Her Work on the Ex-Im Bank, Cronyism a Case Study in Turning Ideas into Action

Arlington, Va.—Economist Veronique de Rugy is reshaping American politics in 2015, according to POLITICO Magazine.  This morning the award-winning publication unveiled its annual THE POLITICO 50 special edition, a marquee list of the top thinkers and doers “who have found ways around the gridlock and dysfunction stalling today’s government.” The magazine explains how de Rugy—along with Washington Examiner journalist Timothy Carney—played a vital role this year in exposing corporate welfare and the economic consequences of the Bank. Thanks in large part to de Rugy’s research, this summer the Export-Import Bank’s Charter expired for the first time in more than 80 years.

“I am delighted to be included in this year’s The POLITICO 50,” said de Rugy, senior research fellow for the Mercatus Center at George Mason University.   “What excites me most is that Americans are really waking up. Activists from across the political spectrum agree that it’s time to put an end to the unhealthy marriage between government and big business.  And since the Export-Import Bank is the epitome of this cronyism, Americans joined together and forced its charter to expire.”  

De Rugy has shown that 40 percent of the Ex-Im Bank’s activities benefit one company, Boeing.  More than 60 percent of the bank’s financing is focused on helping ten large corporations, including Caterpillar and General Electric.  De Rugy has explained that overseas the bank subsidizes businesses like Pemex, the massive state-owned Mexican oil company.  By contrast, less than 0.04 percent of American small businesses are helped by the bank. 

“Importantly, Ex-Im is just the tip of the iceberg,” said de Rugy.  “My forthcoming research will show how pervasive cronyism is throughout the economy. The days of rubber-stamping crony boondoggles like the Ex-Im Bank are over.”  De Rugy, described by The Hill as “the leading academic opponent of Ex-Im,” has testified twice before Congress on the bank, authored two papers, written dozens of op-eds and columns, published more than 50 charts, and penned nearly 90 blog posts. 

For a one-stop-shop compilation of all de Rugy’s work on the Ex-Im Bank, click here.