"When an employed majority determines legislation and policy, conditions will tend to be adapted to the standards of that group and become less favorable to the independent."
This notion would hold truth in a society where hyper-rich and corporate interests effects on governmental legislation were proportional to the majority of the citizens. Unfortunately for the United States, or at least her working class "employed majority", this has proven to be very questionable. I fail to see how the voice of the majority can be heard over that of a 1% that controls more wealth than the bottom 50%, especially in the United States. I'm not bashing Hayek on his point made in this portion of the chapter as much as I'm curious as to how he'd respond to the gross permutation the wealth distribution in the United States has taken. Clearly, this is a major problem that needs solving; does the solution lie in government intervention? If yes, what sort of intervention? Higher tax brackets? Limits on political influence?
If the solution lies outside of government intervention, where then?