Rent-seeking diary: It’s only Tennessee whiskey if it’s Jack Daniel’s

Today’s Wall Street Journal has an article, Jack Daniel’s Faces a Whiskey Rebellion, that highlights how politically powerful industries can use industry-protecting regulation to raise their rivals’ costs: At the company’s urging, Tennessee passed legislation last year requiring anything labeled “Tennessee Whiskey” not just to be made in the state, but also to be made … More Rent-seeking diary: It’s only Tennessee whiskey if it’s Jack Daniel’s

Rent-seeking diary: State dealer franchise laws and Tesla

By now you’ve probably heard that last week the New Jersey Motor Vehicle Commission passed a rule stipulating that automobile sales in the state cannot be direct-to-consumer, and must instead take place via dealer franchises. Tesla Motors was the clear target of this regulation, with its innovative electric vehicles and direct-to-consumer sales model. New Jersey … More Rent-seeking diary: State dealer franchise laws and Tesla