An oligarchy is a form of governance where power rests with a small, elite group distinguished by royalty, wealth, family ties, education, corporate, religious, political, or military control. This ruling group, known as “oligarchs,” often governs for selfish purposes, maintaining their power and wealth.
Historically, Aristotle contrasted oligarchy with aristocracy, viewing the former as a perverted form of the latter, where governance serves the interests of the wealthy rather than the common good. Modern scholars, such as Robert Michels, have observed that even democratic organizations can evolve into oligarchies due to the necessity of dividing labor, leading to a ruling class focused on maintaining its power.
In contemporary discussions, the term “oligarchy” often refers to situations where a small group of wealthy individuals or families exert significant political influence. For example, President Joe Biden, in his farewell address, warned about the growing concentration of power among ultra-wealthy individuals, describing it as a shift toward oligarchy in America.
Understanding oligarchy is crucial, as it highlights the potential for wealth and power to become concentrated in the hands of a few, potentially undermining democratic principles and leading to governance that prioritizes the interests of the few over the many.