New Approaches to Regulatory Enforcement
New Horizons in Law and Economics series
Chapter 3: Cooperative enforcement
Having sketched the layout of the deterrence-based enforcement school of thought in Chapter 2, this chapter focuses on an alternative approach to law enforcement – commonly referred to as cooperative enforcement. The cooperative approach was developed by behavioral scholars as an alternative paradigm to the deterrence-based one. In discussing this alternative approach, I start by presenting its fundamental premises (Section 3.2), while paying particular attention to a key element of this approach, i.e., regulatory cooperation (Section 3.3). I then explore some policy implications of the cooperative enforcement approach by discussing various regulatory enforcement regimes developed based on the cooperative enforcement philosophy (Section 3.4). Having explored various cooperative enforcement regimes, I go on in the following section to discuss the pitfalls of the cooperative enforcement approach (Section 3.5). Finally, I summarize and conclude this chapter in Section 3.6.
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