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1、MERCATUSRESEARCHTHEPATHOLOGYOFPRIVILEGE:TheEconomicConsequencesofGovernmentFavoritismMatthewMitchellBridgingthegapbetweenacademicideasandreal-worldproblemsABOUTTHEMERCATUSCENTERATGEORGEMASONUNIVERSITYForover25years,theMercatusCenteratGeorgeMasonUniversityhasbeentheworld’spremieruniversityso
2、urceformarket-orientedideas—bridgingthegapbetweenacademicideasandreal-worldproblems.Auniversity-basedresearchcenter,Mercatusworkstoadvanceknowledgeabouthowmarketsworktoimproveourlivesbytraininggraduatestu-dents,conductingresearch,andapplyingsoundeconomicstooffersolutionstosociety’smostpress
3、ingproblems.Copyright©2012byMatthewMitchellandtheMercatusCenteratGeorgeMasonUniversityMercatusCenterGeorgeMasonUniversity3351NorthFairfaxDrive,4thFloorArlington,VA22201-4433(703)993-4930mercatus.orgReleasedate:July9,2012ABOUTTHEAUTHORMatthewMitchellisaseniorresearchfellowattheMercatusCenter
4、atGeorgeMasonUniversity.Hisprimaryresearchinterestsincludeeconomicfreedomandeconomicgrowth,governmentspending,stateandlocalfiscalpolicy,publicchoice,andinstitutionaleconomics.Dr.MitchellreceivedhisPh.D.andhisM.A.ineconomicsfromGeorgeMasonUniversity.HereceivedhisB.A.inpoliticalscienceandB.S.
5、ineconomicsfromArizonaStateUniversity.HehastestifiedbeforetheU.S.Congressandhisworkhasbeenfeaturedinnumerousnationalmediaoutlets,includingtheNewYorkTimes,theWallStreetJournal,theWashingtonPost,theWashingtonTimes,NationalPublicRadio,andC-SPAN.ACKNOWLEDGMENTSIthankTedBolema,GarrettBrown,Tyler
6、Cowen,VeroniquedeRugy,EmmaElliott,JasonFichtner,HesterPeirce,RobRaffety,AdamThierer,RichardWilliams,andananonymousreviewerfornumeroushelpfulcomments.Ialoneamresponsibleforanyerrorsoromissionsthatremain.Pleasedirectcorrespondencetommitche3@gmu.edu.MERCATUSCENTERATGEORGEMASONUNIVERSITYABSTRAC
7、TInthispaper,MatthewMitchellshowsthatthefinancialbailoutsof2008werebutoneexampleinalonglistofprivilegesthatgovernmentsoccasionallybestowuponparticularfirmsorparticularindustries.Atvarioustimesandplaces,theseprivilegeshaveincluded(amongotherthings)monopol