Regulatory policy entrepreneurship and reforms: a comparison of competition and financial regulation

This article proposes a new perspective for analysing regulatory reforms by emphasising the important role of policy entrepreneurs. We provide a framework for understanding the interaction between appointed regulators and politicians, as well as other players in the policy arena, by emphasising the strategies that entrepreneurial regulators use to promote their agendas. Analysing the individual regulatory entrepreneur’s barriers, goals and strategies helps us gain a better microunderstanding of how regulatory reforms are actually achieved. We maintain that when regulators act as policy entrepreneurs, they change policy outcomes by adopting strategies that promote their agendas. We develop this argument by analysing two case studies of regulatory reforms in Israel: one in the banking sector and one involving changes in competition policy.