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Unpublished Paper
Efficiency and Effectiveness in Securities Regulation: Comparative Analysis of the United States Competitive Regulatory Structure and the United Kingdom’s Single Regulator Model
ExpressO (2007)
  • Joseph Silvia
Abstract
Efficiency and Effectiveness in Securities Regulation: Comparative Analysis of the United States Competitive Regulatory Structure and the United Kingdom’s Single Regulator Model Does the form of regulatory institutions impact the efficiency and effectiveness of the regulatory structure? While the current status of the multi-level/multi-functional regulatory structure in the United States (US) has developed over many years, the recent adoption of a single regulator structure by the United Kingdom (UK) offers us opportunity to test the impact of form on substance. To what extent does each system efficiently and effectively monitor and enforce the regulations of the financial markets? This paper evaluates the current status of the multi-regulator structure in the US and the single-regulator structure of the UK for a determinative assessment to what extent one system offers greater efficiency and effectiveness in achieving its stated mission compared to the other system. Should the US be considering a change in the current regulatory framework? An analysis begins with a detailed account of the US regulation of the financial markets and its participants, with specific focus on the securities markets. Section 2 of this analysis examines the US regulatory scheme’s origins, development, goals, and major issues. Section 3 examines the UK’s recently adopted single regulator system and provides a thorough description of the systems basic structure, development, and major issues confronting the single regulator model. Section 4 evaluates each model based on the following three considerations: (1) safety and soundness in the markets through enforcement and prosecution; (2) costs and benefits derived from the regulatory structures; and (3) effectiveness and efficiency offered by each system of regulation. Section 5 concludes.
Disciplines
Publication Date
September 26, 2007
Citation Information
Joseph Silvia. "Efficiency and Effectiveness in Securities Regulation: Comparative Analysis of the United States Competitive Regulatory Structure and the United Kingdom’s Single Regulator Model" ExpressO (2007)
Available at: http://works.bepress.com/joseph_silvia/3/