one of these business owners who owns a couple of restaurants in town. And he said, āYou know Iād like to change the Constitution; Iām not sure I can do it,ā he said. āIād like to have a provision in the Constitution that in addition to the age of the president and the citizenship of the president and the birthplace of the president being set by the Constitution, Iād like it also to say that the president has to spend at least three years working in business before he could become president of the United States.āā
Carly Fiorina is another Republican businesswoman who made a foray into politics. After resigning as CEO of technology company Hewlett-Packard (HP) in 2005, Fiorina served as an economic advisor to Senator John McCain during his presidential campaign in 2008. Her following political involvements include running for se...