The importance of law-and-economics for regulation in transitional economies

Abstract

This paper argues that the sub-discipline of law-and-economics provides scholars and policy-makers with essential tools for devising and evaluating appropriate regulatory systems. The first section sees how these tools have been developed. There follows an account of how they are applied to the two dimensions of regulation identified above, with particular emphasis on cost-benefit appraisal. The appendix provides a case-study of taxicab regulation, which illustrates many of the themes of the paper