If businesses get government subsidies to make their products cheaper, or “capture” regulation to hurt their competitors, that’s rent seeking.
Organized interest groups are able to control a lot of policy making, even if most people in the unorganized public disagree with them.
“Oh for the days of Ma Bell!” is not a lament we’re likely to hear. And for good reason. Before the breakup of AT&T, America’s telephone system was a government-sanctioned monopoly characterized by stagnant service offerings, high costs, and a glacial pace of consumer-facing innovation. So it was distressing when a federal appeals court engaged […]
Trump’s cabinet appointments and the opposition to them reveals some important lessons for the role of interest group dynamics in the political process and its relationship to furthering a free and responsible society.
Breweries will open as long as it is profitable. When taxes and regulations raise the costs of opening a brewery, we will see fewer of them.
If Super PACs had been abolished, that would have hurt Trump’s opponents. To the cynic, it should be no surprise that Trump remains critical of them.
Over 100 million Americans will turn their attention to Houston this weekend, as Tom Brady suits up against the Atlanta Falcons for his record seventh Super Bowl. But, according to the NFL, it’s not just the Patriots’ quarterback who will be looking to make it big in Houston. The real winner is supposedly the city […]
Draining the swamp may be a popular political slogan, but unless the swamp is restructured and significantly reduced, even the best of us on our worst days will use political office to enhance our power at the expense of others.
I’ve taken the liberty of making some edits to today’s CNN Money article “Carrier: Trump gave us state ‘incentives’ to save jobs” to more broadly reflect reality.
During the earliest part of the industrial revolution, workers who were upset about losing their jobs to advanced machinery would throw their shoes into the machines in order to sabotage production. We’re seeing recurrence of sabotage again today, but there’s no more successful saboteur than regulation. Duke University Professor Michael C. Munger explains.
Airbnb is now facing greater opposition in New York thanks to a recent bill signed by Governor Andrew Cuomo which bans advertising of short-term rentals.
Here are three movies that can help to demonstrate the concept of public choice theory in action.
As Hayek explained, adherence to principle means that there are some things one will not do to attain one’s ends. Such an individual is at a disadvantage in the winner-take-all process that determines who wields political power.
Solar power can only survive with an army of lobbyists dedicated to securing millions in taxpayer dollars.
Despite its health benefits, vaping faces strong opposition from the government and a variety of special interests.
Wikileaks, cyber attacks, and escalating Middle Eastern conflicts.
It’s a useful illustration of the logic of political action when the state is in a position to dispense favors, whether those favors be subsidies or mandates or barriers to entry that protect special interests’ profits.
We’re just a month out from what’s sure to be a historic presidential election. Check out the links below to get caught up before heading into the weekend. The United States suspended talks with Russia as the situation in Syria escalates following a failed ceasefire just weeks ago. Women’s U.S. chess star Nazi Paikidze is […]
Why did the United States invade Iraq? The pretense was that Iraq was harboring weapons of mass destruction. Another popular reason, however, was to make the country safe for democracy. The campaign – like so many foreign interventions – was “an abysmal failure,” says Professor Chris Coyne in the new Learn Liberty video below. Over […]
Why do foreign policy adventures so often go awry? In this week’s Learn Liberty video, Professor Abby Hall Blanco reveals how economic principles–like incentives and constraints—can explain the frequent poor outcomes of foreign policy. Incentives are usually defined by economists as the evaluation of the costs and benefits of a particular decision. But incentives may […]
Protectionism is the belief that domestic producers have a higher claim to your money than you do.
Duke University’s great historian of thought and Hayek scholar Bruce Caldwell sent the following e-mail to me, which I share here with Bruce’s kind permission (link added): Has anyone in the blogosphere noticed the chilling similarity between Hayek’s description in the Road To Serfdom (in the chapter titled “Why the Worst Get on Top“) of […]
Public Choice Theory provides a window into the incentives of government, providing insight into how and why bad and unpopular policies stay in place.
The road to tyranny is paved with good intentions. Anti-entrepreneurship, innovation crushing good intentions.