The Politics of Deregulation by Martha Derthick

By Martha Derthick

The authors pay attention to 3 instances of deregulation: airways, trucking, and telecommunications. They locate very important similarities one of the instances and speak about the results of those findings for 2 broader issues: the function that fiscal research has performed in coverage swap, and the potential of the yank political approach for transcending slim pursuits.

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The Politics of Deregulation

The authors pay attention to 3 situations of deregulation: airways, trucking, and telecommunications. They locate vital similarities one of the situations and talk about the consequences of those findings for 2 broader themes: the function that monetary research has performed in coverage swap, and the skill of the yank political method for transcending slim pursuits.

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This was the Carterfone decision, in which the FCC 15. The ICC's actions are conveniently summarized in ICC. " 16. 94 Stat. 793. 17 Introduction of competition in long distance telephone service is usually traced to an FCC decision in 1969 that authorized MCI to offer private line services between St. 18 But whereas for the airline and trucking industries Congress quickly followed the procompetitive initiatives of regulatory agencies with reform legislation, it has been unable as yet, despite a prolonged effort and general commitment to the goal of increased competition, to reach agreement on legislation that would define the terms of that competition in the telecommunications industry.

1982), cert. denied, 103 S. Ct. 2d 109 (1982). Fora succinct history of the FCC's actions, see Wiley, "The End of Monopoly," pp. 2346. ) Another economist told the same conference that no regulatory agency was about to reduce its own powers. 22 As economists were developing the case that regulatory agencies disserved the public interest, they were also producing their own version of a political theory explaining why this was so, which held that a pro-industry bias was deeply embedded in the functions of the agencies and in American political institutions and processes.

201. 22. But see the qualified analysis by Roger G. Noll, Merton J. Peck. and John J. Mc-Gowan in Economic Aspects of Television Regulation (Brookings, 1973), pp. 12028, in which they append to an explanation of regulatory agencies' common resistance to change a list of forces for change, including an "entrepreneurial spirit" that causes some commissioners and staff members to want to be known by the reforms they institute. " 23. George Stigler, "The Theory of Economic Regulation," Bell Journal of Economics and Management Service, vol.

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