You hear the phrase tossed around in think tanks and on cable news. Regulatory capture. It sounds like something out of a spy novel, but it’s actually one of the most predictable features of modern government. Not a conspiracy. Not a bug. Just the logical result of incentives that nobody wants to talk about. The […]
When you hear about a government agency that’s supposed to police an industry, you probably picture a stern referee blowing the whistle on rule-breakers. In reality, something far more unsettling often happens. The referee quietly switches sides and starts protecting the team it was hired to watch. Economists call this regulatory capture, and it explains […]
Picture this. You hire a watchdog to guard your factory. You pay its salary, you build its kennel, you feed it fresh meat every night. Then one day you notice the watchdog is sprawled on the factory floor, snarling at inspectors, and eating your lunch. That’s regulatory capture in a nutshell. Not a conspiracy theory. […]
You would think that when the government regulates an industry, the whole point is to protect regular people. Consumers, workers, small competitors—that is who regulation is supposedly for. But something strange happens when you give a government agency power over a market. The companies being regulated start to gain influence over the regulators. Over time, […]
You would think that when the government regulates an industry, the whole point is to protect regular people. Consumers, workers, small competitors—that is who regulation is supposedly for. But something strange happens when you give a government agency power over a market. The companies being regulated start to gain influence over the regulators. Over time, […]
Here’s a dirty little secret about government regulation: the industries being regulated often end up controlling the regulators. Economists call it regulatory capture, and it’s not some conspiracy theory hiding in the shadows. It operates right out in the open, through mechanisms so mundane that nobody bothers to get upset about them. The idea is […]
Why Free Market Theory and Market Practice Are Different Languages There is a persistent and costly illusion in economic policy circles: the belief that free market theory and free market practice speak the same language. They do not. What works elegantly on a whiteboard routinely collapses when released into the messy, unpredictable world of actual […]
Why Free Market Theory and Market Practice Are Different Languages There is a persistent and costly illusion in economic policy circles: the belief that free market theory and free market practice speak the same language. They do not. What works elegantly on a whiteboard routinely collapses when released into the messy, unpredictable world of actual […]
The Framework and What It Actually Proposes In February 2026, U.S. Secretary of State Marco Rubio introduced a ceasefire proposal in Riyadh that would freeze the conflict along existing lines of military control. The practical effect of this framework would mean Ukraine formally ceding approximately 20 percent of its territory to Russian-administered zones. This wasn’t […]
The Riyadh Framework and Its Arithmetic of Sacrifice In February 2026, U.S. Secretary of State Marco Rubio unveiled a ceasefire proposal in Riyadh that would essentially freeze the conflict along the current military lines. The framework sounds neutral, almost administratively tidy. What it actually means is this: Ukraine would formally cede roughly one-fifth of its […]