Wall Street Journal: Disturbing New Facts About American Capitalism

Johnson Cornell Tech Professor Roni Michaely’s research about American Capitalism was featured in the Wall Street Journal.

New research by economists Gustavo Grullon of Rice University, Yelena Larkin of York University and Roni Michaely of Cornell University argues that U.S. companies are moving toward a winner-take-all system in which giants get stronger, not weaker, as they grow.

That’s the latest among several recent studies by economists working independently, all arriving at similar findings: A few “superstar firms” have grown to dominate their industries, crowding out competitors and controlling markets to a degree not seen in many decades.

Let’s look beyond such obvious winner-take-all examples as Apple or Alphabet , the parent of Google.

Read the full article on Wall Street Journal.