Crony Capitalism vs. Risk Capitalism

There are two kinds of capitalism: risk capitalism and crony capitalism. Risk capitalism involves founders with ideas and investors taking true risks for potential outsized returns, driving innovation and progress. Crony capitalism, on the other hand, involves long-standing companies managed by individuals who prioritize personal gain over creating value, often with political ties benefiting from the system. The criticism by mainstream media is largely directed at risk capitalism, with examples like Elon Musk, while failures in crony capitalism, such as Mary Barra's transformation at General Motors, are not as widely scrutinized.