Structural Capture vs. Corruption
Why systemic problems cannot be solved by replacing individuals, and why constitutional remedies are necessary
Corruption
Definition
Individual official acts against public interest for personal gain
Characteristics
- •Individual decision to violate oath
- •Personal financial incentive (bribe, kickback)
- •Can be fixed by replacing individual
- •Criminal prosecution possible
- •Rare in modern government
Examples
- →Official accepts bribe from contractor
- →Official steals public funds
- →Official sells confidential information
Solution Approach
Replace individual, prosecute for crime, restore public interest
Success Rate
High (80-90%) - replacing individual fixes problem
Structural Capture
Definition
Institutional structure creates systematic bias toward industry interests regardless of individual integrity
Characteristics
- •Structural incentive to favor industry
- •Financial incentive built into career advancement
- •Cannot be fixed by replacing individual
- •Not criminal (legal conflicts of interest)
- •Systemic in modern government
Examples
- →Regulator's future income depends on industry favor
- →Agency budget depends on regulated industry
- →Career advancement depends on industry connections
- →Intellectual framework defined by industry
Solution Approach
Constitutional remedies: Article VI oath enforcement, Section 1983 liability, state interposition, institutional reform
Success Rate
Moderate (50-70%) - requires constitutional remedies, not just personnel changes
Key Insight
Replacing individuals does not fix structural capture. If the institutional structure creates systematic bias toward industry interests, replacing one official with another just puts a new person in the same broken system.
Example: Replacing an FTC chair who approved anticompetitive mergers with a new chair does not fix the problem if the new chair faces the same budget pressures, career incentives, and industry influence. The institutional structure must be reformed through constitutional remedies.
Structural capture is systemic: Regulatory agencies become controlled by the industries they regulate through institutional structures that create systematic bias toward industry interests.
Replacing individuals does not fix structural capture: If the institutional structure creates systematic bias, replacing one official with another just puts a new person in the same broken system.
Constitutional remedies are necessary: Article VI oath enforcement, Section 1983 liability, void ab initio doctrine, and state interposition provide constitutional mechanisms to challenge structural capture that personnel changes cannot address.
Success requires understanding the distinction: Corruption can be fixed by replacing individuals and prosecuting crimes. Structural capture requires constitutional reform and institutional change.