Regulatory capture is the process by which a regulatory firm, created to act inside the public interest, instead advances this special concerns regarding interest groups that dominate the that the firm is charged with regulating. Regulatory economics is the economics of regulations, in the sense of the use of law by government or a completely independent agency for a variety of purposes, such as centrally-planning an overall economy, remedying market malfunction, enriching well-connected organizations, or benefiting people in politics.
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