Federal Trade Commissioner Maureen Ohlhausen believes in “regulatory humility,” and policy makers on the state level would be wise to hear her out. The concept is one that seems like common sense, but examples in government and politics more generally suggest that humility is less attractive in practice.
With reference to economic theories by the likes of Friedrich Hayek that are, she says, not exactly in dispute these days, Ohlhausen explained at a recent American Enterprise Institute event that regulators should be aware of their limits. Especially in an era of technological lunges, regulators can’t know everything about the industries that they regulate–let alone other industries that innovation might bring into competition–while facing an unknowable future.
A skim of the legislation proposed in any state will likely show a less-than-humble approach to regulating (although some will be worse than others).