Measuring and Managing the Costs of Red Tape: A Review of Recent Policy Developments

Over the last few years, red tape has come to be identifiedas an important policy area, and there has been rapid and relativelywidespread adoption—in one form or another—of aDutch-developed set of reforms aimed at significantly reducingthe costs of compliance with government-imposed obligationsto provide information (which have come to be referred to as‘administrative burdens’). This paper begins byexamining the characteristics of the policy problems that thesereforms are intended to address, and highlighting some of thechallenges that the reforms can be expected to face. The Dutch-developedapproach, and the UK adaptation of it, are then described, andspecific ways in which the reforms have sought to influenceinformation and incentive conditions—so as to generatereductions in administrative burdens—are assessed. Footnotes ¹ E-mail address: tim.keyworth{at}rpieurope.org     

Prevalence and predictors of bicycle helmet use in a southeastern,US city

Fatalities and head injuries from bicycle-related crashes remain a concern in the United States. Despite legislation in many states, helmet use remains low. This observational study examined the helmet use and related factors in a North Carolina city. The sample consisted of 2088 observations of bicyclists. The objectives were to (1) determine helmet use; (2) describe other safe bicycling practices; and (3) examine the relationship of demographic variables and safe riding practices with helmet use. Helmet use was observed for 25% of the sample. Demographic factors related to helmet use were being female (OR = 1.32), 26 years old or older (OR = 4.94), and White (OR = 2.17). Bicyclists riding on the road with traffic were more likely to wear a helmet than bicyclists riding on the sidewalk (OR = 2.04). Findings indicate that helmet use remains low in the city. Research to monitor, better understand, and promote helmet use is needed.     

COMPETITION LAW AND COMMODITY MARKETS: THE CASE OF WHOLESALE ELECTRICITY

This paper considers some of the challenges that the exercise of market power in commodity markets poses for public policy, focusing on the case of wholesale electricity. The particular economic characteristics of electricity markets can give rise to market conditions where the price elasticities of both demand and supply are very low. Under such conditions, it may not be necessary for a supplier to have control over a large share of available capacity to be able to exercise substantial market power. This paper questions whether the two principal existing forms of supervision of these markets, Competition Law and financial regulation, are sufficient to address the types of problems that can be expected to arise given these characteristics. The answer to that question is in the negative.