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wrote...
Posts: 164
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2 months ago
The capture hypothesis suggests that

• marginal cost regulation is superior to average cost regulation.

• the well-focused interests of consumers will lead to the over-regulation of most industries.

• regulation will lead to over-entry and eventual losses for firms in the industry.

• the firms being regulated will unduly influence the regulators.
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Economics Today: The Micro View
Edition: 19th
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Jax
wrote...
2 months ago
the firms being regulated will unduly influence the regulators.
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