Any system of government in which virtually all political power is held by a very small number of wealthy but otherwise unmeritorious people who shape public policy primarily to benefit themselves financially through direct subsidies to their agricultural estates or business firms, lucrative government contracts, and protectionist measures aimed at damaging their economic competitors -- while displaying little or no concern for the broader interests of the rest of the citizenry. "Oligarchy" is also used as a collective term to denote all the individual members of the small corrupt ruling group in such a system. The term always has a negative or derogatory connotation in both contemporary and classical usage, in contrast to aristocracy (which sometimes has a derogatory connotation in modern usage, but never in classical).

[See also: elite (elitist) theory, aristocracy, republic, democracy, fascism, state, protectionism, subsidy, monopoly]