You have been given these pages on Crony Capitalism from the Economist Magazine this month. You are asked to write about...

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Crony Capitalism from the Economist Magazine

April 14, 2018

You have been given these pages on Crony Capitalism from the Economist Magazine this month. You are asked to write about 1000 words. You will have to read these pages several times. Tha essay is due on April 23, 2014. As a help to you and in order to guide you, I am putting down the following points:

Adam Smith notion of capitalism and free market principle no longer exists in its real sense. The Economist Magazine's article says "a revolution to save capitalism from capitalists is under way." Think seriously about this statement. Explain it by referring to the new types of capitalism discussed and its implications on the free "competitive" market.

What is rent seeking in relation to crony capitalism and how does it adversely affect the market.

What are the conditions that led to the emergence of rent seekers? (third paragraph)

Define the relation between crony capitalism, monopoly and rent seeking

The consequence of rent seeking (fourth para)

Read and assess the index that is designed to gauge the extent of crony capitalism in countries, then point out the comparison between rich world and developing world. What is the crony capitalist position of each?

How does the richer world enhance crony capitalism in developing countries?

Analyze the three main points that predict the decline of crony capitalism. will these features help to bring back the Smithian capitalist model again?

In the eighth para a notion of government intervention to regulate monopolies is implied. How would you reconcile this with the Smithian notion of free market with no governmental intervention and the Keynesian opposite standpoint.

And finally there seems to be some relationship between this new article and mine written long ago.......

Remember all the above are guiding points and your paper must be written as a UNIFIED, well argued, paper, with good logic.........and good luck
here's the link to the article
http://www.economist.com/node/21599041/print










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