Earlier this year, as a condition of approving Nippon Steel's purchase of US Steel, President Trump demanded Nippon give the US government a "golden share" in US Steel. This golden share allows the US government to overrule Nippon's management if the government determines Nippon is acting against US "national security," which means the government can overrule many decisions made by Nippon's management.

Unfortunately, Nippon was not a "one-and-done" excursion into corporatism. President Trump recently struck a deal with computer chip manufacturer Intel to give the company 8.9 billion dollars in government subsidies in exchange for ten percent of Intel's stock. This deal makes the US government Intel's largest stockholder!

The Trump administration has promised that it will not use its position to undermine Intel's board. However, the administration is reserving the right to counter Intel's board if the administration determines the board is taking an action that would adversely impact the relationship of the company or its subsidiaries with the US government. So, the Trump administration is yet again giving itself power to manage a nominally private company.