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Private Regulation and Legal Integration: The European Example


  • Cafaggi Fabrizio

    (European University Institute)

  • Janczuk Agnieszka

    (European University Institute)


Private regulation has become a highly debated phenomenon. Previous research has focused mostly on the effectiveness, legitimacy, and governance structure of private regulators at the global level. Few existing analyses have focused on private regulation at the European level, where only questions of interest representation have attracted attention. Analyses of the contribution of private regulation to the process of European legal integration, in particular, are lacking. We seek to fill this gap. From private rules for product safety and for financial markets, such as the Single Euro Payments Area standards, to private rules governing the professions, we observe that private regulation has facilitated and accelerated European legal integration. We argue that in some cases this effect was anticipated, especially by the European Commission, and in those cases the intended effect on European legal integration at least partly explains the rise of private regulation. I other cases, it was an incidental by-product of attempts to address market failures or achieve network legitimacy. In the conclusion, we turn to questions of accountability and legitimacy raised by the increasing importance of private regulators in the Common Market of the EU. Although the EU lacks a body of rules that imposes democratic controls on private regulators, we identify components of European law that can be used as control mechanisms.

Suggested Citation

  • Cafaggi Fabrizio & Janczuk Agnieszka, 2010. "Private Regulation and Legal Integration: The European Example," Business and Politics, De Gruyter, vol. 12(3), pages 1-42, October.
  • Handle: RePEc:bpj:buspol:v:12:y:2010:i:3:n:6

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    References listed on IDEAS

    1. Tim Büthe & Walter Mattli, 2011. "The New Global Rulers: The Privatization of Regulation in the World Economy," Economics Books, Princeton University Press, edition 1, number 9470, June.
    2. Starobin Shana & Weinthal Erika, 2010. "The Search for Credible Information in Social and Environmental Global Governance: The Kosher Label," Business and Politics, De Gruyter, pages 1-37.
    3. Mattli, Walter & Slaughter, Anne-Marie, 1995. "Law and politics in the European Union: a reply to Garrett," International Organization, Cambridge University Press, vol. 49(01), pages 183-190, December.
    4. Andrew Moravcsik, 1993. "Preferences and Power in the European Community: A Liberal Intergovernmentalist Approach," Journal of Common Market Studies, Wiley Blackwell, vol. 31(4), pages 473-524, December.
    5. Fearne, Andrew & Martinez, Marian Garcia, 2005. "Opportunities for the Coregulation of Food Safety: Insights from the United Kingdom," Choices, Agricultural and Applied Economics Association, vol. 20(2).
    6. Black, Julia, 2008. "Forms and paradoxes of principles-based regulation," LSE Research Online Documents on Economics 23103, London School of Economics and Political Science, LSE Library.
    7. Fabrizio Cafaggi, 2011. "New Foundations of Transnational Private Regulation," EUI-RSCAS Working Papers 53, European University Institute (EUI), Robert Schuman Centre of Advanced Studies (RSCAS).
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    Cited by:

    1. Büthe Tim, 2010. "Engineering Uncontestedness? The Origins and Institutional Development of the International Electrotechnical Commission (IEC)," Business and Politics, De Gruyter, pages 1-64.
    2. Büthe Tim, 2010. "Global Private Politics: A Research Agenda," Business and Politics, De Gruyter, pages 1-26.
    3. Auld Graeme & Cashore Benjamin & Balboa Cristina & Bozzi Laura & Renckens Stefan, 2010. "Can Technological Innovations Improve Private Regulation in the Global Economy?," Business and Politics, De Gruyter, pages 1-42.
    4. Büthe Tim, 2010. "Private Regulation in the Global Economy: A (P)Review," Business and Politics, De Gruyter, pages 1-40.
    5. Mayer Frederick & Gereffi Gary, 2010. "Regulation and Economic Globalization: Prospects and Limits of Private Governance," Business and Politics, De Gruyter, pages 1-27.

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