Democratic Dice are Loaded: When Crony Capitalists Run the Government

A de facto coup d’état rocked Australia last month. Prime Minister Tony Abbott was ousted by a rival within the same political party. Abbott had led the Liberals to victory in the 2013 elections, promising to cut down on the costly and otherwise harmful green agenda of the previous government. Rent-seeking businesses in renewable energy, who live on subsidies and other handouts from governments, felt threatened. They vowed to fight, and they did. Lobbying is their strength, facilitated by deep pockets filled with taxpayers’ money. Ordinary people, wind farm victims in particular, can’t compete with that. This led to the victory of the crony capitalists. A new, pro-windfarm majority appeared within the Liberal party. Abbott no longer had the support he needed: he had to go.