-driven regulation based on “safe tests,” i.e. tests that are passed with probability one by competitive bidders, but need not be passed …

We propose an activity-generating theory of regulation. When courts make errors, tort litigation becomes unpredictable … risk, this type of regulation can raise welfare …

basic and ubiquitous features of regulation as actually implemented throughout the world has received little theoretical … because exemption induces additional harmful activity to be channeled their way. This article analyzes optimal regulation with … regulation, which illustrates the contrast with the mechanism design approach that analyzes the optimal use of instruments of a …

disclosure requirements that exist in these markets. We show that reducing the number of charlatans through regulation decreases … regulation, implying that the regulation we observe in these markets likely derives from producer interests. Using these insights …

marketed products as a consequence of policy changes. Examples are prospective regulation of product safety and reliability, or …

regulation system during the last two decades, the 1991 Federal Deposit Insurance Corporation Improvement Act (FDICIA). We …

regulation. US policy is indistinguishable from the policy that maximizes total surplus in our estimated model, while the EU …

discrimination, we find that tax policy loses much of its effectiveness at serving as a substitute for direct regulation. Moreover …