cro·ny·ism

[kroh-nee-iz-uhm]
noun
the practice of favoring one's close friends, especially in political appointments.

Origin:
1830–40; crony + -ism

Dictionary.com Unabridged
Based on the Random House Dictionary, © Random House, Inc. 2013.
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Collins
World English Dictionary
cronyism (ˈkrəʊnɪˌɪzəm) [Click for IPA pronunciation guide]
 
n
the practice of appointing friends to high-level, esp political, posts regardless of their suitability

Collins English Dictionary - Complete & Unabridged 10th Edition
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00:10
Cronyism is always a great word to know.
So is slumgullion. Does it mean:
the offspring of a zebra and a donkey.
a stew of meat, vegetables, potatoes, etc.
Etymonline
Word Origin & History

cronyism
1840, "friendship," from crony + -ism. Meaning "appointment of friends to important positions, regardless of ability" is originally Amer.Eng., from c.1950.
Online Etymology Dictionary, © 2010 Douglas Harper
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Example sentences
In government, mismanagement, nepotism and cronyism are widespread.
The administration is full of cronyism and seems really inbred in many ways.
The new system condones special-interest cronyism and rejects individualism,
  profits and voluntary contracts.
The importance of personal relationships rather than formal legality becomes
  cronyism.
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