Changes In Regulatory Environment Research Articles

Thoughts on the Future of the Hedge Fund Industry

Treatments of the future of hedge funds represent daunting tasks, not in the least because understanding hedge funds’ past is still a subject of intense academic, industry practitioner, regulatory and legislative examination. Even the very definition of a hedge fund defies easy characterization, an unusual irony given that, at least for the foreseeable future, hedge funds stand a substantial chance of remaining fixtures on the global landscape of wealth management. I do not spend much time here on the very definition of a hedge fund, perhaps the clearest expression of which may simply reference a compensation contract and little else, systematically speaking. Other useful definitions may reference the fact that hedge funds in the U.S. and in many countries find certain safe harbors from the 1940 Investment Company Act, the Securities Act and other regulations which may facilitate certain investment strategies and trades including those that require the use of substantial leverage and great degrees of illiquidity. What is clear from both the academic and practitioner literatures is that hedge funds do not necessarily hedge.In this article, I cover a number of items deemed to be important elements of the present and future hedge fund industries. By nature, this examination is subjective and incomplete. I first study the results of a survey of those who guide institutional investors, from where most asset flows into hedge funds come from: institutional consultants. In addition, I consider returns-based sources of interest in hedge funds, examining the historical record of what happened in two recent large equity market declines, with an eye toward the future of risk exposure heterogeneity in the space and the likely future value of hedge funds in investor allocations. As part of this assessment, I discuss a recent phenomenon that I predict will persist at least in the way it has made clear that hedge funds represent blended exposures to risk rather than traditional pure alpha: hedge fund replication. I point out their proliferation, their returns-based characteristics, their underlying exposures, and demonstrate how they would have added value to some allocations historically (e.g., small endowment portfolios taken from a well-known tabulation of endowment portfolios and their performance, The 2009 NACUBO-Commonfund Study of Endowments). To do so I also show how hedge fund risk exposures change over time and over the crisis. Value added in the form of elusive alpha also changes and in fact strongly declines in the crisis, when the strongest effects are exposure-led.Moreover, I consider the risk-exposure measurement issues arising from the required adoption of Statement of Financial Accounting Standards 157, which has altered and perhaps improved the ability to characterize hedge fund risk based on reported returns, despite results apparent in the preceding consultant survey. I show that its use has a strong correlation with increases in the measurement of market risk, as one would expect, where one would expect. The implication is that, in the future, less liquid classes will show greater levels of volatility and the like, even without requiring analysts to employ sophisticated adjustment technologies. Of course, distinguishing that from certain crisis effects is not easy.Since any discussion of the future of hedge funds is exposed to regulatory uncertainty, especially following the crisis and events such as the revelation of the massive fraud perpetrated by Bernard Madoff (although it would be a legitimate point to make that Madoff, per se, did not run a hedge fund), I briefly discuss Madoff as well as the rapidly and unpredictably changing regulatory and enforcement environment. For instance, I point out that in the year following the Madoff shock, the U.S. Securities and Exchange Commission litigated in about sixty cases of Ponzi and similar alleged financial schemes, a rate substantially higher than in the preceding year (roughly thirty-five). In addition, I discuss both direct regulations of hedge funds, which currently appears to be highly likely, as well as indirect regulation like the recent partial reinstatement in the U.S. of the uptick rule for short-selling of stocks.

Trends Of Accounting Restatements During The Period 2000-2007 And Big Four/Five Auditors

<p class="MsoNormal" style="text-justify: inter-ideograph; text-align: justify; margin: 0in 0.5in 0pt;"><span style="font-family: Times New Roman;"><span style="color: black; font-size: 10pt;">The objective of this study is to provide further analysis on the trends of accounting restatements during the period 2000-07 and the role of Big four/five auditors. </span><span style="font-size: 10pt;">Given the changes in regulatory environment after the enforcement of Section 404 of the Sarbanes-Oxley Act, we find that there is a significant increase in restatements in recent years. We also find that restatements being disclosed in recent years are more serious, however, they are disclosed on a more timely basis. Consistent with the general belief that Big four/five auditors are better quality auditors, we find that they are associated with shorter restatement disclosure lags. In addition, restatements with positive financial statement effects are more likely to be disclosed sooner than those with negative effects.</span></span></p>

Effect of the Sarbanes–Oxley act on CEOs’ stock ownership and pay-performance sensitivity

The main purpose of this paper is to provide evidence on the effect of the Sarbanes–Oxley Act on stock ownership and the various measures of pay-performance sensitivity of CEOs’ wealth. The Sarbanes–Oxley Act (SOX) provides a natural experiment for examining how stock ownership and executive pay structure adapt to a change in regulatory environment. Using annual compensation data of S&P 1,500 firms in 1994–2005, we examine the impact of SOX on stock ownership and pay-performance sensitivity of CEOs. Consistent with our expectations, we find that in light of SOX: (1) stock ownership and (2) the total pay-performance sensitivity of CEOs have decreased substantially, indicating that SOX induces a weaker incentive alignment between shareholders and CEOs. In contrast, we find that after SOX stock ownership and the total pay-performance sensitivity of CEOs have remained unchanged in the regulated industries.

Adoption of Health Promotion Practices in a Cohort of U.S. Physician Organizations

Physician organizations such as medical groups and independent practice associations can play a vital role in health promotion through the adoption of effective health promotion practices such as health risk assessments, patient reminder systems, and health promotion education programs. To examine organizational changes in a cohort of physician organizations and changing health promotion practices. Data for a cohort of 369 physician organizations in the U.S. with 20 or more physicians were collected between September 2000 and September 2001 and subsequently from March 2006 to March 2007. Paired-sample t tests were used to identify changes in physician organization characteristics and the use of nine health promotion practices between 2000-2001 and 2006-2007. Compared to 2000-2001, the cohort of physician organizations in 2006-2007 was larger, more likely to be owned by physicians; less likely to be owned by a hospital, health system, or HMO; more profitable; and more likely to use electronic information technology. Between 2000-2001 and 2006-2007, physician organizations increased the use of health risk appraisals to contact high-risk patients and increased the use of reminders for eye exams for diabetic patients. During the same time period, physician organizations decreased the use of nutrition and weight-loss health promotion programs. The adding and dropping of programs among physician organizations is due to many factors, including changing regulatory environments, market conditions, populations, and new health promotion technologies. In the coming years, incentives and regulatory policy should encourage the adoption of effective health promotion practices by physician organizations.

Financial Inclusion in India: Integration of Technology, Policy and Market at Bottom of the Pyramid

Financial inclusion is one of the top most policy priorities of the Government of India. Ever since the UPA government has come into power in the center, one of the most visible aspects of the governance has been agenda of social inclusion of which financial inclusion is an integral part. Taking cue from the state proclivity towards inclusive growth agenda, the Reserve Bank of India (RBI) has taken a proactive role in ushering the enabling environment for expediting financial inclusion across length and breadth of the country through bank led model. To reach out at 400 million plus un (der) banked population at pace with profitability is the single most important challenge faced by the multistakeholders, particularly banks and delivery channels. And here comes in the role play of technology led models and their efficacy over traditional brick and mortar branches. The paper is broadly divided into two parts, in the first part it takes an overview of the existing technology led branchless models of financial inclusion across the world and highlights how populations at bottom of the pyramid across the spectrum of developing world have gained access to financial services. The paper also highlights role of regulatory environment which has paved path for development of technology led models in the emerging economies of the world. In the second part, the paper vividly describes various technology led models of financial inclusion – particularly branchless, which have mushroomed in India for last few years, the changes in regulatory environment and customer expectations due to multiple options available. Finally the paper sums up with an open ended question what does future hold for millions un(der) served in India and how does technology, banking and public policy could better address the developmental question of financial exclusion.

Political Compromises: The Privatization of Small- and Medium-Sized Public Enterprises in China

One important feature of China’s privatization process is that insider privatization prevailed, and that outsiders could hardly gain access to buying state enterprises. Why was a majority of small- and medium-sized public enterprises sold to the firms’ former managers (and workers)? How did the tightened regulatory environment affect local privatization in China? Building on insights into institutional change, I argue that the choice of a specific privatization strategy results from political compromises among local officials, workers, and managers of public enterprises under specific regulatory constraints. Local officials’ incentives for privatization and their reactions to the changing regulatory environment had a great impact on the dynamics of local privatization.

Impact of Medicare Part D on independent and chain community pharmacies in rural Illinois—A qualitative study

Background Although the sustainability of rural pharmacy services is a concern of long standing, the rural marketplace is not monolithic. Enhanced understanding of different experiences, strengths, and potential weaknesses of rural chain and independent pharmacies could help inform health policy debates, legislation, and consideration of disparities and access. This study compared and contrasted experiences by pharmacists in chain and independent community pharmacies during Medicare Part D implementation. Objective The objective was to obtain and describe experiential narratives from rural Illinois pharmacists regarding the implementation of Medicare Part D. Similarities and differences experienced in chain and independent community pharmacies were examined, as well as pharmacists' perceptions about potential implications of the newly implemented Act on the accessibility of rural pharmacy care and services. Methods A semistructured qualitative research approach was used, involving focus groups and telephone interviews, to elicit the subjective experiences of rural Illinois pharmacists. Participants were selected through purposive sampling to include representative perspectives of independent and chain community pharmacists in rural areas across the state. Using a systematic, iterative coding process, recurrent themes were identified in 8 substantive categories. Results Areas of similarity between the 2 groups included universal criticism of the initial implementation processes, but consensus belief that Medicare patients ultimately benefited if they did not have previous prescription drug coverage. Pharmacists in independent drugstores expressed more concern about their future viability. Corporate communications and infrastructure support were available in chain pharmacies and believed to present them with competitive advantages and a stronger long-term financial position. Conclusions The findings showed a disparate impact of Medicare Part D on the initial experiences and perceived viability of independent community pharmacies, in comparison with their chain pharmacy counterparts. The long-term implications of changing regulatory environments and customers' pharmacy needs in underserved communities should be carefully considered and monitored.

The growing importance of risk in financial regulation

PurposeThe purpose of this paper is not only seek to trace developments that have contributed to the importance of risk in regulation, but also to justify why risk has become so significant within regulatory and governmental circles.Design/methodology/approachThis task will be facilitated through a consideration of theories associated with risk, and by reference to two forms of risk regulation, namely risk‐based regulation and meta regulation. As well as a consideration of the application of both in jurisdictions such as the UK, the paper adopts a comparative approach through references to the their application in jurisdictions such as Germany, Italy, and the USA, and also through a comparison between meta‐regulatory strategies and risk‐based regulation.FindingsThis paper concludes that all regulatory strategies should take into consideration the importance of management responsibilities – both on individual and corporate levels. Meta‐risk regulation has not only assumed such a prominent position in regulation through its application in Basel II, but also is preferred to risk‐based regulation – not only because of the element of ambiguity which risk‐based regulation introduces into its assessment (through a consideration of the external environment of the firm), but also because of its impact of the use of external auditors in regulation and supervision.Practical implicationsThe practical implications of a move towards risk‐based regulatory strategies, and meta‐regulatory strategies in particular, is that courts are simply not adequately equipped to deal with the pace with which some financial instruments, such as derivatives, operate.Originality/valueThis paper not only introduces originality through its comparative approach and the choice of jurisdictions involved, but also through the attention it draws to the need for more innovative techniques such as meta regulation. Meta regulation can be considered to be the most evolved and collaborative form of regulation, which is best suited for such an ever‐evolving and changing regulatory environment that currently exists.

Physician Compensation Models (427)

1.Identify the new duties and time commitment required of hospice medical directors by the proposed regulations.2.List three physician compensation models currently being utilized in hospice.3.Define components of models that might be implemented to meet the need for increased hospice physician involvement. Sponsored by the AAHPM Business Practices Committee. The required duties and responsibilities for hospice medical directors may increase dramatically in the coming years. This will require many programs to significantly increase the involvement of physicians well beyond current levels. What has been a best practice for many hospice programs (for example, physician visits to long-length-of-stay patients and written comments on certification and recertification documents) may soon become requirements. This will present a challenge for many hospice programs with limited physician involvement and will require an increase in physician time for many other hospices. A variety of models have evolved to employ hospice physicians. These include full time, part time, salaried, and productivity or incentive-based as well as some mix of these components. Some models involve contracting with physician groups, academic medical centers, and community hospitals. This interactive workshop will review the changing regulatory environment and outline the anticipated additional duties that will be required of hospice physicians. Several existing physician compensation models will be described and advantages and disadvantages of different models will be discussed by medical directors with experience using different models. Successful strategies for recruiting and retaining physicians will be explained. Structure and Processes of Care

The Business of Speed: The Hot Rod Industry in America, 1915–1990 (review)

Reviewed by: The Business of Speed: The Hot Rod Industry in America, 1915–1990 Kevin Borg (bio) The Business of Speed: The Hot Rod Industry in America, 1915–1990. By David N. Lucsko. Baltimore: Johns Hopkins University Press, 2008. Pp. xvi+343. $50. The Business of Speed explores how a distinct set of “enthusiast-entrepreneurs” modified the innermost technical qualities of mass-produced automobiles in search of performance, pride, and profit. David Lucsko traces the technology, geography, and personalities of an industry based entirely on user modifications, technological enthusiasm, and small flexible firms; an industry that faced early and endemic technological uncertainty and, by mid-century, increasing regulatory challenges. He provides rich empirical material for readers interested in business history or the history of technology. Lucsko’s first three chapters outline the formation and development of the industry before World War II. High-performance automotive parts first appeared around 1915 and soon dozens of firms, loosely concentrated in the Midwest, were offering improved ignitions, crankshafts, pistons, carburetors, and valves, components that enabled enthusiasts to make already spunky Model Ts even faster. In the 1930s and 1940s the geographic center of the hot rod industry moved to the West Coast where time trials on desert dry lakes fostered a “technologically iterative” environment in which small, [End Page 715] nimble firms responded quickly to the needs of racers, who in turn exploited each new product to claim bragging rights. Chapters 4–6 follow the maturation of the industry in the postwar decades. Here Lucsko draws on Phil Scranton’s concept of “networked specialists” to argue that the Los Angeles–area aircraft industry, with its associated skilled labor and auxiliary firms, plus Southern California’s unique clustering of enthusiasts, manufacturers, and end users, nurtured dynamic, small firms that used general-purpose tools to create small batches of low-volume, low-demand parts. This enabled the industry to manage market uncertainty and respond to the rapid technological changes of various high-performance and racing markets, helping it to grow even as original equipment manufacturers (OEMs) sought to capture the performance market with so-called muscle cars. In his final four chapters Lucsko makes his most original and important contribution to business history and the history of technology. While safety and environmental regulations may have killed the factory muscle car in the 1970s, he shows that they did not have the same effect on hot rodding. Rather, the hot rodding industry posted record sales right through the 1970s and 1980s, with only a slight dip in the early 1990s followed again by continued growth. Central to Lucsko’s analysis are the actions of the Speed Equipment Manufacturers Association (SEMA, which astutely changed its first name to “Specialty”). SEMA was formally organized in 1963 to address concerns of the National Hot Rod Association (NHRA) about the safety of aftermarket racing parts. To meet NHRA’s concerns, it formed a technical committee and developed an industry self-certification procedure, which provided the model on which SEMA would base its later interactions with state and federal regulators. While editorials in enthusiast magazines such as Hot Rod excoriated regulations and regulators, Lucsko argues that SEMA leaders acknowledged their industry’s responsibility for safety and environmental issues and set out to prove that aftermarket modifications could actually make cars run cleaner and more efficiently. The organization’s experience with industry self-certification meant it could offer regulators inexpensive and expedient means to meet policy ends. By Lucsko’s account, SEMA’s cooperative and forward-looking strategy saved hot rodding and arguably provides a model for comparative studies of technological and niche-market responses to changing regulatory environments. One drawback of this part of the book is that the narrative adheres too closely to SEMA and industry sources. Uncovering these sources represents a big part of Lucsko’s contribution, but the result flirts with imbalance at times. Delving more deeply into the sources and studies of the regulatory agencies or the consumer and environmental critics of the industry might open new questions about this pivotal period for American automotive performance enthusiasts. Lucsko reads the slight dip in performance parts sales in 1991 as marking [End Page 716] a transition from domestic...

THE DEVELOPMENT OF ENTREPRENEURSHIP AND PRIVATE ENTERPRISE IN THE PEOPLE'S REPUBLIC OF CHINA AND ITS RELEVANCE TO TRANSITIONAL ECONOMIES

This paper aims to study the issues and unique characteristics surrounding the birth and development of the private sector in the People's Republic of China (China); analyze the interaction of entrepreneurial behavior and the country's unique and continuously changing regulatory and institutional environment; examine the actions, outcomes, and composition of this emerging entrepreneurial class; and analyze the implications for entrepreneurship research in transitional economies. The paper offers a model built on a dynamic and transitional cycle. Using this model, the paper examines how uncertainties, ambiguities, and changing regulatory environments may create opportunities, bolstering the entrepreneurial class as well as an impressive private sector in a country where entrepreneurs and private business can be at odds with socialist ideology and culture in addition to many regulatory and institutional obstacles. Rather than relying upon limited survey data targeted at specific locations, industries, or time periods, this study is based on seven large-scale surveys conducted from 1993 to 2006 in both urban and rural areas extending horizontally across different industries in China, with a primary focus on private business. The findings are relevant for future research and government policy in transitional economies.

SPECIAL ISSUE: DESIGNING IMPLANT TRIALSGUEST EDITOR: MOHIT BHANDARIPreface: Designing Implant Trials in 2010: A Recipe for Success

In a recent evaluation of 1017 device trials listed on a clinical trials register (www.clinicaltrials.gov) between 2005 and 2009, only 84 (8.2%) represented orthopedic device evaluations. These device trials notably had few numbers of patients and few centers and represented approximately 7% of drug trials on the same registry. The relatively small proportion of device trials in orthopedics may represent a lack of interest; however, given the device focus of the field, the answer is more likely to be a lack of necessity—historically, regulatory pathways to implant approvals have not required clinical trials and have largely focused on preclinical and early case-series evaluations. The changing landscape of the regulatory environment necessitates a renewed interest in high-quality clinical research. Specifically, randomized trials of implants in orthopedics are poised to become major designs in the future. Given the general uncertainty in knowledge of regulatory pathways among researchers and health care providers, the current symposium was developed to clarify the design and execution of device trials in a changing regulatory environment. We focus our papers on the Food and Drug Administration (FDA) device classes and regulatory pathways (510K), design challenges in regulatory trials, site audits, and standard operating procedures. In over a decade of conducting trials, we have also realized the critical importance of data-management systems and contract research organizations. Not every clinician, device manufacturer, or researcher planning a randomized trial will have the infrastructure or experience to meet the strict regulatory compliance guidelines for the proper conduct of the trial. Understanding what to look for in a contract research organization is extremely helpful, especially in an environment of limited funding and high expectations. We hope that the current symposium will provide a broad context to clinical trials of orthopedic devices. Despite the challenges of the current regulatory arena, there has never been a more exciting time to conduct research in our field.

Waddington’s Legacy to Developmental and Theoretical Biology

Conrad Hal Waddington (1905–1975) was a British developmental biologist who mainly worked in Cambridge and Edinburgh, but spent the late 1930s with Morgan in California learning about Drosophila. He was the first person to realize that development depended on the then unknown activities of genes, and he needed an appropriate model organism. His major experimental contributions were to show how mutation analysis could be used to investigate developmental mechanisms in Drosophila, and to explore how developmental mutation could drive evolution, his other deep interest. Waddington was, however, predominantly a thinker, and set out to provide a coherent framework for understanding the genetic bases of embryogenesis and evolution, developing his ideas in many books. Perhaps his best-known concept is the epigenetic landscape: here a ball rolls down a complex valley, making path choices. The rolling ball represents a cell’s development over time, while the topography represents the changing regulatory environment that controls these choices. In its later forms, the role of each feature in the landscape was controlled by the effects of sets of interacting genes, an idea underpinning contemporary approaches to systems biology. Waddington was the first developmental geneticist and probably the most important developmental biologist of the pre-molecular age.

Corporate governance, regulatory changes, and corporate restructuring in Korea, 1993–2004

What has triggered the big wave of corporate restructuring around the world since the 1980s? The dominant explanations have attributed it to the changes in corporate governance and business environments. Based on these research streams, we investigated the roles of governance factors, such as business group affiliation, domestic institutional ownership, and foreign ownership in corporate restructuring of Korean firms, and continued to examine the effects of changes in regulatory environments regarding corporate governance after the financial crisis. We argue that the effectiveness of governance factors on firms’ activities is bound to the institutional context created by government regulations. An empirical study was conducted on a panel of 251 Korean firms during 1993–2004. Results show that institutional ownership and regulatory changes in corporate governance had significantly influenced Korean firms’ restructuring. Regulatory changes have positively moderated the relationship between business group affiliation and restructuring, and between institutional ownership and restructuring.

Financing the middle market in high-risk and changing regulatory environments

Microfinance has proven an effective way to reach the poor, but financial services for the slightly larger ‘small firms’ are still largely lacking, even though it is this sector that has greater prospects for driving economic growth and providing employment. CHF International has begun to focus its efforts on this middle market sector, by founding non-bank financial institutions that lend to small businesses. This article describes two such companies, Express Finance in Romania and IMMDF in Iraq. The challenge in one case is to provide flexible banking services to small firms struggling with the challenges of transition to EU regulations, and in the other case with a dangerously insecure and volatile environment. In both cases flexible products and well-trained staff were important to provide business services to complement financial services.

Financing the middle market in high-risk and changing regulatory environments

Microfinance has proven an effective way to reach the poor, but financial services for the slightly larger ‘small firms’ are still largely lacking, even though it is this sector that has greater prospects for driving economic growth and providing employment. CHF International has begun to focus its efforts on this middle market sector, by founding non-bank financial institutions that lend to small businesses. This article describes two such companies, Express Finance in Romania and IMMDF in Iraq. The challenge in one case is to provide flexible banking services to small firms struggling with the challenges of transition to EU regulations, and in the other case with a dangerously insecure and volatile environment. In both cases flexible products and well-trained staff were important to provide business services to complement financial services.

State Medical Board Members’ Beliefs About Pain, Addiction, and Diversion and Abuse: A Changing Regulatory Environment

Three national surveys were conducted in 1991, 1997, and 2004 to evaluate state medical board members' knowledge and attitudes about prescribing opioid analgesics for pain management. Topics addressed include perceived legality of prolonged opioid prescribing, characteristics of addiction, prevalence of medication abuse and diversion, and perceived importance and influence of medical board policy. Questions were added in 2004 to determine board members' views about law enforcement involvement in physician investigations and prosecutions. This study assesses medical regulators' current beliefs and compares the 2004 responses with previous responses to determine how knowledge and attitudes about prescribing opioids have changed in recent years. Survey results show that board members have a greater understanding of pain management issues, particularly regarding characteristics of addiction and the legality of prolonged opioid prescribing for chronic noncancer pain. During the last 15 years, there has been substantial regulatory policy development, with medical boards adopting regulations, guidelines, or policy statements to provide guidance to licensees about using opioids to treat pain. However, many board members believe that federal and state law enforcement agencies have increased criminal investigations and prosecutions of physicians. We discuss appropriate regulatory and law enforcement responses to opioid prescribing violations, and suggest crucial next steps. The authors examine the evolution of state medical board members' knowledge and attitudes about prescribing opioid analgesics to treat chronic pain, demonstrate that medical regulators believe that there have been increased criminal investigations and prosecutions of physicians for their prescribing practices, and suggest ways to avoid unwarranted criminal prosecutions.

Auditor-Provided Tax Services: The Effects of a Changing Regulatory Environment

This study investigates auditor-provided tax services from 2000 to 2002, during which fees paid to auditors for nonaudit services (NAS) were disclosed, but separate disclosure of tax service fees was voluntary. We examine changes in the market for tax NAS in 2002, as Congress debated possible prohibition of these services. Using the Heckman MLE procedure to control for selection bias in tax fee disclosure, we find that a strong pre-2002 positive association between tax fees and higher than expected audit fees weakened significantly in 2002, suggesting that some companies paying high audit fees reduced or terminated auditor-provided tax services in 2002. Our findings also suggest that auditor-provided tax services were reduced among new or short-tenure clients. Controlling for tax complexity, we also find some evidence that early “returns” (i.e., tax rate reductions) to companies from auditorprovided tax services were reduced in 2002. Finally, results of our selection model imply that the decision to voluntarily disclose fees paid to the auditor for tax services is positively associated with tax complexity and auditor tenure, and negatively associated with the proportion of NAS fees to total fees. Overall, our findings imply significant change in auditor-provided tax services prior to 2003, when separate disclosure of auditor-provided tax service fees was mandated.

Antitrust Enforcement in the Electricity and Gas Industries: Problems and Solutions for the EU

Antitrust enforcement in the electricity and gas industries raises specific problems that call for specific solutions. Among the issues: How can the anticompetitive effects of mergers be assessed in a changing regulatory environment? Should long-term agreements in energy purchasing be prohibited? What are the benefits of preventive action such as competition advocacy and market surveillance committees? Should Article 82 (a) of the EC Treaty be used to curb excessive pricing?

Antitrust Enforcement in the Electricity and Gas Industries: Problems and Solutions for the EU

Antitrust enforcement in the electricity and gas industries raises specific problems that call for specific solutions. Among the issues: How can the anticompetitive effects of mergers be assessed in a changing regulatory environment? Should long-term agreements in energy purchasing be prohibited? What are the benefits of preventive action such as competition advocacy and market surveillance committees? Should Article 82 (a) of the EC Treaty be used to curb excessive pricing?