Document Type

Article

Publication Date

2018

Abstract

What does it mean to deregulate? Is deregulation just about the repeal of existing rules? In a closed and static system, this definition seems apt. But what if the bounds are porous? Or the internal workings of the system are dynamic? Once a system is structured to allow the option set to change, do the proscriptions embedded in law at Time A remain the appropriate baseline? Or should the baseline evolve, recreating the balance struck at Time A given the option set that exists at Time B? What if the reasons for the balance struck at Time A are myriad, and drawing a line at Time B requires some values to be sacrificed to protect others? What if jurisdictional or other logistical challenges preclude replicating Time A’s line at Time B? Is the expectation of such challenges a reason to limit dynamism? Should it matter whether the innovations underlying the dynamism enhance welfare in ways unrelated to the regulatory regime?

Disciplines

Banking and Finance Law | Law | Law and Economics

Comments

Copyright is owned by the Virginia Law Review Association and the article is used by permission of the Virginia Law Review Association.

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