Crony Capitalism Is Oxymoronic
There is no such thing as "crony capitalism". The term is misleading. It is either cronyism or capitalism and there is nothing in between.

Capitalism is also called laissez-faire, free market or self-regulating market. Capitalism advocates competitive market and voluntary exchange. Looking at the outcome, if the market is not free, then it is not capitalism.

The left does not allow free market because they create laws that interfere with market or favour certain businesses. But they want to shift the blame to other people. So they create an oxymoronic term "crony capitalism" so that capitalism will take the hit for controlled market created by the left. This suits the hyprocritical behaviour of the left. They even go as far as creating an index on "crony capitalism" to make it look professional. When we translate the index, it actually means an index of croniyism or business-related corruption, which has nothing to do with capitalism.

Indeed there are evil businessmen who bribe government officials to gain market control. But businessmen do not automatically mean capitalists. Not all businessmen are capitalists. Capitalism advocates open competition in the light, not under-the-table dealings in the shadow. Evil businessmen are the side effects of a big government. So there must be limited government so that it is not bribable. When businessmen involve in corruption, they already put themselves in cronyism instead of capitalism.Although evil businessmen may get something in return in future for the lobbying, they still suffer some loss. This is because they receive nothing at the point of the spending and this is actually deadweight loss for them. The money can be spent to receive goods or services instantly instead to enhance the business.

When cronyism is apparent, crime rate goes up as bad guys see that justice will not be served. On the contrary, when capitalism is in place and the market is booming, the crime rate decreases. This is because when it is cheaper to buy something than to steal it, the incentive changes. Capitalism will not exist if there is no enforcement of justice because there will be no accumulation of capital goods.

Posted: 2016-10-19; updated: 2016-11-16 by Ong Seng Aun.
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