In the second edition of this popular text, Patrick McNutt introduces a moral choice set and a new methodology for the treatment of fairness. New empirical estimates of rent-seeking are introduced and the book addresses the issues of legal barriers to entry, economic power and the global political economy. Professor William Baumol of New York University endorsed the book “as a careful and knowledgeable exploration of the field…contributors to the arena will want to turn to this text for directions for original work of their own”.