Browsing by Subject "regulation"

Now showing 1 - 4 of 4
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    Balancing Cost and Emissions Certainty: An Allowance Reserve for Cap-and-Trade
    (2008-07-15) Murray, BC; Newell, RG; Pizer, WA
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    Estimating the Effects of Regulation on Innovation: An International Comparative Analysis of the Pharmaceutical Industry
    (1978) Grabowski, HG; Vernon, JM; Thomas, LG
    INNOVATION in the U.S. ethical drug industry in recent years has been characterized by a number of adverse developments. In particular, there has been a sharp decline in the rate of new product introductions and the incentive for engaging in research and development (R & D) activity has been negatively influenced by rapid increases in the costs and risks of developing new products. While there is little debate about the existence of these adverse trends, there is considerable controversy about the factors producing them. Briefly, we list below five hypotheses that have been discussed as explanations for the declining rate of innovation.`
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    How do firms feel about participation by their peers in the regulatory design process? An online survey experiment testing the substantive change and spillover mechanisms
    (Strategy Science, 2019-06-01) Malesky, E; Taussig, M
    This paper examines two concerns with calls for increased participation by firms in the government design of regulations in emerging markets. First, given the profit maximization goals of firms, can the benefits of business participation be realized without weakening the social protections that regulations are meant to offer? Second, can resource-constrained states realistically use consultation programs to influence the behavior of enough relevant firms to achieve a reasonable breadth of social protection? We explore these understudied questions through an online survey experiment involving 121 firm managers in Ho Chi Minh City, Vietnam. We find that firms prompted to think about worker safety favored regulatory changes that arose from suggestions by other firms over those resulting from suggestions by chemical safety experts even when unaware of the involvement of either source in the design process. By contrast, firms prompted to focus on business success did not express significant support for revisions suggested by either firms or experts. Learning about the participation of fellow firms positively influenced views about the legitimacy of the state's regulatory authority but not of the focal regulation itself.
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    Regulating a Monopolist with Unknown Demand
    (1988) Lewis, TR; Sappington, D
    Optimal regulatory policy is derived in a setting where the firm has better knowledge of demand than the regulator. When marginal production costs increase with output, the regulator can induce the firm to use its private information entirely in the social interest. When marginal costs decline with output, however, the regulator is unable to derive any benefit from the firm's superior knowledge, and a single price is established that is invariant to demand.