US Legislation Process

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Questions and Answers

What was the author's primary concern when approaching Senator Russell Long?

Finding a champion for the ESOP bill (correct)

Meeting with Senator Long to discuss the railroad problem

Convincing Senator Long to support government ownership of railroads

Persuading Senator Long to introduce a bill

What was the author's initial concern about introducing a bill?

Getting it introduced by anyone

Passing the bill through the Commerce Committee

Getting the bill signed into law (correct)

Finding a senator to introduce the bill

What was Senator Long's response to the author's proposal?

He asked the author to bring him a package the next day (correct)

He was skeptical at first, but later supported it

He immediately agreed to introduce the bill

He dismissed the idea as impractical

What was the core idea of the author's proposal?

Worker ownership of railroads Signup and view all the answers

What was Senator Long's concern about the railroads?

Taxpayers would have to bail out stockholders Signup and view all the answers

What did Senator Long do in the meeting of the Commerce Committee?

He waved papers around and presented the idea Signup and view all the answers

Who was the chairman of the Commerce Committee?

Senator Warren Magnuson Signup and view all the answers

What was Senator Long's response to Chairman Magnuson's comment?

He said he was very busy Signup and view all the answers

What was the main purpose of Thevenot's trip?

To put questions to Kelso about his new idea Signup and view all the answers

Why did Thevenot agree to help Kelso?

Because he was impressed by Kelso's idea Signup and view all the answers

What did Senator Long say when he opened The Capitalist Manifesto?

I want to meet these people Signup and view all the answers

What was Kelso's proposal for the Conrail system?

To let the workers become the owners Signup and view all the answers

Who did Thevenot and the author meet to arrange for Kelso's meeting with Senator Long?

Wayne Thevenot Signup and view all the answers

What did Eric Severeid deliver on the radio the day before the meeting with Senator Long?

An editorial supporting the proposal Signup and view all the answers

Why did Kelso and the author go to the gallery to wait for Senator Long?

Because Senator Long was tied up in a debate Signup and view all the answers

What was the significance of the event on the radio the day before the meeting with Senator Long?

It was a positive sign for the meeting with Senator Long Signup and view all the answers

What was the main reason why Senator Long agreed to meet with Kelso and the others?

Because he wanted to understand how Kelso's idea could be related to his father's 'share the wealth' programs Signup and view all the answers

What was the significance of Senator Long's dinner meeting with Kelso and the others?

It was a rare opportunity for Kelso to discuss his idea with a prominent politician Signup and view all the answers

What was the main topic of discussion during the dinner meeting?

Kelso's general theory and logic of binary economics Signup and view all the answers

Why did Senator Long's father, Huey Long, pose a threat to Roosevelt's political leadership?

Because he was a charismatic populist with a strong base Signup and view all the answers

What was the outcome of Senator Long's meeting with Kelso and the others?

Senator Long listened to Kelso's idea and related it to his father's 'share the wealth' programs Signup and view all the answers

What did Senator Long manage to get into law?

A study to determine the extent of employee ownership Signup and view all the answers

Who signed the legislation into law on January 1, 1974?

President Nixon Signup and view all the answers

What was Kelso's idea about economic ownership?

That every man should become a capitalist and own capital Signup and view all the answers

What was the significance of Huey Long's assassination?

It led to Russell Long becoming the youngest Senator ever elected Signup and view all the answers

What was the outcome of the ESOP study by E.F. Hutton and others?

It found that ESOPs would have no positive impact Signup and view all the answers

What was the atmosphere of the dinner meeting between Senator Long and Kelso?

Engaging and interactive, with a focus on discussing ideas Signup and view all the answers

Who provided a point-by-point rebuttal to the study's conclusion?

Senator Russell Long and Louis Kelso Signup and view all the answers

How many ESOP companies exist today?

Over 10,000 Signup and view all the answers

What Act of 1974 promoted ESOPs?

Employee Retirement Income Security Act (ERISA) Signup and view all the answers

At what age was Russell Long elected as a US Senator?

Before 30 Signup and view all the answers

What type of leaders are needed to move systemic change forward?

Authentic leaders with power, courage, and principle Signup and view all the answers

What did Russell Long liken his father to?

A Robin Hood populist Signup and view all the answers

What is the approximate number of employee-owners today?

Over 11 million Signup and view all the answers

What was Russell Long's philosophy about ownership?

Every man should be a capitalist Signup and view all the answers

Who opposed Kelso's economic theories?

Traditional economists, including Milton Friedman and Paul Samuelson Signup and view all the answers

What was Russell Long's principle in politics?

I don't care who's right, I care what's right Signup and view all the answers

What was the topic of the bill before Congress mentioned in the conversation?

Dealing with the railroads Signup and view all the answers

Who were the co-sponsors of the bill from the Democratic party?

Senator Humphrey and Senator Metcalf Signup and view all the answers

What was the prognosis of the bill before Congress?

It was not expected to go anywhere Signup and view all the answers

Study Notes

ESOP Champion Russell Long

Russell Long, a senator from Louisiana, played a crucial role in promoting the Employee Stock Ownership Plan (ESOP) concept.
Long was convinced by Louis Kelso's idea of worker ownership and championed the cause, introducing a bill that led to the passage of the Employee Retirement Income Security Act (ERISA) in 1974.

The Meeting that Changed the Course of ESOP

A meeting between Russell Long, Louis Kelso, Wayne Thevenot, and the author took place on November 27, 1973, at the Montpelier Room in Washington D.C.
Kelso discussed his general theory, political theory, and the logic of binary economics with Long, who listened intently and compared Kelso's ideas to his father Huey Long's "share the wealth" programs.
Long, unlike his father, was not a Robin Hood populist and believed every man should become a capital owner, which he called a "capitalist."

The Early Days of ESOP

The concept of ESOP was met with opposition from traditional economists, including Milton Friedman and Paul Samuelson.
Senator Long's support was instrumental in getting a watered-down version of the ESOP legislation passed, which called for a study to determine the extent of employee ownership.
The study, which was awarded to E.F. Hutton and others, concluded that ESOPs would not be effective, but Kelso and the author later provided a rebuttal to this report.

Legacy of ESOP

Today, there are over 10,000 ESOP companies and over 11 million employee-owners in the United States.
Russell Long's support was crucial in establishing ESOP as a viable form of employee ownership, leading to the passage of over 20 laws promoting ESOPs.

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Description

A conversation about introducing a bill in the US legislation process, discussing the need for a powerful committee member to get it passed.