IDEAS home Printed from https://ideas.repec.org/a/wly/reggov/v5y2011i4p405-424.html
   My bibliography  Save this article

Revolving door laws and state public utility commissioners

Author

Listed:
  • Marc T. Law
  • Cheryl X. Long

Abstract

This paper investigates the effects of revolving door regulations – laws that restrict the post‐government employment opportunities of public sector workers – on the characteristics of state public utility commissioners. We find that commissioners from states with revolving door regulations have less expertise, serve shorter terms, and are less likely to be subsequently employed by the private sector, compared with their counterparts from states without revolving door laws. These findings suggest that revolving door regulations may have costly unintended consequences.

Suggested Citation

  • Marc T. Law & Cheryl X. Long, 2011. "Revolving door laws and state public utility commissioners," Regulation & Governance, John Wiley & Sons, vol. 5(4), pages 405-424, December.
  • Handle: RePEc:wly:reggov:v:5:y:2011:i:4:p:405-424
    DOI: 10.1111/j.1748-5991.2011.01119.x
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/j.1748-5991.2011.01119.x
    Download Restriction: no

    File URL: https://libkey.io/10.1111/j.1748-5991.2011.01119.x?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Heyes, Anthony G, 2003. "Expert Advice and Regulatory Complexity," Journal of Regulatory Economics, Springer, vol. 24(2), pages 119-133, September.
    2. George J. Stigler, 1971. "The Theory of Economic Regulation," Bell Journal of Economics, The RAND Corporation, vol. 2(1), pages 3-21, Spring.
    3. Hilton, George W, 1972. "The Basic Behavior of Regulatory Commissions," American Economic Review, American Economic Association, vol. 62(2), pages 47-54, May.
    4. Yeon-Koo Che, 1995. "Revolving Doors and the Optimal Tolerance for Agency Collusion," RAND Journal of Economics, The RAND Corporation, vol. 26(3), pages 378-397, Autumn.
    5. Eckert, Ross D, 1981. "The Life Cycle of Regulatory Commissioners," Journal of Law and Economics, University of Chicago Press, vol. 24(1), pages 113-120, April.
    6. Troy Quast, 2008. "Do elected public utility commissioners behave more politically than appointed ones?," Journal of Regulatory Economics, Springer, vol. 33(3), pages 318-337, June.
    7. Fields, Joseph A & Klein, Linda S & Sfiridis, James M, 1997. "A Market Based Evaluation of the Election versus Appointment of Regulatory Commissioners," Public Choice, Springer, vol. 92(3-4), pages 337-351, September.
    8. Timothy Besley & Stephen Coate, 2003. "Elected Versus Appointed Regulators: Theory and Evidence," Journal of the European Economic Association, MIT Press, vol. 1(5), pages 1176-1206, September.
    9. Marc T. Law & Cheryl X. Long, 2012. "What Do Revolving-Door Laws Do?," Journal of Law and Economics, University of Chicago Press, vol. 55(2), pages 421-436.
    10. Boylan, Richard T & Long, Cheryl X, 2005. "Salaries, Plea Rates, and the Career Objectives of Federal Prosecutors," Journal of Law and Economics, University of Chicago Press, vol. 48(2), pages 627-651, October.
    11. Peter Navarro, 1982. "Public Utility Commission Regulation: Performance, Determinants, and Energy Policy Impacts," The Energy Journal, International Association for Energy Economics, vol. 0(Number 2), pages 119-140.
    12. Marc T. Law, 2006. "How do Regulators Regulate? Enforcement of the Pure Food and Drugs Act, 1907--38," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 22(2), pages 459-489, October.
    13. David J. Salant, 1995. "Behind the Revolving Door: A New View of Public Utility Regulation," RAND Journal of Economics, The RAND Corporation, vol. 26(3), pages 362-377, Autumn.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Alketa Peci & Aline de Menezes Santos & Bruno César Pino Oliveira de Araújo, 2022. "Quo Vadis? Career paths of Brazilian regulators," Regulation & Governance, John Wiley & Sons, vol. 16(2), pages 470-486, April.
    2. Hartlapp, Miriam & Lorenz, Yann, 2012. "Persönliche Merkmale von Führungspersonal als Politikdeterminante: Die Europäische Kommission im Wandel der Zeit," Discussion Papers, Schumpeter Junior Research Group Position Formation in the EU Commission SP IV 2012-501, WZB Berlin Social Science Center.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kempf, Elisabeth, 2020. "The job rating game: Revolving doors and analyst incentives," Journal of Financial Economics, Elsevier, vol. 135(1), pages 41-67.
    2. Grace, Martin F. & Phillips, Richard D., 2008. "Regulator performance, regulatory environment and outcomes: An examination of insurance regulator career incentives on state insurance markets," Journal of Banking & Finance, Elsevier, vol. 32(1), pages 116-133, January.
    3. Antonio Estache & Liam Wren-Lewis, 2011. "Anti-Corruption Policy in Theories of Sector Regulation," Chapters, in: Susan Rose-Ackerman & Tina Søreide (ed.), International Handbook on the Economics of Corruption, Volume Two, chapter 9, Edward Elgar Publishing.
    4. Marc T. Law & Cheryl X. Long, 2012. "What Do Revolving-Door Laws Do?," Journal of Law and Economics, University of Chicago Press, vol. 55(2), pages 421-436.
    5. Kempf, Elisabeth, 2017. "The Job Rating Game: The Effects of Revolving Doors on Analyst Incentives," Working Papers 258, The University of Chicago Booth School of Business, George J. Stigler Center for the Study of the Economy and the State.
    6. Alessandro De Chiara & Marco A. Schwarz, 2020. "A Dynamic Theory of Regulatory Capture," Working Papers 2020-12, Faculty of Economics and Statistics, Universität Innsbruck.
    7. Troy Quast, 2008. "Do elected public utility commissioners behave more politically than appointed ones?," Journal of Regulatory Economics, Springer, vol. 33(3), pages 318-337, June.
    8. Barbosa, Klenio & Straub, Stéphane, 2017. "The Value of Revolving Doors in Public Procurement," TSE Working Papers 17-873, Toulouse School of Economics (TSE), revised May 2020.
    9. Rode, David C. & Fischbeck, Paul S., 2019. "Regulated equity returns: A puzzle," Energy Policy, Elsevier, vol. 133(C).
    10. Estache, Antonio & Wren-Lewis, Liam, 2010. "What Anti-Corruption Policy Can Learn from Theories of Sector Regulation," CEPR Discussion Papers 8082, C.E.P.R. Discussion Papers.
    11. Mark Armstrong & David E.M. Sappington, 2006. "Regulation, Competition and Liberalization," Journal of Economic Literature, American Economic Association, vol. 44(2), pages 325-366, June.
    12. Brito Duarte & Pereira Pedro & Vareda João, 2013. "Investment, Dynamic Consistency and the Sectoral Regulator’s Objective," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 13(2), pages 563-594, August.
    13. Leverty, J. Tyler & Grace, Martin F., 2018. "Do elections delay regulatory action?," Journal of Financial Economics, Elsevier, vol. 130(2), pages 409-427.
    14. Brezis, Elise S., 2017. "Legal conflicts of interest of the revolving door," Journal of Macroeconomics, Elsevier, vol. 52(C), pages 175-188.
    15. Mukul Majumdar & Seung Yoo, 2012. "Strategic analysis of influence peddling," International Journal of Game Theory, Springer;Game Theory Society, vol. 41(4), pages 737-762, November.
    16. Flavio M. Menezes & Christian Roessler, 2010. "Good and Bad Consistency in Regulatory Decisions," The Economic Record, The Economic Society of Australia, vol. 86(275), pages 504-516, December.
    17. Flavio Menezes & Magnus Söderberg & Miguel Santolino, 2012. "Regulatory behaviour under threat of court reversal," Discussion Papers Series 472, School of Economics, University of Queensland, Australia.
    18. Sounman Hong & Jeehun Lim, 2016. "Capture and the bureaucratic mafia: does the revolving door erode bureaucratic integrity?," Public Choice, Springer, vol. 166(1), pages 69-86, January.
    19. Evans, Joanne & Levine, Paul & Trillas, Francesc, 2008. "Lobbies, delegation and the under-investment problem in regulation," International Journal of Industrial Organization, Elsevier, vol. 26(1), pages 17-40, January.
    20. Zhang, Karen & Truong, Cameron, 2019. "What’s the value of politically connected directors?," Journal of Contemporary Accounting and Economics, Elsevier, vol. 15(3).

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wly:reggov:v:5:y:2011:i:4:p:405-424. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://doi.org/10.1111/(ISSN)1748-5991 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.