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(1985). Levine's Atlas of Corporate Interlocks. Connections ... - INSNA

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85<br />

In the 1920's, Toronto's upper class had a much lower birth rate than did the middle and working classes .<br />

This meant its own children weren't numerous enough to fill all the elite jobs when they grew to adulthood,<br />

and this became a factor in allowing significant numbers <strong>of</strong> middle class people to move in .<br />

The move coincided with a surge <strong>of</strong> economic growth after the Second World War and with it, "an increase<br />

in the number <strong>of</strong> command positions in major corporations," Tepperman said in an interview .<br />

"Even if all the children born to the elite <strong>of</strong> the 1920's had taken elite positions, they would only fill<br />

40 to 50 per cent <strong>of</strong> the jobs created by 1950 ."<br />

(This pattern, however, was probably a one-time phenomenon because the birth rate <strong>of</strong> the middle and working<br />

classes has now fallen similarly .)<br />

An elite-dominated sector is defined as one in which most top-level jobs are held by people from old<br />

families . The oldest sectors <strong>of</strong> the Canadian economy, such as banking, are almost entirely dominated<br />

like this, he said .<br />

In a period <strong>of</strong> limited economic growth, such as the one we are currently experiencing, there is less room<br />

for those from below . However : "When new sectors <strong>of</strong> the economy open up, these provide tremendous opportunities<br />

for individuals and groups who have been blocked in elite-dominated sectors ."<br />

Where might such an opening come next "If I knew that I'd be sitting in the Vatican and people would bow<br />

down to me," Tepperman said laughing . "You're asking me to tell you where new economic growth is going to<br />

take place ."<br />

But, he adds more seriously, it is conceivable that the next surge may involve the selling <strong>of</strong> some<br />

resource which has not been in demand until now, such as water . "Whatever the new sector is, it will be<br />

technologically as well as capital intensive ."<br />

"The transition from the nineteenth to the twentieth century is a transition from the history <strong>of</strong> great men<br />

to that <strong>of</strong> great organizations," Tepperman said . "And since a key role in these organizations is directorship,<br />

those who become directors capture the power ." Those who are merely wealthy still have an inside<br />

track, but the ability to capture power in large organizations becomes more important .<br />

Social responsibility is now exercised in the boardroom, not on the public stage, and people don't see<br />

themselves as individually responsible in the way they once did . One factor responsible for this change<br />

is the development <strong>of</strong> bureaucracy in business, which has made managerial expertise increasingly valuable<br />

and permitted the organization <strong>of</strong> thousands <strong>of</strong> people and "masses <strong>of</strong> power ."<br />

Tepperman and his colleagues have studied much <strong>of</strong> this pattern <strong>of</strong> change through studying succeeding boards<br />

<strong>of</strong> the Toronto General Hospital, an elite organization founded as a public charity by Family Compact members<br />

in 1818 . The membership <strong>of</strong> the hospital board has remained consistently upper class while accommodating<br />

shifts within it, they discovered . In the early twentieth century, new blood from the provincial<br />

government and the academic world was brought in, and more recently, Jews and women appeared on the board .<br />

"The appearance <strong>of</strong> these groups signifies that these populations have to be addressed if you want to<br />

mobilize their support . It doesn't mean you are necessarily going to be taking them home to dinner,"<br />

Tepperman said .<br />

(From Margot Gibb-Clark's story, TORONTO GLOBE & MAIL, 23 Aug 84 .)<br />

THATCHERISM AND NETWORKS<br />

"To drag Britain from the old state to the dawn <strong>of</strong> the new we need our Mrs . Thatcher & we needed strong<br />

central power, wielded in traditional hierarchical style, to cut through the jungle <strong>of</strong> interest groups &<br />

cartels & clear the undergrowth in preparation for the spread <strong>of</strong> the network society . In particular we<br />

needed this kind <strong>of</strong> approach to break up the dominant but fundamentally bogus form <strong>of</strong> consensus which the<br />

old producer groups had so successfully formed & projected in the 'seventies' in Britain . The consensual<br />

tendencies <strong>of</strong> the future, which government leaders will be expected to reflect & articulate will be<br />

<strong>of</strong> a wholly different kind, coming up from individuals & groups rather than imposed from the top <strong>of</strong> the<br />

pyramid . . .<br />

"The advanced societies wanting less government will still have to deal with the centralised governments<br />

<strong>of</strong> less mature countries who will be throwing their weight around . So strength in international affairs<br />

will require a much lighter touch at home . Come to think <strong>of</strong> it, that sounds a bit like the style <strong>of</strong><br />

British Government before Marx and before the rise <strong>of</strong> the modern industrial state . And perhaps that<br />

reflects a certain reality . Maybe the information society, with its computers in millions <strong>of</strong> homes, is<br />

really the old little bourgeois society, with its tight little network <strong>of</strong> contacts and interests, writ<br />

large . The bourgeoisie wanted to be left at home alone to pursue both its individual and communal<br />

interests, while government sent gunboats abroad . The labouring classes were meant to underpin this

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