The public money and public liberty, intended to have been deposited with three branches of magistracy, but found inadvertently to be in the hands of one only, will soon be discovered to be sources of wealth and dominion to those who hold them… They [the assembly] should look forward to a time, and that not a distant one, when a corruption in this, as in the country from which we derive our origin, will have seized the heads of government, and be spread by them through the body of the people; when they will purchase the voices of the people, and make them pay the price. Human nature is the same on every side of the Atlantic, and will be alike influenced by the same causes. The time to guard against corruption and tyranny, is before they shall have gotten hold of us. It is better to keep the wolf out of the fold, than to trust to drawing his teeth and talons after he shall have entered (Thomas Jefferson, 1785)
In current parlance, I think, an “oligarch” is someone with great personal wealth who influences politics, whether directly or via media. Oligarchs are not publicly traded corporations, and the threat they pose to democracy is different. The rise of oligarchs is also different from income inequality. It’s not about whether the top one percent or the top 10 percent of a country has disproportionate influence but whether a few individuals are “wolves in the fold”–literally making political decisions without accountability.
In fact, wealth inequality may have declined globally since 1980, but we now have about 2,500 billionaires who collectively own about $15 trillion, which is equivalent to the GDP of China (population 1.4 billion people). Some are uninvolved with politics, but a fair number either derive their wealth from government or buy political influence. I count at least 17 countries that have been directly led by billionaires in the last decade (not including the UK, since Rishi Sunak is only worth about $850 million). There are many other countries in which billionaires wield influence without holding office.
Above all, the President of the United States is a billionaire. His sidekick is more than a third of his way to being a trillionaire. The owner of The Washington Post is about a quarter of the way there.
This situation is not exactly unprecedented. John D. Rockefeller was worth about $1.4 billion in 1937. Measured in current dollars, his fortune rivaled Musk’s today. And the Rockefeller wealth transmuted into political power. Three descendants became governors; one was also a vice-president.
However, there are distinctively 21st-century ways in which private individuals sway national politics, here and overseas. Both Musk and Trump are celebrities with massive popular influence. They have millions of followers who treat their wealth as evidence of brilliance and superiority to government. They purchase impunity from almost all forms of accountability. And they enrich themselves at the expense of the government. As Jefferson writes, they “make interested uses of every right and power which they possess, or may assume.”
Google’s NGram tool suggests that the frequency of the word “oligarch” in printed books has risen 13-fold since the millennium (see above). This is just one sign that we are living in an age of oligarchy.
See also: why is oligarchy everywhere? and why is oligarchy everywhere? (part 2).