Another excellent article from Tim Carney in The Atlantic. He sends out the same call we have been sending out (with an increasingly loud voice thanks to our readers) for quite a while. Those of us who believe in free markets, who believe that freedom and liberty are vital to human beings achieving their highest potential in business and beyond, must be prepared to call businesses out which collude with the government for unfair advantage. We should exert pressure in the marketplace and elsewhere.
If businesses see that engaging in crony capitalism is more costly to them than the advantages gained by schmoozing with the politicians they’ll stop.
(From The Atlantic)
Perhaps the only way to persuade big companies to reject cronyism is for spirited free-marketeers to somehow make up the majority of their shareholders — or their customers. If the latter sounds impossibly quixotic, consider the case of Allison and BB&T.
In 2005, the U.S. Supreme Court ruled, in Kelo v. New London, that local governments could use the power of eminent domain to take land from owners and transfer it to private companies. The ruling infuriated believers in property rights and critics of cronyism. Amid the public outcry, Allison announced that his bank, BB&T, would not finance commercial real estate deals that involved eminent domain takings.