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Nemo Omnibus Placet: Exzessive Regulierung und staatliche Willkür

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  • Haucap, Justus
  • Lange, Mirjam R. J.
  • Wey, Christian

Abstract

-- This paper develops the hypothesis that the inclusion of multiple objectives into laws widens the discretionary powers of executive institutions. As the decision how to balance trade-offs is removed from the political to the executive sphere, policy making becomes less transparent and also less accountable. While including numerous objectives into law may serve as an acknowledgement to the various interests of a heterogeneous citizenry, the pursuit of conflicting objectives implies that public bureaucracies instead of parliaments are given powers to decide about trade-offs. We conjecture that a bureaucracy that has multiple objectives will be less accountable and, therefore, (i) use its instruments excessively and (ii) favor instruments that are effective in the short run, but may be harmful in the long run. We illustrate our hypotheses, analyzing (a) the increasing number of objectives enshrined in Germany's Energy Industry Law and (b) the conflict between the European Commission and the German Government about potential regulatory holidays for new infrastructure investment in telecommunications markets.

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Paper provided by Heinrich‐Heine‐Universität Düsseldorf, Düsseldorf Institute for Competition Economics (DICE) in its series DICE Ordnungspolitische Perspektiven with number 27.

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Date of creation: 2012
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Handle: RePEc:zbw:diceop:27

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  1. Dewenter, Ralf & Haucap, Justus & Heimeshoff, Ulrich, 2007. "Regulatorische Risiken in Telekommunikationsmaerkten aus institutionenoekonomischer Perspektive," Working Paper 64/2007, Helmut Schmidt University, Hamburg.
  2. Knieps, Günter, 1999. "Zur Regulierung monopolistischer Bottlenecks," Discussion Papers 62, University of Freiburg, Institute for Transport Economics and Regional Policy.
  3. Sidak,J. Gregory & Spulber,Daniel F., 1998. "Deregulatory Takings and the Regulatory Contract," Cambridge Books, Cambridge University Press, number 9780521591591.
  4. Dewenter, Ralf & Haucap, Justus, 2004. "Die Liberalisierung der Telekommunikationsbranche in Deutschland," Working Paper 27/2004, Helmut Schmidt University, Hamburg.
  5. Panzar, John C., 1989. "Technological determinants of firm and industry structure," Handbook of Industrial Organization, in: R. Schmalensee & R. Willig (ed.), Handbook of Industrial Organization, edition 1, volume 1, chapter 1, pages 3-59 Elsevier.
  6. Haucap, Justus & Kühling, Jürgen, 2007. "Telekommunikationsregulierung: Brauchen wir noch mehr Zentralisierung?," Wirtschaftsdienst – Zeitschrift für Wirtschaftspolitik (1998 - 2007), ZBW – German National Library of Economics / Leibniz Information Centre for Economics, vol. 87(10), pages 664-671.
  7. Kenneth E. Train, 1991. "Optimal Regulation: The Economic Theory of Natural Monopoly," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262200848, December.
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Cited by:
  1. Smeets, Heinz-Dieter, 2012. "Zum Stand der Staatsschuldenkrise in Europa," DICE Ordnungspolitische Perspektiven 30, Heinrich‐Heine‐Universität Düsseldorf, Düsseldorf Institute for Competition Economics (DICE).
  2. Barth, Anne-Kathrin & Heimeshoff, Ulrich, 2012. "Der angemessene Kostenmaßstab für Terminierungsentgelte - "Pure LRIC" vs. "KeL"," DICE Ordnungspolitische Perspektiven 29, Heinrich‐Heine‐Universität Düsseldorf, Düsseldorf Institute for Competition Economics (DICE).

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