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

Antitrust and Rule by Judges

The early-1980s Posner-Stigler memorandum to incoming president Reagan’s transition team is interesting for a host of reasons, but most of all in...

Should the European Union Require Tech Firms to Adopt a Common Charger?

According to a new European Commission directive expected to be approved in the next few months, tech firms will have to use...

Chart of the Week: Economists Don’t Think Congress Should Make Price Gouging Illegal

Most economists disagree with a new bill in the US that would set limits on "unconscionably excessive prices," according to a recent...

Neoliberal Economists Are Giving Biden Bad Advice on Inflation

To spare the economy from the pain of further interest rate hikes, the President should aggressively pursue anticompetitive conduct by companies in...

How Would the Big Tech Self-Preferencing Bill Affect Users? 

The Senate looks to be nearing a vote on the American Innovation and Choice Online Act, which would prohibit gatekeeping digital platforms...