Regulatory Capitalism

Regulatory Capitalism

How it Works, Ideas for Making it Work Better

John Braithwaite

Contemporary societies have more vibrant markets than past ones. Yet they are more heavily populated by private and public regulators. This book explores the features of such a regulatory capitalism, its tendencies to be cyclically crisis-ridden, ritualistic and governed through networks. New ways of thinking about resultant policy challenges are developed.

Preface

John Braithwaite

Subjects: economics and finance, public sector economics, politics and public policy, public policy, regulation and governance, social policy and sociology, economics of social policy

Extract

In the 1990s people started recognizing that while the state was running fewer things, it was regulating more of them, and spending ever higher proportions of its budget on regulation. So some analysts (including me) started talking about the state as a regulatory state. Then it was recognized that many other organizational actors beyond the state were also doing a lot more regulating of other organizations than in the past, so some analysts (including me) spoke of a regulatory society. Along came David LeviFaur and Jacint Jordana to point out that capitalist markets had become more vibrant at the same time as regulation of markets had become more earnest. Not only did they coin a term, ‘regulatory capitalism’, that better captured the realities than the ‘regulatory state’ or ‘regulatory society’, they also produced a large body of cross-national data on the global expansion of privatized markets and regulatory institutions. David’s foreword to this book gives the flavour of these data. At the Australian National University (ANU) we established a Regulatory Institutions Network to study this phenomenon. David Levi-Faur joined us as a Faculty member for a period, Jacint Jordana as a Visiting Fellow. They proved delightful and stimulating members of our intellectual community. David proposed that we start a new journal called Regulation & Governance, which we set up with Cary Coglianese as a Co-editor and Jacint Jordana as a member of the Editorial Board. We said in the promotional blurb for the new journal: ‘Research on regulation and governance, once...