The global economy run by one super-corporation

20.10.2011


The specialists of the University of Zurich held a mathematical analysis of the links 43 thousand multinational corporations and made a frightening conclusion: the world is ruled by a giant "super-corporation." It is this "pulling the strings" of the world economy.

Scientists have discovered a core of about 1318 companies, whose links with other difficult be described as incestuous. Each of these 1318 found a close relationship with two or more other companies

To simulate the way of the global corporate system, the experts were treated gigantic array of data showing the relationship between the ownership of large multinationals, says New Scientist.
 

 



"Reality is so complex that we had to move away from dogma, whether it's conspiracy theories or free-market theory — said the study's author, complex systems theorist James Glattfelder. — The analysis is based on real data."

Previous studies have shown that a relatively small group of companies and banks owns the lion's share of the global "economic pie" from which all others are only crumbs. However, these studies have overlooked indirect relationship — the relationship of corporations with subsidiaries and affiliated companies.

 

 


Sorting 37 million companies and investors around the world, represented in the database Orbis C of 2007, a team of scientists from Zurich selected 43060 companies owned by multinational corporations, and revealed their total assets.

It was built model of the distribution of economic power by controlling the TNC some companies over others: possession of funds, profit-sharing, etc.

Scientists have discovered a core of about 1318 companies, whose links with other difficult be described as incestuous. Each of these 1318 found a close relationship with two or more other companies (the average number of affiliated partners was found to be 20).

And although the official income of these corporations barely exceed 20% of global operating revenues, the company through its satellites, they actually own most of the world's companies operating in the sector of the "real" economy. Thus, in the tentacles of corporate monsters are concentrated about 60% of global revenues.

Continuing to unravel the vast web of ownership, the team found that most of the financial chains go in the direction of "superanklava" of 147 companies. Their assets intersect with each other, actually being common property, which ensures that the financial conglomerate tacit control of 40% of the global corporate wealth.

Most of these "super-corporation" are financial institutions. Thus, in the top 10 were:

1. Barclays plc

2. Capital Group Companies Inc

3. FMR Corporation

4. AXA

5. State Street Corporation

6. JP Morgan Chase & Co

7. Legal & General Group plc

8. Vanguard Group Inc

9. UBS AG

10. Merrill Lynch & Co Inc

The researchers note that the protests against global capitalism that took place around the world under the slogan of "Occupy Wall Street" — an obvious reaction to the power of corporations.

But the results of the analysis conducted by researchers do not completely agree with the statements of demonstrators protesting against the "fat cats" on Wall ctrit. Scientists, it seems unlikely that the corporations whose power lies at the heart of the global economy, can have real political power — they are too many divergent interests.

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