PAP3902 Lecture Notes - Lecture 5: Decision Matrix, Law Society, Predatory Pricing

• School: University of Ottawa
• Department: Public Administration
• Course: PAP3902
• Professor: Vlasios Melansakis

Document Summary

Broad strategies/approaches you can take in building a regulatory regime. Tradeable permits: often occurring in environmental science, rather than creating a rule that prohibits certain technologies, this is where you issue a limited number of licenses to allow an industry to pollute a certain amount. You cap this amount so you can minimize total pollution. And through this kind of strategy you can meet an international level of some sort: european union has put this in place. ; i"(cid:373) rel(cid:455)i(cid:374)g o(cid:374) these individuals to come in and have a smoke etc. When these kinds of laws are passed, almost immediately after these industries do have blips in profit. But if this period is too long, you can have some businesses going out of business. But one way to avoid the blip is to use tradeable permits. You would issue a licence to allow an establishment to have a smoking and non-smoking section (within reason of course).