Crony Capitalism

A New Stigler Center Case Study Explores the Link Between Italy’s Morandi Bridge Disaster and Crony Capitalism

Two years ago, the Morandi bridge collapse claimed 43 lives. Based on financial statements, Italian government documents, and interviews with independent experts...

The Coronavirus Crisis Has Exposed Private Equity’s Unsustainable Business Model

Private equity portfolio companies are heavily indebted, and they aren’t generating enough cash to service debts. The steady increase in asset values...

Who Benefits When State Governments Award Incentives to Politically-Connected Companies?

A new study finds that a company is nearly four times more likely to receive an economic incentive in a state where the company...

How Economic Concentration and Crony Capitalism Led to the Chaos in Chile

The signals of unrest in Chile mounted for years amid corruption scandals, rising inequality, and new monopolies. The fare increase on public transport that...

Subsidies to Amazon Are Uneconomical, Un-American, and Unconstitutional

Corporate subsidies are a negative-sum game. They foster crony capitalism, hurt productivity growth and inflict great harm on product market competition. As soon as Amazon announced...

What Glue Holds Communist Capitalism Together in China? Cronyism

With a few cronyist tweaks, China’s communist leaders made capitalism safe for Party rule. But will cronyism become China’s next booming export? The Chinese economy...

Of Computers and Cronyism: What’s the Cause of Italy’s Productivity Problem?

The latest Stigler Center working paper from Bruno Pellegrino and Luigi Zingales argues that Italy’s sclerotic TFP growth over the past two decades has...

Bribery, Cooperation, and the Evolution of Prosocial Institutions

How the science of cooperation and cultural evolution will give us new tools in combating corruption.     There is nothing natural((Putting aside what it means for...

Eliot Spitzer: The U.S. Never Had the Will and the Ability to Hold the Most Powerful to Account

In a special interview with ProMarket, former New York governor Eliot Spitzer talks about financial regulation, regulatory capture, and antitrust. Part 1 of 2.   Clear rules and...

Populist Plutocrats as a Political Phenomenon

How can a rich man successfully pose as a representative of the poor and the disenfranchised and become the leader of a populist movement?...

LATEST NEWS

Delaware: The State Where Companies Can Vote

Adapted from What’s the Matter with Delaware: How the First State Has Favored the Rich, Powerful, and Criminal—and How It Costs Us...

The NCAA Goes After College Athletes’ NIL Money—Here are the Antitrust Implications for Workers and Consumers

Having lost in the Supreme Court on student-athlete academic benefits, the NCAA has signaled a continuing attempt to suppress competition in the...

Have Business Roundtable Companies Lived Up to Their Stakeholder Commitments?  

In 2019, more than 100 CEOs of US public companies signed a Business Roundtable statement in which they pledged to deliver value...

Do Protests Matter At All for Shifting Government Policy Around Economic Redistribution?

New research on the effectiveness of protests on government distributions provides insights into the political incentives of a country’s leadership and the...

Mergers and Smoking Guns

A recently uncovered memo from George Stigler and Richard Posner reveals how they thought about antitrust and merger policy in advising the...