{"id":166,"date":"2022-10-28T17:07:56","date_gmt":"2022-10-28T21:07:56","guid":{"rendered":"https:\/\/carleton.ca\/ghostmanagement\/?page_id=166"},"modified":"2024-08-23T14:32:50","modified_gmt":"2024-08-23T18:32:50","slug":"regulatory-capture","status":"publish","type":"page","link":"https:\/\/carleton.ca\/ghostmanagement\/regulatory-capture\/","title":{"rendered":"Regulatory Capture"},"content":{"rendered":"<p><img decoding=\"async\" loading=\"lazy\" class=\"size-medium wp-image-386 aligncenter\" src=\"https:\/\/carleton.ca\/ghostmanagement\/wp-content\/uploads\/Updated-Reg-Capture-Graphic-240x240.png\" alt=\"\" width=\"240\" height=\"240\" srcset=\"https:\/\/carleton.ca\/ghostmanagement\/wp-content\/uploads\/Updated-Reg-Capture-Graphic-240x240.png 240w, https:\/\/carleton.ca\/ghostmanagement\/wp-content\/uploads\/Updated-Reg-Capture-Graphic-400x401.png 400w, https:\/\/carleton.ca\/ghostmanagement\/wp-content\/uploads\/Updated-Reg-Capture-Graphic-160x160.png 160w, https:\/\/carleton.ca\/ghostmanagement\/wp-content\/uploads\/Updated-Reg-Capture-Graphic-200x200.png 200w, https:\/\/carleton.ca\/ghostmanagement\/wp-content\/uploads\/Updated-Reg-Capture-Graphic-360x361.png 360w, https:\/\/carleton.ca\/ghostmanagement\/wp-content\/uploads\/Updated-Reg-Capture-Graphic.png 650w\" sizes=\"(max-width: 240px) 100vw, 240px\" \/><\/p>\n<h2 style=\"text-align: center;\">Regulatory Capture<\/h2>\n<p>Following Carpenter and Moss (2014, p. 13), regulatory capture can be defined as follows: \u201c<em>Regulatory capture <\/em>is the result or process by which regulation, in law or application, is consistently or repeatedly directed away from the public interest and toward the interests of the regulated industry, by the intent or action of the industry itself.\u201d<\/p>\n<p>In the political economy of influence, influencing laws and regulations are key objectives for many companies. An obvious way in which corporations invests in influencing policymakers is through lobbying on their own account or via heavyweight trade associations. According to the Center for Responsive Politics based on data from the Senate Office of Public Records, the number of lobbyists at the Federal level in the US (Congress and federal agencies) was 11,652 in 2018 and total declared spending on lobbying was $3.45 billion. The pharmaceutical sector ranked as the top lobbying industry in 2018 with declared spending of $282 million, followed by the insurance sector ($158 million), and electronics ($147 million).<\/p>\n<p>Since the <em>Citizens United<\/em> decision by the US Supreme Court in 2010, corporations have been allowed to spend as much as they want to convince people to vote for or against a political candidate in the United States. According to the 5-4 US Supreme Court decision, if the funds are not being spent in coordination with a political campaign, they \u201cdo not give rise to corruption or the appearance of corruption\u201d (<em>Citizens United v. Federal Election Comm\u2019n (01\/21\/10)<\/em>, 2010, p. 42). Following the decision, independent expenditure-only committees (Super PACs) were created to raise unlimited sums of money to overtly advocate for or against political candidates. For the 2018 electoral cycle, Super PACs amassed $1.5 billions (OpenSecrets, 2021). For many, such political funding can be compared to open forms of corruption (Lessig, 2011).<\/p>\n<p>In addition to direct lobbying, revolving doors (Public Citizen, 2005) and ubiquitous conflicts of interests in government and academia should also be considered important means of regulatory capture. For example, a growing body of literature accounts for how private interests manage to shape public law, especially in the case of international trade agreements (Brunelle, 2007; Drahos &amp; Braithwaite, 2002; Gleeson et al., 2019; Lexchin &amp; Gagnon, 2013; Sell, 2003). The pharmaceutical sector counted 1021 revolving door lobbyists (industry lobbyists who previously worked with government). It is the industry with the most revolving door lobbyists, followed by electronics (828), and general manufacturing and distribution (677) (OpenSecrets, 2021). Regulatory capture has become a central feature in the accumulation of intangible assets for dominant corporations, especially in the pharmaceutical sector.<\/p>\n<p>The level of regulatory capture in the agro-chemical sector in Canada is particularly remarkable. In Quebec, the publicly financed public research institute on agriculture <em>Centre de recherche sur les grains<\/em> (C\u00c9ROM), whose mandate includes reducing the use of pesticides, is administered directly and only by private commercial interests, and was engaged in systematically hiding away studies that showed the need to reduce the use of pesticides in Quebec (Gerbet, 2018). At the Federal level, the <em>Pest Management Regulatory Agency <\/em>is regularly criticized for being too close to commercial interests (Louise Vandelac, 2021; Vandelac &amp; Bacon, 2021). As for the <em>Canadian Food Inspection Agency<\/em>, it was shown that a recent proposal submitted by the agency on the modification of the labelling of genetically modified food was in fact directly authored by lobbyists (Gerbet, Thomas, 2022).<\/p>\n<h3>References<\/h3>\n<p>Brunelle, D. (2007). <em>From World Order to Global Disorder: States, Markets, and Dissent<\/em>. UBC Press.<\/p>\n<p>Carpenter, D. P., &amp; Moss, D. A. (Eds.). (2014). <em>Preventing regulatory capture: Special interest influence and how to limit it<\/em>. Cambridge University Press.<\/p>\n<p>Drahos, P., &amp; Braithwaite, J. (2002). <em>Information Feudalism: Who Owns the Knowledge Economy?<\/em> (1. publ). Earthscan.<\/p>\n<p>Gerbet, T. (2018, March 5). <em>Pesticides: Quand le priv\u00e9 administre la recherche publique qu\u00e9b\u00e9coise<\/em>. Radio-Canada.ca; Radio-Canada.ca. https:\/\/ici.radio-canada.ca\/nouvelle\/1086727\/cerom-mapaq-agriculture-ministere-pesticides-grains-overbeek-recherche-prive-public<\/p>\n<p>Gerbet, Thomas. (2022, September 19). OGM: Ottawa pr\u00e9sente sa r\u00e9forme en utilisant les fichiers d\u2019un lobby agrochimique. <em>Radio-Canada.ca<\/em>. https:\/\/ici.radio-canada.ca\/nouvelle\/1915008\/organisme-genetiquement-modifie-bio-federal-lobby-reforme<\/p>\n<p>Gleeson, D., Lexchin, J., Labont\u00e9, R., Townsend, B., Gagnon, M.-A., Kohler, J., Forman, L., &amp; Shadlen, K. C. (2019). Analyzing the impact of trade and investment agreements on pharmaceutical policy: Provisions, pathways and potential impacts. <em>Globalization and Health<\/em>, <em>15<\/em>(Suppl 1), 78. https:\/\/doi.org\/10.1186\/s12992-019-0518-2<\/p>\n<p>Citizens United v. Federal Election Comm\u2019n (01\/21\/10), No. 08-205 (Supreme Court of the United States 2010). https:\/\/www.supremecourt.gov\/opinions\/09pdf\/08-205.pdf<\/p>\n<p>Lessig, L. (2011). <em>Republic, lost: How money corrupts Congress&#8211;and a plan to stop it<\/em> (1st ed). Twelve.<\/p>\n<p>Lexchin, J., &amp; Gagnon, M.-A. (2013). <em>Impact of the trade agreement between Europe and Canada on the costs of patented drugs<\/em> (Trade and Investment, p. 7) [Briefing Paper]. Canadian Centre for Policy Alternatives. https:\/\/policyalternatives.ca\/sites\/default\/files\/uploads\/publications\/National%20Office\/2013\/10\/CETA_and_Pharmaceuticals.pdf<\/p>\n<p>Louise Vandelac. (2021). Quand des pesticides empoisonnent la recherche, la r\u00e9glementation et la d\u00e9mocratie. <em>VertigO\u202f: la revue \u00e9lectronique en sciences de l\u2019environnement<\/em>.<\/p>\n<p>OpenSecrets. (2021). <em>Open secrets ranked sectors: Following the money in politics<\/em>. OpenSecrets. https:\/\/www.opensecrets.org\/federal-lobbying\/ranked-sectors<\/p>\n<p>Public Citizen. (2005). <em>Congressional Revolving Doors: The Journey from Congress to K Street<\/em>. Public Citizen. https:\/\/www.citizen.org\/wp-content\/uploads\/Congressional-Revolving-Doors-2005.pdf<\/p>\n<p>Sell, S. K. (2003). <em>Private Power, Public Law: The Globalization of Intellectual Property Rights<\/em>. Cambridge University Press.<\/p>\n<p>Vandelac, L., &amp; Bacon, M.-H. (2021, June 10). <em>Une r\u00e9forme urgente de la r\u00e9glementation s\u2019impose \u00e0 Sant\u00e9 Canada<\/em>. Le Devoir. https:\/\/www.ledevoir.com\/opinion\/idees\/609405\/idees-une-reforme-urgente-de-la-reglementation-s-impose-a-sante-canada<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Regulatory Capture Following Carpenter and Moss (2014, p. 13), regulatory capture can be defined as follows: \u201cRegulatory capture is the result or process by which regulation, in law or application, is consistently or repeatedly directed away from the public interest and toward the interests of the regulated industry, by the intent or action of the [&hellip;]<\/p>\n","protected":false},"author":10,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"_relevanssi_hide_post":"","_relevanssi_hide_content":"","_relevanssi_pin_for_all":"","_relevanssi_pin_keywords":"","_relevanssi_unpin_keywords":"","_relevanssi_related_keywords":"","_relevanssi_related_include_ids":"","_relevanssi_related_exclude_ids":"","_relevanssi_related_no_append":"","_relevanssi_related_not_related":"","_relevanssi_related_posts":"","_relevanssi_noindex_reason":"","_mi_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":"","_links_to":"","_links_to_target":""},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v21.2 - 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