Why CEOs and Regulators Clash With the Duopoly of Proxy Advisory Firms

Institutional investors that own between 70 and 80 percent of the market value of US public companies often rely on investment advisers voting on behalf of clients. The SEC and corporate executives are willing to curb the power of the two largest proxy advisory companies, ISS and Glass Lewis. In a new episode of their podcast Capitalisn’t, Kate Waldock and Luigi Zingales discuss the new proposed regulation with SEC commissioner Robert Jackson.  

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The Uber Bubble: Why Is a Company That Lost $20 Billion Claimed to Be Successful?

In the first of three interrelated articles, transportation consultant Hubert Horan discusses Uber’s “uncompetitive economics.” There is no real innovation in the company’s business model, he argues. Its market share is the product of predatory pricing and gigantic subsidies, not of higher productivity.

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How Amazon Rigs Its Shopping Algorithm

For companies that sell on Amazon’s platform, “winning the Buy Box”—the area on the right-hand side of the page that says “Add to Cart” or “Buy Now”—is everything. While Amazon says it’s a neutral arbiter, there is ample evidence that the company has rigged its algorithm to deliver outcomes that further its own interests at the expense of sellers and consumers.  

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How Powerful Ideas Can Shape Society: Aaron Director and the Triumph of Nihilism

The rise of giants like Amazon and Facebook proves the long-lasting influence of Director’s approach. His intellectual and political legacy is the transition of legitimacy from democratic institutions as the locus of governing power to private monopolies.  

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