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You're correct, usually is not always. But also, that's not what I meant. I meant that when companies can make profits without creating more value to society than the profits they make, its generally because of regulatory capture that allows them to extract rents from their customers or push costs onto the people as externalities. Regulatory capture is where companies "capture" the regulatory framework and use it to their advantage. So regulatory capture is actually the opposite of "regulatory heat".



I understood what you meant by "regulatory capture". I was implying that capture often happens when there's regulatory heat.




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