:16:05
What does loyalty mean?
:16:06
Well it turns
out that
:16:08
that was a rather
naive concept anyways
:16:10
as corporations are
always owed obligation
:16:13
to themselves to get large
and to get profitable.
:16:16
In doing this
:16:17
it tends to be more
profitable to the extent
:16:20
it can make other
people pay for the bills
:16:23
for its impact
on society.
:16:26
There's a terrible word that
economists use for this
:16:28
called externalities.
:16:30
An externality is the effect
of a transaction
:16:35
between two individuals.
:16:38
Third party who
has not consented to
:16:41
or played any role
in the carrying out
:16:44
of that transaction
:16:45
And there are real
problems in that area.
:16:47
Theres no
doubt about it.
:16:51
Running a business is
a tough proposition.
:16:55
There are costs to be
minimized at every turn
:16:59
and at some point
the corporation says
:17:01
you know let somebody
else deal with that.
:17:04
Let's let somebody else
supply the military power
:17:07
to the middle east to protect
the oil at its source.
:17:10
Let's let somebody else build
the roads that we can drive
:17:14
these automobiles on.
:17:16
Let's let somebody
else have those problems
:17:20
And that is where
externalities come from
:17:23
that notion of let somebody
else deal with that.
:17:26
I got all I can
handle myself.
:17:29
A corporation is an
externalizing machine
:17:31
in the same way that a shark
is a killing machine.
:17:35
Each one is designed
in a very efficient way
:17:39
to accomplish
particular objectives.
:17:42
In the achievement
of those objectives
:17:44
there isnt any question
of malevolence or of will.
:17:48
The enterprise
has within it
:17:50
and the shark
has within it
:17:52
those characteristics that
enable it to do that
:17:54
for which it was designed.
:17:56
The pressure is
on the corporation
:17:58
to deliver results now