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Is there a formal name to describe incumbents pushing for regulations in order to keep out new competitors? Something more specific than just “anti-competitive,

Is there a formal name to describe incumbents pushing for regulations in order to keep out new competitors? Something more specific than just “anti-competitive, monopolistic,” etc. This seems like such a common tactic that I’d expect there to be academic studies about it.

deleted 4y ago
[deleted]
InvaderFizz 4y ago
Regulatory Capture
docandrew 4y ago
Rent-seeking?
baremetal 4y ago
Neoliberal crony capitalism?
- nequo 4y ago
  What makes lobbying to regulate your competitors out of existence neoliberal?
  - samtheprogram 4y ago
    “It’s regulation”
  - ericmay 4y ago
    Further, what exactly does this have to do with capitalism? This is strictly a failure of government, and by extension the people.
    - dylmarcor 4y ago
      It’s predatory incumbent firms and industries that seek to manipulate thru regulation, so it’s private sector first coming to utilize public sector for protections. So I’d say it’s pretty capitalist initially, and then a failing of government second.
      - dragonwriter 4y ago
        > it’s private sector first coming to utilize public sector for protections. So I’d say it’s pretty capitalist initially, and then a failing of government second. I’d say its just capitalist, period. The owners of capital, collectively and individually, using government as a vehicle to advance their interest is the whole origin and nature of capitalism. “free markets”, etc., are post hoc idealistic rationalizations that were created to defend those interests by selling people on capitalism well after it existed, and do not reflect the reality of capitalism.
    - jeromegv 4y ago
      When your whole political system depends on donations from large corporations, the government becomes in service of capitalism. Sure a failure of government but when you have built every incentives to promote those behaviours, the opposite would be surprising. Many countries ban donations from companies, doesn't let companies pay for politicians ads, etc. Doesn't mean it's perfect, government rely on jobs from companies to make their citizens happy, but it does help to make the politician a bit more independent from corporate interest.
      - s1artibartfast 4y ago
        It is simple government corruption and there is nothing unique about it to capitalism. The same phenomenon occurs with other forms of government, such as Socialism or communism.
      - relativ575 4y ago
        > When your whole political system depends on donations from large corporations, Hmm, outrage sounding yet devoid of any meaning. No wonder populism is trendy. It invokes anger in people without viable solution. Corruption exists all over the world regardless of political or economy system. If donation cannot be done legally, and documented, it will be done under the table. Qatargate is only a recent example, known because of its high profile, not because it being rare. "Panzeri's group received payment in cash from Qatar, Morocco, Mauritania and possibly Saudi Arabia. The group are described as "shockingly amateurish", because they stored the money they received in bribes in their apartments, made hundreds of unencrypted telephone calls and held a "held a conspiratorial meeting in a hotel that was full of surveillance cameras". Nevertheless, they operated undetected for years. Green Party MEP Viola von Cramon-Taubadel said that Kazakhstan, Azerbaijan and Russia also "systematically purchased influence over an extended period" https://en.wikipedia.org/wiki/Qatar_corruption_scandal_at_the_European_Parliament https://en.wikipedia.org/wiki/Qatar_corruption_scandal_at_th...
simonjgreen 4y ago
Yes, the term you're looking for is "regulatory capture." Regulatory capture is a phenomenon where incumbent firms or industries manipulate regulations and regulatory bodies to create barriers to entry for new competitors, thereby maintaining or increasing their market power. This concept was first introduced by the economist George Stigler in his 1971 paper, "The Theory of Economic Regulation." Regulatory capture can take various forms, such as influencing the creation of new regulations that favor incumbents, lobbying for selective enforcement of existing regulations, or even having industry insiders appointed to key regulatory positions. It's a well-studied topic in economics, political science, and public policy, and is seen as a form of government failure that leads to market inefficiencies and reduced competition.
- gfosco 4y ago
  This is already being attempted with AI, under the guise of "safety".
  - judge2020 4y ago
    I thought you were talking about the comment, which either sounds like it was AI generated or pulled directly from a dictionary.
- cratermoon 4y ago
  Known as barriers to entry: "Barriers to entry is an economics and business term describing factors that can prevent or impede newcomers into a market or industry sector, and so limit competition. These can include high start-up costs, regulatory hurdles, or other obstacles that prevent new competitors from easily entering a business sector." https://www.investopedia.com/terms/b/barrierstoentry.asp https://www.investopedia.com/terms/b/barrierstoentry.asp
brightball 4y ago
Typically, that’s what almost all regulations actually do. Just pull the ladder up farther out of reach. It’s the reason companies lobby for them.
- capableweb 4y ago
  You do realize there are thousands of regulations, related to everything from seat-belts to what chemical to use in hair coloring products. To say that "almost all regulation" comes from companies attempting "regulatory capture" seems simplified at best. Lot of them surely come from pushes by companies, but if "almost all" is to believed, you're gonna have to cite something that shows this.
- KyeRussell 4y ago
  [flagged]
  - brightball 4y ago
    I did say “almost all”. Bills like this just reinforce it.
Eddy_Viscosity2 4y ago
For fun, look up what Ronald Reagan did to protect car dealerships, specifically incumbent dealerships in California.
astura 4y ago
>Is there a formal name to describe incumbents pushing for regulations in order to keep out new competitors? Regulatory capture. https://en.wikipedia.org/wiki/Regulatory_capture https://en.wikipedia.org/wiki/Regulatory_capture

deleted 4y ago

[deleted]

InvaderFizz 4y ago

Regulatory Capture

docandrew 4y ago

Rent-seeking?

baremetal 4y ago

Neoliberal crony capitalism?

nequo 4y ago
What makes lobbying to regulate your competitors out of existence neoliberal?
- samtheprogram 4y ago
  “It’s regulation”
- ericmay 4y ago
  Further, what exactly does this have to do with capitalism? This is strictly a failure of government, and by extension the people.
  - dylmarcor 4y ago
    It’s predatory incumbent firms and industries that seek to manipulate thru regulation, so it’s private sector first coming to utilize public sector for protections. So I’d say it’s pretty capitalist initially, and then a failing of government second.
    - dragonwriter 4y ago
      > it’s private sector first coming to utilize public sector for protections. So I’d say it’s pretty capitalist initially, and then a failing of government second. I’d say its just capitalist, period. The owners of capital, collectively and individually, using government as a vehicle to advance their interest is the whole origin and nature of capitalism. “free markets”, etc., are post hoc idealistic rationalizations that were created to defend those interests by selling people on capitalism well after it existed, and do not reflect the reality of capitalism.
  - jeromegv 4y ago
    When your whole political system depends on donations from large corporations, the government becomes in service of capitalism. Sure a failure of government but when you have built every incentives to promote those behaviours, the opposite would be surprising. Many countries ban donations from companies, doesn't let companies pay for politicians ads, etc. Doesn't mean it's perfect, government rely on jobs from companies to make their citizens happy, but it does help to make the politician a bit more independent from corporate interest.
    - s1artibartfast 4y ago
      It is simple government corruption and there is nothing unique about it to capitalism. The same phenomenon occurs with other forms of government, such as Socialism or communism.
    - relativ575 4y ago
      > When your whole political system depends on donations from large corporations, Hmm, outrage sounding yet devoid of any meaning. No wonder populism is trendy. It invokes anger in people without viable solution. Corruption exists all over the world regardless of political or economy system. If donation cannot be done legally, and documented, it will be done under the table. Qatargate is only a recent example, known because of its high profile, not because it being rare. "Panzeri's group received payment in cash from Qatar, Morocco, Mauritania and possibly Saudi Arabia. The group are described as "shockingly amateurish", because they stored the money they received in bribes in their apartments, made hundreds of unencrypted telephone calls and held a "held a conspiratorial meeting in a hotel that was full of surveillance cameras". Nevertheless, they operated undetected for years. Green Party MEP Viola von Cramon-Taubadel said that Kazakhstan, Azerbaijan and Russia also "systematically purchased influence over an extended period" https://en.wikipedia.org/wiki/Qatar_corruption_scandal_at_the_European_Parliament https://en.wikipedia.org/wiki/Qatar_corruption_scandal_at_th...

simonjgreen 4y ago

Yes, the term you're looking for is "regulatory capture." Regulatory capture is a phenomenon where incumbent firms or industries manipulate regulations and regulatory bodies to create barriers to entry for new competitors, thereby maintaining or increasing their market power. This concept was first introduced by the economist George Stigler in his 1971 paper, "The Theory of Economic Regulation." Regulatory capture can take various forms, such as influencing the creation of new regulations that favor incumbents, lobbying for selective enforcement of existing regulations, or even having industry insiders appointed to key regulatory positions. It's a well-studied topic in economics, political science, and public policy, and is seen as a form of government failure that leads to market inefficiencies and reduced competition.

gfosco 4y ago
This is already being attempted with AI, under the guise of "safety".
- judge2020 4y ago
  I thought you were talking about the comment, which either sounds like it was AI generated or pulled directly from a dictionary.
cratermoon 4y ago
Known as barriers to entry: "Barriers to entry is an economics and business term describing factors that can prevent or impede newcomers into a market or industry sector, and so limit competition. These can include high start-up costs, regulatory hurdles, or other obstacles that prevent new competitors from easily entering a business sector." https://www.investopedia.com/terms/b/barrierstoentry.asp https://www.investopedia.com/terms/b/barrierstoentry.asp

brightball 4y ago

Typically, that’s what almost all regulations actually do. Just pull the ladder up farther out of reach. It’s the reason companies lobby for them.

capableweb 4y ago
You do realize there are thousands of regulations, related to everything from seat-belts to what chemical to use in hair coloring products. To say that "almost all regulation" comes from companies attempting "regulatory capture" seems simplified at best. Lot of them surely come from pushes by companies, but if "almost all" is to believed, you're gonna have to cite something that shows this.
KyeRussell 4y ago
[flagged]
- brightball 4y ago
  I did say “almost all”. Bills like this just reinforce it.

Eddy_Viscosity2 4y ago

For fun, look up what Ronald Reagan did to protect car dealerships, specifically incumbent dealerships in California.

astura 4y ago

>Is there a formal name to describe incumbents pushing for regulations in order to keep out new competitors? Regulatory capture. https://en.wikipedia.org/wiki/Regulatory_capture https://en.wikipedia.org/wiki/Regulatory_capture