User:Graycake/sandbox
Article Review[edit]
The regulatory economics article is lacking citation in several sections. Furthermore, some sections run on without clear breaks between concepts. The article cites some real world examples of regulatory policy, but examples focus on the mid 19th century. The article may become more appealing to readers if some updated examples were given under a new section ("Examples of regulation in modern US policy", for example). The author of this article seems to favor deregulation, as seen in the section titled "Controversy". The author expounds on opponents of regulation in greater detail than on proponents. I would like our group to improve this article by providing updated examples, creating more structure within the article, and edit/improve sections that show evidence of bias.
Readings[edit]
Move from Keynesian policy to neoliberalism and the Carter administration's role in starting a trend of deregulation.[1]
Look further into the repeal of the Glass Steagle Act (banking regulation). Look further into increased regulatory policy post World War II. Early industry deregulation (more in Kotz's second chapter).[1]
Edits on Deregulation section[edit]
Overly complicated regulatory law, increasing inflation, concern over regulatory capture, and outdated transportation regulations made deregulation an appealing idea in the US in the late 1970s.[2][3] During his presidency (1977-1981), President Jimmy Carter introduced sweeping regulation reform of the financial system (by the removal of interest rate ceilings) and the transportation industry, allowing the airline industry to operate more freely.[4]
President Ronald Reagan took up the mantel of deregulation during his two terms in office (1981-1989) and expanded upon it with the introduction of Reaganomics, which sought to stimulate the economy through income and corporate tax cuts coupled with deregulation and reduced government spending. Though favored by industry, Reagan-era economic policies concerning deregulation are regarded by many economists as having contributed to the Savings and Loan Crisis of the late 1980s and 1990s.[5] The allure of free market capitalism remains present in American politics today, with many economists recognizing the importance of finding balance between the inherent risks associated with investment and the safeguards of regulation.
(During the late 1970s and 1980s, some forms of regulation were seen as imposing unnecessary red tape and other restrictions on businesses. In particular, government support of cartel activity was seen as diminishing economic efficiency. Regulatory agencies were often seen as having been captured by the regulated industries, as a means of diminishing competition between industry participants, and so not serving the public interest. As a result, there has been a movement towards deregulation in a number of industries. These include transportation, communications, and some financial services.)
One example is the international monetary system: it is now much easier to transfer capital between countries. As a result, the globalisation of markets has increased.
A common counterpart of deregulation is the privatization of state-run industries. The goal of privatization is for market forces to increase the efficiency of denationalized industries. Privatization was widely pursued in Great Britain throughout Margaret Thatcher's administration.[6] Critics argue that although this has increased choice in services, their standards have declined and wages and employment have been reduced.[citation needed]
(An accompaniment of deregulation has been 'privatisation' of industries that previously had been under government control. The hope was that market forces would make these industries more efficient. This program was widely pursued in Britain throughout the later years of the last century. Critics argue that although this has increased choice in services, their standards have declined and wages and employment have been reduced.)
Some, particularly libertarians, feel there has been little progress in deregulation during recent decades, and controls on small businesses, for example, are greater than ever. They feel deregulation is an aspirational, rather than a real, intention.
Others support re-regulation on the basis that deregulation has gone too far and given too much power to corporations and special interests at the expense of the power of the people's elected representatives.
Many criticize the influence of Intellectual Property Rights and other sorts of national regulations on the internet and IT business (software patents, DRM, trusted computing).
notes[edit]
- ^ a b Kotz, David (2015). Rise and Fall of Neoliberal Capitalism. Harvard University Press.
- ^ Crain, Andrew D (2007). "Ford, Carter, and Deregulation in the 1970s". Journal on Telecommunications & High Technology Law. 5: 413–447 – via Hein Online.
- ^ Sherman, Matthew (July 2009). "A Short History of Financial Deregulation in the United States" (PDF). Center for Economic and Policy Research. Retrieved February 26, 2017.
- ^ Biven, W. Carl (2003-10-16). Jimmy Carter's Economy: Policy in an Age of Limits. Univ of North Carolina Press. ISBN 9780807861240.
- ^ Johnston, Van R. (2013). "The Struggle for Optimal Financial Regulation and Governance". Public Performance & Management Review. 37 (2): 222–240. doi:10.2753/pmr1530-9576370202. S2CID 153455946.
- ^ Gamble, Andrew (1988-01-01). "Privatization, Thatcherism, and the British State". Journal of Law and Society. 16 (1): 1–20. doi:10.2307/1409974. JSTOR 1409974.