The Power Elite

Institutional changes to the political, economic, and military orders alter the American power structure. Mills identifies four prior epochs in US history and writes during a fifth one. The first took place from the period of the American Revolution through the administration of John Adams. In this period, political institutions were critical, and the individuals of the elite moved easily from top roles in one sector, such as the military, to another, such as politics. The second period took place in the early 19th century and ended with the Civil War. The economic order became ascendant over social status and political power, but no set of individuals controlled centralized power. The elite consisted of a plurality of loosely overlapping groups. After the Civil War, corporate economic power assumed supremacy over political and military power. In this “golden era of the American ruling class” (271), corporations controlled political parties and directed lawmaking. In the 1930s, with the New Deal, a new era began. Political powers challenged corporate ones, ultimately prompting the corporate elite to join the government. Lower-class interests and social legislation were part of the reform movement in this period.

At mid-20th century, a new era emerged. There is a decline of public debate about alternative policies. Indeed, the political sector has lost power, and the military sector is ascendant. With a permanent war economy run by private corporations, which he identifies as military capitalism, the role of political leaders is subordinate. In a weakened system of democracy, there is an “uneasy coincidence of economic, military, and political power” (278).

The members of the power elite are similar to one another. While there is not an aristocracy in the US, its members largely come from the upper class. They tend to have similar codes of conduct, given their common social origins and continued associations. They mingle with one another socially and officially and are “able readily to take over one another’s point of view, always in a sympathetic way” (283). They recognize one another and, therefore, have class consciousness. Mills does not deny that these elite players are honorable, but he insists that they have a particular code of honor. They cannot shed their perspective, steeped as it is in the corporate world. He does not recommend judging these individuals based on their origins but holds them accountable for policy decisions and the consequences of their conduct in office.

As the leading individuals across the three sectors became more similar, they increasingly crossed domains and assumed positions in multiple sectors. The inner core of the elite are those who have held commanding roles at the top of two sectors, such as an admiral who also served as a corporate executive. The liaisons between sectors, such as corporate lawyers and investment bankers, are also included in the elite. At the outermost fringe of the power elite are those who matter to decisions and influence them, even if they are not directly involved in the decision-making process. The fringe melts into the middle power tier. Major decisions are made via intercommunication among the members of the top elite. This is not a conspiracy, as it was formed from institutional and psychological forces. Now that this elite is established, though, it makes plans to advance its interests. Its agenda is a pro-business one that seeks reduced taxes, free trade, and reduced governmental programs. Secrecy, given the permanent military threat, aids this group as well. The professional politician, relegated to the middle level of power, has lost it, as has the citizenry.