Obesity remains a serious health problem and it is no secret that many people want to lose weight. Behavioral economists typically argue that “nudges” help individuals with various decisionmaking flaws to live longer, healthier, and better lives. In an article in the new issue of Regulation, Michael L. Marlow discusses how nudging by government differs from nudging by markets, and explains why market nudging is the more promising avenue for helping citizens to lose weight.
In Bootleggers & Baptists: How Economic Forces and Moral Persuasion Interact to Shape Regulatory Politics, economists Bruce Yandle and Adam Smith explain how money and morality are often combined in politics to produce arbitrary regulations benefiting cronies, while constraining productive economic activities by the general public.
Featuring the author Jonathan Macey, Yale Law School and Yale School of Management; with comments by Damon Silvers, AFL-CIO; and Harvey Pitt, Kalorama Partners, Former Chairman, U.S. Securities and Exchange Commission; moderated by Mark Calabria, Cato Institute.
Trust and reputation are central to the operation of capital markets. But in our generation, reputational mechanisms are failing; and when they fail, markets and societies are also at risk of failure. The usual response has been to call for more aggressive regulation, yet this only worsens the problem, as Jonathan Macey shows in his new book. There, he demonstrates how and why poorly considered regulation has undermined traditional trust mechanisms throughout financial institutions, credit rating agencies, and accounting and law firms. Please join us for a discussion of these issues, including a better path to restoring trust and integrity.