> Companies lobby to keep, even coerce, laws that benefit them
This is true. But politicians are playing the exact same game. Back when I was a tax lawyer, I asked my boss why the R&D credit was temporary but always renewed. Why not just make it permanent? He said it was because then the companies had to keep donating to the politicians in order to maintain the status quo. If they'd made it permanent, there would be very little chance of repeal, and therefore much less need to stay cozy with the politicians. It's a 2-sided game.
This is true. But politicians are playing the exact same game. Back when I was a tax lawyer, I asked my boss why the R&D credit was temporary but always renewed. Why not just make it permanent? He said it was because then the companies had to keep donating to the politicians in order to maintain the status quo. If they'd made it permanent, there would be very little chance of repeal, and therefore much less need to stay cozy with the politicians. It's a 2-sided game.