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

Female Academics Are Disproportionately Affected By Covid-19 Disruptions In Childcare

A new paper finds that academics who are parents to young children, and especially mothers, have lost a significant amount of research...

Rethinking Competition: From Market Failures to Ecosystem Failures

Despite the overwhelming importance of digital platforms, and the chatter around their recent rise, our understanding of digital ecosystems is still limited....

A Famed Economist’s Public Company U-Turn

Michael Jensen, a leading late 20th century economist, pivoted from praising public companies in the 1970s to assailing public company governance in...

Chinese Antitrust 2.0: Why Is China Going After Its Big Tech?

In an interview with ProMarket, Angela Huyue Zhang, author of a new book Chinese Antitrust Exceptionalism, discusses the motivations behind the recent...

Preventing Drug Shortages and Saving Lives: The Role of Quality and Reliability Standards

Prescription drug shortages have become more common in recent years, interrupting usual medical care and increasing patient risk and system costs, but...