Recently, favor and favoritism has not been smiling on crony capitalists. Their self-serving behavior often spills over into politics and government. The attention that Viktor Yanukovych and Rinat Akhmetov have garnered in recent news has brought about this turn. Government's are markedly cracking down on cronies within the system. In Ukraine especially, monopolies and oligarchs are under scrutiny. A new generation has begun to emerge that casts capitalists in a better light. This article outlines the transition from crony capitalists to the new generation of economic tycoons that are taking over the economic world.
http://www.economist.com/news/leaders/21598996-political-connections-have-made-many-people-hugely-rich-recent-years-crony-capitalism-may
2 comments:
The article talks about how the incentives for politicians have changed due to slowing growth which has made reforms that open the economy vital. Is this really a reason for optimism? Just because growth has slowed requiring the economy to open doesn't mean these corrupt politicians will change. They are use to a way of living (receiving bribes, extra compensation, having control) and will most likely be reluctant to relinquish this lifestyle.
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