7 thoughts on ““Green Energy,” Crony Capitalism, and Nicholas Nickleby”

  1. There as always been some “crony capitalism” as long as there have been governments. But with the spending this govt has been doing the problem has become accentuated.

    Look at defense contracts. The Navy, because of their good experience with Grumman aircraft (they were known as the “Grumman Iron Works” ) – always favored Grumman when they needed a new plane. Would that be considered crony capitalism?

    I suppose that could be differentiated from , say, making a nice political contribution to getting a nice 500 million loan.

  2. Bill, for any contract there exist -theoretically – very detailed and transparent procedure of bidding. In private business “cronies” also happen, even when bidding requirements are followed to a “t”. There are several requirements to bidding companies before the bidding process starts that serve to filter out undesirables, from Owner’s point of view -the companies with insufficient insurance, those with less experience with similar projects, those with complains on their licenses or absent/fraudulent references. When government is in the role of the Owner, though, there appears whole different set of barriers, f.i. a Co has to be “shortlisted” before they are allowed to bid. Which in practice means lobbying of the most shameless kind. [I am trying to use neutral words here, you’d notice]

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