Thursday, March 13, 2003

Crony Capitalism
Ahh.. another example of the Republican brand of capitalism. According to this story in the NYT, a well connected businessman has received a no fee lease on 280 acres of federal land. Here's the connection- he is the finance chair for Senator Inhofe who is the chair of the committee that oversees the Army Corps of Engineers. But not only is his company not paying a penny for the land, they will be competing with an already established business.
This is the joy of crony capitalism- you are insulated from market realities by your connections to the government's gravy train. Success is driven by your ability to lobby and donate to campaigns, not by your entrepreneurial skills. Republicans like to talk a good game about the free market, but take a look at the Bush administration and you will see that nearly all of his former CEO's headed companies in heavily regulated industries. These people lack any knowledge of a true free market, but they know all about buying politicians.


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