So it’s possible that big companies are increasing their market power by using lobbying to capture politicians and regulators. If this is true, it’s very bad news for free markets and capitalism. It would validate the claims of Senator Bernie Sanders, the socialist presidential candidate who has blamed corporate interests for the woes of American workers. Why exactly big companies and their lobbyists might have become more successful in bending regulation to their will since 2000 is still a mystery, but it’s a phenomenon that deserves more attention and investigation. The future of capitalism could be at stake.
I'm not sure how that author makes the segue from regulation being a problem to more government control being the answer.
It is, if you actually understand the nuance of the argument. The world can't be dumbed down to "more" or "less" government. It is ACTUALLY important HOW government works.
I could use my native Norway as an example, where corporation has not taken an increasing share of the economy and workers are better compensated.
We have been run for many years by Bernie style guys. However we tend to have much simpler regulation than the US, which has been run mostly pro business/capitalism types of people.
Size of government and regulation complexity is NOT the same thing. The amount a country taxes its citizens and the complexity of the tax code e.g. is not remotely related. But conservative rhetoric implies that it is. In Norway we have considerably higher taxes than the US, but our tax code is far simpler.
Likewise our health care system is mostly government controlled, but US health care system while mostly private is encased in far more complicated regulations. Our health care rules and regulations are far simpler. The bureaucracy surrounding US health care is mind boggling.
Although this is hard to impress on an American, a more powerful government often means LESS and SIMPLER regulations not more complexity. A more powerful government less influenced by special interests can simplify things by creating common standards for things.
We have a lot of that in Norway, where the US has lots of incompatible standards, because government is weak or heavily influence by business interests. E.g. there is a standard for electronic prescriptions, so I can get a prescription with any doctor and that will automatically be available in any pharmacy regardless of the company operating that pharmacy.
It isn't hard to explain why things are this way. US politicians can easily be bought, and companies pay them to create complicated regulations which benefit them by keeping competition out.
Why do you think the most complicated bureaucracies exist in developing countries? It is because government is so corrupt. Corruption drives complexity. If you want simpler rules you need cleaner government. Then you need to get money out of politics. Bernie Sanders is the guy to do that.
I'm not sure how that author makes the segue from regulation being a problem to more government control being the answer.