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The phrase https://en.wikipedia.org/wiki/Regulatory_capture https://en.wikipedia.org/wiki/Regulatory_capture applies to what you're describing here more than "e
by powera 10y ago
The phrase https://en.wikipedia.org/wiki/Regulatory_capture https://en.wikipedia.org/wiki/Regulatory_capture applies to what you're describing here more than "economic rent" does.
- davidf18 10y agoI deal with regulatory capture in my work (in healthcare and patient safety). Regulatory capture is when experts use expertise over (say) public regulators who have less expertise to give their industry economic rents.. In addition, there are problems with people working on these (often) public regulatory agencies later working as lobbyists for the very special interest groups they were supposed to regulate. The wiki article you supply gives many examples of this from the FAA, to the NRC, to the Fed regulating investment banks, .... The economic rents frequently are political laws passed to create special licensing requirements to create politically induced barriers to entry for people wishing to have a job. The economic rents also apply to other politically induced scarcities such as limitations on zoning density to create housing scarcity or taxi medallions to create taxi scarcity.