nep-reg New Economics Papers
on Regulation
Issue of 2012‒02‒08
five papers chosen by
Oleg Eismont
Russian Academy of Sciences

  1. U.S. Tobacco Growersâ Concern about the Impact of the FDA Regulation of Tobacco Products By Feleke, Shiferaw; Starnes, Jane; Tiller, Kelly
  2. The reform process of the railway sector in Europe: A disaggregated regulatory approach By Knieps, Günter; Zenhäusern, Patrick
  3. Is Public-Private Partnership Obsolete? By Claude Ménard
  4. Impact of Liberalization and Globalization on Productivity in Indian Banking: A Comparative Analysis of Public Sector, Private, and Foreign Banks By Subhash Ray
  5. Hochschulzulassungen in Deutschland: Wem hilft die Reform durch das "Dialogorientierte Serviceverfahren"? By Hüber, Frank; Kübler, Dorothea

  1. By: Feleke, Shiferaw; Starnes, Jane; Tiller, Kelly
    Abstract: The objective of the paper is to establish an empirical relationship between household characteristics and tobacco growersâ perception of the impact of the FDA regulation. A logistic model is applied on primary data that came from the Center for Tobacco Grower Researchâs (CTGRâs) 2011 mail survey of tobacco producers. Results indicate that over 80 percent of the sample tobacco growers are concerned about the impact of the FDA regulation. The profiles of growers who reported to be concerned about the impact of the FDA regulation are not significantly different from those of growers who reported that they are not concerned or somewhat concerned. This result highlights the importance of engaging all groups of growers in discussion to elaborate whether, and if so how the FDA regulation would actually affect tobacco production, and how growers should adjust in light of the expected changes. This would help growers build confidence in the industry, and work towards making the necessary changes in agricultural practices that would help address the regulatory issues related to the contents of tobacco products. Given the widespread concern, the failure to do so could have a negative impact on resource allocation and investment decisions because of an overreaction to a potentially erroneous perception of the impact of the FDA regulation.
    Keywords: Tobacco, U.S. Food and Drug Adminstration, Regulation, Agricultural and Food Policy,
    Date: 2012–01–17
  2. By: Knieps, Günter; Zenhäusern, Patrick
    Abstract: The railroad package of 2001 focusing on access regulation is in the process of a reform. Particularly, the European Commission intends to remove the obstacles to fair competition that have been identified since 2001. In this context, the paper points out the relevance of the disaggregated regulatory approach. It is necessary to differentiate between infrastructure components which are monopolistic bottlenecks (e.g. railway tracks) and competitive components (e. g. service functions like ticketing). Competition on the markets for railway transport services requires non-discriminatory access to the railway infrastructures. As well the horizontal interoperability between national railway networks is a prerequisite that full competition on European markets for railway services can evolve. Train access charges should provide incentives for the different track companies to participate in collaborations offering international cross-border based track capacities, whereas a regulatory prescription of international track corridors conflicts with the competence to allocate the track capacities of the different track companies. Finally, the complex question of the interplay between discrimination and the deficit problem is addressed in order to present solutions to avoid crosssubsidization between track infrastructure and markets for transport services and to guarantee the efficient usage of public funds. --
    Date: 2011
  3. By: Claude Ménard (CES - Centre d'économie de la Sorbonne - CNRS : UMR8174 - Université Paris I - Panthéon Sorbonne)
    Abstract: Public-Private Partnership has been high on the agenda of public decision makers since the 1990's. Primarily a contractual approach to the delivery of infrastructures, goods and services traditionally provided by the public sector or by private operators submitted to tight regulation, PPP is also a very special contractual practice as it seeks to introduce market-type relationships in a context in which non-market forces play a major role. An important consequence is the overlapping of decision rights as well as property rights, which exposes PPP to a double alignment problem, organizational and institutional. Away from the ideological controversies about the legitimacy of PPP in provisioning public goods, this chapter focuses on problems rooted in the very nature of PPPs and the actual design of their supportive contracts, as well as in the institutions in which they are embedded and that define the capacity to implement and monitor these arrangements properly.
    Keywords: Public-Private Partnership; transaction costs; organization; infrastructures; misalignment
    Date: 2011–10–28
  4. By: Subhash Ray (University of Connecticut)
    Abstract: Although dominated by public sector banks, India already had a significant presence of private domestic banks and foreign banks. What the banking reforms have done is to create a more level playing field where banks of different ownership types compete within a new set of broad (and far more relaxed) regulations. Data on the performance of the three different categories of banks over the past two decades offer an opportunity to assess to what extent the regulatory changes have improved the productive efficiency of the banking sector in India. Apart from analyzing the standard descriptive measures of performance, this paper uses the nonparametric approach of Data Envelopment Analysis to measure total factor productivity growth and its components to assess the impact of liberalization on different ownership categories of banks in India. The broad conclusion is that it is possible to promote financial soundness by introducing proper prudential norms and to improve operational efficiency without wholesale privatization by allowing competition between public, private and foreign banks. This can be a valuable lesson for other developing countries. JEL Classification: G21, C61 Key words: Banking Reforms, Data Envelopment Analysis, Efficiency Analysis
    Date: 2011–11
  5. By: Hüber, Frank; Kübler, Dorothea
    Abstract: Seit Jahren hat das dezentrale System der Hochschulzulassung in Deutschland aufgrund von Mehrfachzulassungen bis lange nach Semesterbeginn mit dem Problem unbesetzter Studienplätze zu kämpfen eines der typischen Probleme dezentraler Zuordnungsverfahren. Langwierige Nachrückverfahren verzögern die Besetzung freier Studienplätze teils um mehrere Monate, obwohl die Hochschulen auf diese Problematik bereits mit einem starken Überbuchen der Studiengänge reagiert haben. Das Dialogorientierte Serviceverfahren, dessen Manipulationsanreize, Stabilitäts- und Effizienzeigenschaften von uns betrachtet werden, soll diese Probleme zukünftig beseitigen und hat durchaus das Potential die gegenwärtige Situation entscheidend zu verbessern. Dennoch konnten Schwachstellen identifiziert werden, die ausgeräumt werden sollten. -- The deregulation of the German market for university admissions has led to a number of typical problems of decentralized matching markets such as multiple applications, late rejections of offers, and universities unable to fill all their spaces. Unraveling, inefficiencies and risks for both sides of the market arise. Therefore a new centralized admissions procedure has been agreed upon. We discuss the new mechanism with its strengths and shortcomings. Overall, the centralized procedure allows universities to select their most preferred students, and is likely to improve upon the current situation. However, some weaknesses can be identified that should be addressed.
    Keywords: matching,university admission,manipulation,strategic behavior
    JEL: C78 D78 I29
    Date: 2011

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