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Newbie Asks a Question: What is "Crony Capitalism"? (Vanity)
Vanity Question ^ | Jan 11, 2015 | Regal

Posted on 01/11/2015 6:53:29 AM PST by Regal

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To: Vaquero; Regal
National Socialists or NAZIs were the ultimate crony capitalists with extant corporations like Krups, Siemens and Bayer supplying the 3rd Reich with weapons of war.

And they did so using slave labor from the concentration camps.

21 posted on 01/11/2015 7:19:39 AM PST by Labyrinthos
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To: Timber Rattler

We have the illusion of business ownership but are ultimately managed by the state. Big business is able to curry greater favor and even stamp out competition through the public/private partnerships they’re able to secure.


22 posted on 01/11/2015 7:19:45 AM PST by Nickname
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To: george76

Good explanation.

The Democrat formula for elections these days is: entitlement army to provide the votes, crony capitalists to provide the campaign dough.

Big Education is another great example of crony capitalism as govt facilitates huge amounts of borrowed money to universities via tuition and grants, these pay big salaries to profs and admins, who donate to Democrats.


23 posted on 01/11/2015 7:20:10 AM PST by nascarnation (....)
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To: Regal

You have to try to understand the folk sayings of Sarah Palin.

Crony-capitalism and lame stream media are probably the two best known.

Crony capitalism is best defined as a system of corruption related to the current Oligarchy that rules the U.S.


24 posted on 01/11/2015 7:23:35 AM PST by Vermont Lt (Ebola: Death is a lagging indicator.)
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To: Labyrinthos
And they did so using slave labor from the concentration camps.

Absolutely....as did Von Braun to build V2s.

25 posted on 01/11/2015 7:27:26 AM PST by Vaquero (Don't pick a fight with an old guy. If he is too old to fight, he'll just kill you.)
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To: WhiskeyX

Sounds more like Crony Fascism or even Crony Communism.


26 posted on 01/11/2015 7:31:31 AM PST by a fool in paradise (Shickl-Gruber's Big Lie gave us Hussein's Un-Affordable Care act (HUAC).)
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To: Regal
Look at Solyndra.

1. This alleged alternative energy company with close ties to Obama gets $750 million in taxpayer dollars, which they spend on a palatial office and manufacturing plant on I-880 in Fremont, CA. Unsustainable, they go out of business within a year.

2. The government tries to drive up the costs of conventional energy in order to make preferred businesses more profitable. See Keystone XL pipeline and oil drilling bans.

You can summarize it with the phrase "government picking winners and loses."

-PJ

27 posted on 01/11/2015 7:35:00 AM PST by Political Junkie Too (If you are the Posterity of We the People, then you are a Natural Born Citizen.)
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To: Regal

It means the powerful give contracts to their buddies


28 posted on 01/11/2015 7:40:31 AM PST by yldstrk
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To: Oldexpat

It has been going for thousands of years, but was never labelled. I remember the Marcos stories.


29 posted on 01/11/2015 7:45:02 AM PST by deadrock (I is someone else.)
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To: Regal

If you want to know..think the Mafia, or Hitlers National socialism. In short, as long as a business gives protection money, the government will see to it the companies stay in business and get favors.


30 posted on 01/11/2015 7:46:14 AM PST by crz
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To: Regal

This is how I explained it to my wife:

Crony Capitalism is Puplic Elected or Appointed Officials like (federal congressmen, state congress, county commissions, mayors, city/town commissioners, dog catchers on down the line), working in concert with private enterprises/corporations to fill their own pocketbooks and increase personal and economic power without regard to any adverse effects their complicity may have on “We The People”, It is suppose to be illegal but it is an effective CYA system, hard to catch because the entire justice system is involved especially Police, DA’s, and Judges, it used to be somewhat hidden but now the infection is so bad it is obvious, and what is sad it cannot be fixed under our current one party political system.

An economical system of “You Rub/Cover My Back and I’ll Rub/Cover Yours” anyone and everyone else be damned.

CC is deeply entrenched in our gov’t top to bottom and will eventually lead us into being a third world country, we are already on the fast track to a heavy hard fall.


31 posted on 01/11/2015 7:47:04 AM PST by PoloSec ( Believe the Gospel: how that Christ died for our sins, was buried and rose again)
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To: Regal
Another example: the government taking over General Motors, and then:

1. Overturning 200 years of contract law and moving the labor union ahead of secured bond holders in the bankruptcy proceedings.

2. Disbanding long-established dealerships run by Republicans and giving those markets to Democrat campaign donors.

-PJ

32 posted on 01/11/2015 7:51:59 AM PST by Political Junkie Too (If you are the Posterity of We the People, then you are a Natural Born Citizen.)
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To: Regal

Crony capitalism is what Hitler and the Nazi’s had; the close alliance of key corporate interests and government. It is clearly what we have now between the US Government and the too-big-to-fail or jail Wall Street Banks and Banksters, Government and International corporate interests, and Government and the military industrial complex of businesses.


33 posted on 01/11/2015 7:52:03 AM PST by JustTheTruth
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To: hlmencken3

The origin of the word “crony” is about 1562.

The origin of the word “capitalism” is about 1826.

The origin of the term “lemon socialism” is in 1974.

The origin of the term “crony capitalism” may be sometime after 1826 and before somewhere about 1860 to 1974.


34 posted on 01/11/2015 7:57:06 AM PST by WhiskeyX
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To: Rodamala; Regal

Rodamala is correct here.

Crony Capitalism does not necessarily require a political position.

A real world example would be the history of AT&T. It was at one point called Ma Bell. They controlled the entire phone system in the US and were able to do so by having the Federal Government impose regulations that created extraordinary economic barriers on entry to any would be competition. AT&T actually worked with and encouraged those the Gov’t to impose those regulations.

Under Reagan they were forced to break up into the baby bells which paved the way for tremendous growth in telecommunications in the US.

AT&T is an example of a Government sanctioned monopoly.

http://en.wikipedia.org/wiki/History_of_AT%26T

(see Monopoly section)

“Around 1917, the idea that everyone in the country should have phone service and that the government should promote that began being discussed in government. AT&T agreed, saying in a 1917 annual report: “A combination of like activities under proper control and regulation, the service to the public would be better, more progressive, efficient, and economical than competitive systems.” In 1918 the federal government nationalized the entire telecommunications industry, with national security as the stated intent. Rates were regulated so that customers in large cities would pay higher rates to subsidize those in more remote areas. Vail was appointed to manage the telephone system with AT&T being paid a percentage of the telephone revenues”

That’s crony capitalism on a very large scale.

On a smaller scale it shows up when you need a license to cut hair, or have to meet certain regulatory standards that are so costly it keeps competition at bay.

Big Agriculture is a great example. More often than not when we hear of new regulations it comes from the same businesses that are already established in that business.


35 posted on 01/11/2015 8:02:10 AM PST by Zeneta (Thoughts in time and out of season.)
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To: ClearCase_guy

Great explanation!

And part of the reason why we here hate the establishment Republican Party. They are protecting each other and keeping free commerce from flowing.


36 posted on 01/11/2015 8:02:26 AM PST by Yaelle (No Cruz? Then "I'm Ready for Hillary; What Difference Does It Make?")
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To: Regal

Pork, special favors from politicians that help you financially (but not everyone), bailouts, subsidies, your own line in the tax code.


37 posted on 01/11/2015 8:03:48 AM PST by Lorianne (fed pork, bailouts, gone taxmoney)
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To: WhiskeyX

As an aside, I hate the term, ‘Crony Capitalism’, because it has nothing to do with Capitalism, and only tarnishes that good name. Call it something else.


38 posted on 01/11/2015 8:05:16 AM PST by sportutegrl
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To: Regal
I understand cronyism, but I am vague as to how the idea is communism related.

Fascists employ promises of communism to the LIVs in order to gain power. Ironically, fascists spew promises to fight communism in order to gain power, too. This is the mechanism by which the American Uniparty retains power.

The coup already occurred. Reagan was the last outsider to manage to thwart the kubuki presidential elections.

Ted Cruz has them worried.

39 posted on 01/11/2015 8:09:03 AM PST by Sirius Lee (All that is required for evil to advance is for government to do "something")
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To: Regal
I don't know the origin, but "Communism" isn't the word I think of with "Crony Capitalism".

"Oligarchy" is the word that comes to mind and seems to be what our world has morphed into, regardless of what each nation was at the end of WWII.

Maybe it's always been this way?

40 posted on 01/11/2015 8:17:31 AM PST by GBA (Just a hick in paradise)
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