Cronyism, Capitalism and Competition
"Competition is the magic ingredient that makes capitalism work for everyone. Most of the elegant results that economists have derived about the benefits of free markets are based on the assumption that markets operate competitively. But economists do not focus sufficiently on the goal of ensuring that the competitive condition is met in practice. The problem is not the temporary advantage that companies secure through innovation but, rather, the longer-lasting political power they can secure through their size and lobbying influence. When companies operate in a noncompetitive market and are run by managers accountable to nobody, we should stop thinking of them as parts of a free market and see them instead for what they really are: small, centrally planned economies."
~ Luigi Zingales, page 29, "A Capitalism for the People"
