“Crony Capitalism” a term describing an economy in which business success depends on relationships between individuals, and government. These relationships include such benefits as government favoritism, and tax incentives. The brief mention of Boies Penrose, a republican lawyer from Philadelphia, Pennsylvania identifies an important point of view; Boies says “I believe in the division of labor. You send us to Congress; we pass laws under which you make money…and out of your profits you further contribute to our campaign fund to send us back again to pass more laws two enable you to make more money.” Boies would fit in perfectly with our current political landscape. Crony Capitalism allows specialized deals to increase the wealth for certain wealthy members of society, while the rest of society pays for these deals at gas stations, grocery stores and the pharmacy. We also pay through high levels of unemployment, and the loss of our political equality.
David Stockman, a Republican Congressman from Michigan was an early proponent of
Supply-side economics which later became the centerpiece for Ronald Regan’s 1980 campaign for President. Once elected Regan appointed Stockman as Budget Director and helped Regan develop the largest tax cut in our history which favored the wealthy. Stockman compares the
Feds Financialization of the market to a casino operation, and believes that the modern “bailout culture” began during President Clinton’s presidency. Stockman recommends a constitutional
amendment
