Which One Is It? Reformer or Regulator?

If you were to read a bit on the EU, you find that there is this debate going on about its role as regulator and/or reformer. So here, I'll briefly discuss and answer the question of whether the EU is an efficient regulator but an inefficient reformer? To do this, I’ll refer to two views and some examples from the Single European Market.

Mats Persson argues that the EU is efficient in introducing new rules, yet it is inefficient in adapting to the challenges of the globalized world. Desmond Dinan mentions the EU as an efficient and resilient entity. I agree that the EU is an efficient regulator and hardly agree that it is an inefficient reformer. The latter is because although the EU might be inadequate for now, it wouldn’t be fair to define it as an inefficient reformer based on Dinan’s solid arguments on challenges the EU faces. 

In terms of regulation, the EU wields considerable power according to Persson. In fact, its opaque structure gives it the ideal vehicle for enacting laws and regulations that are typically passed without public scrutiny. The EU can push through laws and actions that would otherwise be blocked by local opposition thanks to its structure. However, he mentions that the EU's tendency to pursue multiple goals at once "tends to yield inferior policy outcomes."In practice, this means that the EU's “communitarian system” may be excellent at going in one direction, but it is woefully inadequate at developing or revising policies in light of facts, people's demands, or changing circumstances.

On the other hand, according to Dinan, the EU allows its members to benefit from massive economies of scale and scope in a socioeconomic-political area that spans nearly the entire continent. Hence, the EU's efficiency is remarkable in light of the obvious cultural, language, and organizational challenges it encounters. Thus, the EU is not as efficient as many would want and it should strive for progress. However, it emerges as a fascinating experiment in policy-making and a remarkably capable entity. 

Here, we can mention Competition policy as an example to make things clearer before we finish. The goal of it is to ensure that the single market is policing itself and that enterprises and governments do not gain an unfair advantage. Most businesses recognize that without a watcher, the market would be warped to their detriment and this can be an example to how the EU grows into its efficient regulatory role.

For reference you can check: Dinan and Persson, Chp.2, in Zimmermann and Dür (eds). 

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