Thursday, May 12, 2016

Charts of the Day: The Global Crony-Capitalism Index

The Economist featured their world Crony Capitalism Index last week. 


With 5 nations within the world's top 10, Southeast Asia appears to be the leader in crony capitalism. The Philippines ranked third.

The Economist on their methodology:
Using data from a list of the world's billionaires and their worth published by Forbes we label each individual as crony or not based on the source of their wealth. Industries that have a lot of interaction with the state are vulnerable to crony capitalism (a full list of industries is provided in the table below). These activities are often legal but always unfair (Donald Trump, a casino and property tycoon, earns the 104th spot in our individual crony ranking). We aggregate the billionaires by their home country and express the total wealth as percentage of GDP. The results are presented above for 22 economies: the five largest rich ones, the ten biggest for which reliable data are available and a selection of other countries where cronyism is a problem. 


Industries prone to cronyism.

Central bank 'trickle down' inspired economic boom? Only for cronies.


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