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Accurate price signals produce efficient behavior, conserving resources for all citizens. Some states do have optional time-of-use rates, but inertia remains powerful. If the embedded cost rate is the wrong rate and the time-of-use rate the right rate, which is the better default? How do we staff our state commissions? The default structure is positions designed 20 to 30 years ago, when markets and transactions were different.

What skill sets will best meet those challenges? Should we retrain our existing people or must we find new people? Hiring procedures should be as flexible as industry change requires. Competitive business and nonprofit organizations assess their opportunities continuously, restructuring their priorities, staffing, and resources to be at their best.

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The default is alertness, assessment, adjustment, and re-invention—aligning decisions with demands. The default is a century-old statute, changed only when some political urgency or interest group pressure moves a legislature to amend it—usually adding responsibilities without resources. These episodic interventions do not always produce a coherent whole. A better default would be a legislative requirement that every two years, commission and legislature produce a joint charter and plan. These documents would describe the challenges faced by each regulated industry, then assess the fit between industry structure and industry performance, between commission responsibility and commission authority, and between commission obligations and commission staffing.

Accompanying the document would be a statutory change that reflected all these needs. Is there a better default for adjusting commission authority to ensure public-interest achievement? March Read the book Nudge , by Richard H. They are also unavoidable in the sense that for any node of a choice architecture system, there must be an associated rule that determines what happens to the decision maker if she does nothing.

But not always.


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Energy Efficiency Consumers under-invest in energy efficiency. Retail Competition Ten years ago, some states passed statutes introducing retail electricity competition. Rate Structure Embedded cost rates do not send accurate price signals; time-of-use rates do. Commission Staffing How do we staff our state commissions? Statutory Authority Competitive business and nonprofit organizations assess their opportunities continuously, restructuring their priorities, staffing, and resources to be at their best.

Actions of Effective Regulators. Political Pressures.

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Regulatory Courage. Practice and Procedure. Regulatory Organizations. Mergers and Regulated Utilities. Aspiration and Thanksgiving. There must lead a use of continent, ' she is. Wilkinson plans no expendable about where immigration should be.

Citizen and the State: Essays on Regulation | The Economic Journal | Oxford Academic

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The Citizen and the State: Essays on Regulation

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