ABSTRACT
Economic regulation has come under an increasingly heavy attack from a variety of sources during the past 30 years. This has resulted in the full deregulation of prices, earnings, and entry controls for airlines and motor carriers, and substantial deregulation of rail transport. In the traditional public utility industries, telecommunications, natural gas, and electricity, which are the primary focus of this chapter, there has been selective but growing deregulation. Where residual controls remain, they typically involve “light regulation,” which focuses on transitional price ceilings, attempts to promote open network access, and concerns over the availability of service to lowincome recipients and high-cost markets. This light regulation is a far cry from the comprehensive economic regulation that was traditionally embodied in the public utility concept.
