Consistent Regulation of Infrastructure Businesses: Some Economic Issues

Flavio Menezes ()

Economic Papers, 2009, vol. 28, issue 1, pages 2-10

Abstract: This article examines some important economic issues associated with the notion that consistency in the regulation of infrastructure businesses is a desirable feature. It makes two important points. First, it is not easy to measure consistency. In particular, one cannot simply point to different regulatory parameters as evidence of inconsistent regulatory policy. Second, even if one does observe consistency emerging from decisions made by different regulators, it does not necessarily mean that this consistency is desirable. It might be the result, at least partially, of career concerns of regulators. Copyright (c) 2009 The Economic Society of Australia.

Date: 2009

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