Step 1: Understanding the Concept:
The theory of the Power Elite argues that modern societies are governed by a small, cohesive group of people who hold dominant positions in major social institutions.
Step 2: Detailed Explanation:
C. Wright Mills, in his 1956 book "The Power Elite," analyzed the structure of power in the United States.
He identified three interlocking groups: the top leaders of the corporate world (economic), the federal government (political), and the high-ranking military officials.
He argued that these groups share similar social backgrounds and interests, and they make the fundamental decisions that affect the entire society, often bypassing democratic processes.
While Marx focused on the "Ruling Class" (economic owners), Mills looked at institutional positions.
Step 3: Final Answer:
C. Wright Mills developed the concept of the "Power Elite".