Following up on CPR's June 2019 Regulation as Social Justice Conference, and the subsequent report on it, on December 11, 2019, Anne Rolfes of the Louisiana Bucket Brigade and CPR's Amy Sinden and James Goodwin discussed the future of regulation, and how it can do a better job of serving the interests of the political dispossessed.
In 2014, about 300,000 people in and around Charleston, West Virginia, lost their drinking water source when thousands of gallons of a toxic chemical known as MCHM (4-methylcyclohexanemethanol) leaked into the nearby Elk River through a hole in a rusted-out storage tank. In 2015, the wheels of justice began to catch up with the owners of the responsible company when they were indicted by U.S. Attorney Booth Goodwin. Coincidentally, the West Virginia indictments came down on the same day that the Justice Department charged 14 people in Massachusetts for their role in producing and distributing meningitis-tainted steroid injections that killed 64 people. Rena Steinzor in Huffinton Post on prosecuting corporate violence.
Writing for The Regulatory Review, Rena Steinzor and Wendy Wagner observe that "The U.S. Environmental Protection Agency (EPA) Administrator Scott Pruitt recently opened another front in his battle to redirect the agency away from its mission to protect human health and the environment. This time, he cobbled together a proposed rule that would drastically change how science is considered during the regulatory process."
In December 2001, the wunderkind energy company Enron collapsed spectacularly, destroying $67 billion in assets held by mutual funds, retirees and individual stock investors. Some commentary 20 years later has focused on how Enron heralded the first of companies making money by “disruption"—even as some of this disruption also led to negative impacts on society. There is no doubt that, like Facebook, even Enron’s legitimate money-making enterprises had some negative spillovers as a side effect of wealth creation by innovation. But the problem isn’t with the idea of seeking innovation or testing disruptive ways of doing things; the problem is that government regulators, then and now, have been starved of their ability to effectively channel market forces and private innovation to wealth creation while avoiding negative externalities. Truly supporting the private sector, innovation, and wealth creation, requires more government regulation, not less.