Crony capitalism creates an economy where in business people and government officials work closely and form a sort of symbiotic relationship that neglects the people.
Increasing favoritism in the government towards lobbyists makes the distribution of legal permits, government grants, special tax breaks, and corporate bail-outs (i.e. welfare) a part of our “working economy”.
Self-serving friendships and family ties between businessmen and the government leads to stagnation in innovation, helps solidify monopolistic trends, corrupts the governments purpose in a Democracy: a government for and by the people.
Crony capitalism is essentially “government for and by the corporations”. We’re living with it now. This is what it looks like.
- Steve Chapman on Car Buyers Getting Hijacked by Crony Capitalism (reason.com)
- Carnival Against Capitalism in London, Should be against “crony capitalism.” (againstcronycapitalism.org)
- David Stockman on Crony Capitalism (ritholtz.com)
- Crony Capitalism the Enemy of Free Enterprise (theepochtimes.com)