According to Watts and Zimmerman (1978, p. 115), politicians have the power to effect upon corporations wealth
re-distributions by way of corporate taxes,regulations, subsidies etc.
Moreover, certain groups of voters have incentives to lobby for the “nationalization, expropriation, break-up or regulation of an industry or corporation”, which in turn are seen to provide incentives to politicians to propose
such actions.
This idea that politicians seek to intrude into the affairs of corporations and redistribute wealth away from them comes from the earlier work of Stigler (1971); Peltzman (1976) and Jensen and Meckling (1978).