Futurity

Are big tech monopolies ruining American capitalism?

Listen to this podcast to hear an economist explain how big tech companies like Facebook, Google, and Amazon are threatening capitalism.
A piggy bank sits on a pink background with coins raining down on it. It's smiling face is looking up as the coins fall down

American capitalism is once again under threat from monopolies, according to one economist.

Luigi Zingales of the University of Chicago often says that only an immigrant like himself can really appreciate American capitalism.

In his native Italy, Zingales says what you know and what you do are far less important that who you know and what you do for them.

But in the last decade, Zingales says the United States has started to look more and more like the country he left. Now, he’s trying to save American capitalism from itself—and big businesses including Amazon, Facebook, and Google.

“There is a natural, and in a sense, a healthy tension between a democracy and a capitalist system,” Zingales says. “A capitalist system does tend to reward disproportionately a few and reward more the more talented and the one who work harder. And so it does create inequality and that doesn’t sit down very well with a democratic system that where you want to kind of redistribute and equalize. And I think that this tension is very healthy, but it is balance only under a number of conditions.

“One condition is that the system delivers some benefits to everybody. There is as an opportunity [for] everybody to move up in the ladder and that the system [is] relatively fair. It’s particularly painful to be left behind in the game of life. It’s intolerable if you have the perception that the game is rigged.”

Here, Zingales explains how things have changed in the United States and how big tech companies threaten American capitalism:

Source: University of Chicago

The post Are big tech monopolies ruining American capitalism? appeared first on Futurity.

Altro da Futurity

Futurity3 min lettiPsychology
Your Wandering Mind Is A ‘Feature,’ Not A Bug
Researchers have come up with a way to track the flow of our internal thought processes and signal whether our minds are focused, fixated, or wandering. Using an electroencephalogram (EEG) to measure brain activity while people performed mundane atte
Futurity4 min lettiPersonal Growth
Control May Explain Money’s Grip On Happiness
Contrary to previous influential work, new research on money and happiness finds that there’s no dollar-value plateau at which money’s importance lessens. One potential reason: Higher earners feel an increased sense of control over life. To answer th
Futurity3 min lettiBiology
Tool Reveals Best Antibiotic Combos For Tough Bacteria
A new tool speeds up the process of choosing the most effective combination of antibiotics to kill treatment-resistant bacteria. Multi-drug-resistant bacteria are a major global problem. The number of new resistant bacteria is constantly increasing,