Ep.133: How the EU Learned to Love the Chicago School

About this episode

A revolt against modern-day monopolization is brewing in Europe. Among the responses is creation of a New Competition School to challenge the European Commission's deference to corporate power under the influence of the so-called Chicago School. Led by economic libertarians like Milton Friedman and anti-government zealots like Robert Bork, the Chicago School prioritized notions of economic efficiency over enforcement of antitrust and competition law. The results have been catastrophic across a wide swathe of economies, says Nicholas Shaxson, one of the founders of the New Competition School and the author of a forthcoming book on monopoly, The Big Squeeze.  The trends toward concentration of economic power are plainly obvious and the perceived injustice is a factor pushing voters to support increasingly extreme political movements, especially on the radical right. That's where the New Competition School seeks to be a counterweight, returning the EU to the principles of robust enforcement that sprang in part from the defeat of Hitler's Germany. The Nazi war machine, after all, had been underpinned by monopolization, and the lesson — about the incompatibility of democracy and unchai