Dr Myriam Senn
Swiss Federal Banking Commission
Date: 9 December 2003
Time: 1:00pm - 2:30pm
Venue: CARR Seminar Room, H615
As of today, the enforcement of European economic law, in particular of financial services and competition law, has not been satisfactory with regard to the goal of harmonisation. New rules should improve the situation in the future. In competition law a regulation on the implementation of the rules on competition will introduce a decentralised system of law enforcement. In financial services law the revised investment services directive proposes the introduction of a four-level enforcement model, which represents another model of decentralised regulation. The analysis examines these regulatory structures of decentralised incentives mechanisms taking into account that decentralisation raises issues in relation to complexity, fragmentation, interdependency and governance. On the basis of this analysis, decentralisation as an alternative to centralised or command and control procedures is evaluated. It is argued that there is little incentive to follow centralised regulatory procedures. The consistent and uniform application of law is better ensured with decentralised regulatory structures, which as a matter of fact can appear in a wide set of forms including self-regulation. Finally, the case is made for relying on decentralised incentive mechanisms in economic law.