In August 2019, with the public’s faith in big business in the doldrums, corporate America was in need of a rebrand. Business Roundtable, a club of the country’s biggest bosses, published a memo urging companies not to work only for the benefit of their shareholders, but for society at large. ESG, standing for environmental, social and governance issues, became the most abused of American capitalism’s stock of overused initialisms. Five years on, corporate patriotism has replaced ESG
. Republicans and Democrats are pushing companies to create middle-class jobs while trying to recruit them into a costly trade war with China. Democrats’ expectations of corporations may become clearer at their national convention, which starts on Monday. Some bosses such as Pat Gelsinger, of chipmaking giant Intel, are happy to lap up subsidies aimed at building domestic capacity to rival China’s. That is short-sighted, and will lessen America’s competitiveness over time. Cats fed on cream rarely catch mice.
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