Towards appropriate institutional arrangements for regulation in less developed countries.
This paper examines how conditions prevailing in less developed countries (LDCs) may impact on the institutional arrangements for regulation, and how these might be taken into account in designing regulatory regimes. It begins by sketching the background to these issues: the importance of the legal system and regulatory arrangements for economic development; and how views have diverged over time in how LDCs should solve problems in this respect. By way of critical commentary on such views, it identifies some characteristics of LDCs which may inhibit the effectiveness of the transplant of Western models of regulation. It then relates those characteristics to some key features in general strategies for regulatory design and reform. The remaining part of the paper draws on particular studies undertaken on licensing and corruption, to illustrate the general themes and to provide concrete examples of how they might influence regulatory design.
Manchester, UK, CRC Working Paper, No. 119, 27 pp.