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Regulation of Network Sectors in the EU: A Federalist Perspective

Author

Listed:
  • Wolfgang Kerber

    (University of Marburg)

  • Julia Wendel

    (University of Marburg)

Abstract

The vertical allocation of regulatory powers within the European two-level system of network sector regulation is analysed from the perspective of the economic theory of legal federalism. The analysis shows that sophisticated combinations of harmonised European rules along with sufficient scope for decentralised decisions of national regulators seem to be optimal. Especially interesting is that networks of regulatory authorities (as BEREC in telecommunications) can play an important role in regard to balancing the advantages and disadvantages of (de)centralisation. Whereas in regard to telecommunication a further shifting of regulatory powers to the EU level cannot be recommended, both in energy and railway markets it might still be necessary to strengthen the regulatory power of the EU.

Suggested Citation

  • Wolfgang Kerber & Julia Wendel, 2014. "Regulation of Network Sectors in the EU: A Federalist Perspective," MAGKS Papers on Economics 201422, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    • Handle: RePEc:mar:magkse:201422
    as

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    File URL: http://www.uni-marburg.de/fb02/makro/forschung/magkspapers/22-2014_kerber.pdf
    File Function: First 201422
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    References listed on IDEAS

    as
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    6. Joskow, Paul L., 2007. "Regulation of Natural Monopoly," Handbook of Law and Economics, in: A. Mitchell Polinsky & Steven Shavell (ed.), Handbook of Law and Economics, edition 1, volume 2, chapter 16, pages 1227-1348, Elsevier.
    7. Van den Bergh, Roger, 2000. "Towards an Institutional Legal Framework for Regulatory Competition in Europe," Kyklos, Wiley Blackwell, vol. 53(4), pages 435-466.
    8. Bickenbach, Frank, 2000. "Regulation of Europe's network industries: the perspective of the new economic theory of federalism," Kiel Working Papers 977, Kiel Institute for the World Economy (IfW Kiel).
    9. Haucap Justus & Kühling Jürgen, 2006. "Eine effiziente vertikale Verteilung der Exekutivkompetenzen bei der Regulierung von Telekommunikationsmärkten in Europa," Zeitschrift für Wirtschaftspolitik, De Gruyter, vol. 55(3), pages 324-356, December.
    10. Veith, Tobias, 2010. "The national regulatory structure against the background of the European regulatory system," ZEW Discussion Papers 10-089, ZEW - Leibniz Centre for European Economic Research.
    11. Trillas, Francesc, 2010. "Electricity and telecoms reforms in the EU: Insights from the economics of federalism," Utilities Policy, Elsevier, vol. 18(2), pages 66-76, June.
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    Cited by:

    1. Wolfgang Kerber & Julia Wendel, 2016. "Regulatory Networks, Legal Federalism, and Multi-level Regulatory Systems," MAGKS Papers on Economics 201613, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).

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    More about this item

    Keywords

    EU sector regulation; legal federalism; regulatory networks; telecommunication;
    All these keywords.

    JEL classification:

    • K23 - Law and Economics - - Regulation and Business Law - - - Regulated Industries and Administrative Law
    • H77 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Intergovernmental Relations; Federalism
    • F15 - International Economics - - Trade - - - Economic Integration

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