독립규제위원회의 발전방향

A Study on the Development of Independent Regulatory Commission in Korea

This study aims at figuring out major variables in the process of setting up the independent regulatory institution in Korea. The analytical framework of the study is backboned by Horn's transactional cost approach and beefed up by the detailed discussion by Estache & Martimort. This frame work tries to translate the wisdom of Jacob's guidelines of independent regulatory institution building in terms of four types of transaction costs, such as decision cost, committment cost, agency cost and uncertainty cost. On the basis of the analytical understanding of Jacob's guidelines, this study tries to analyze the transaction costs surrounding the Korean independent regulatory institution system, such as National Communication Commission and National Electricity Commission and to elicit some policy implications. Followings are some major policy implications. First, in order for the rule makers, such as legislators, to lessen the burden of decision making cost, the rules and regulations regarding independent regulatory institution are too simple and badly organized to handle the complex situation. Therefore, It is urgent to elaborate the formal laws and regulations sufficient to resolve the current conflicts and confusions. Second, too much and unconditional emphasis on the so-called “independence” as a virtue of independent regulatory institution increases the agency cost and committment cost, resulting in another inefficient regulatory monopoly. Therefore, agency-cost reducing mechanism such as the one promoting free and active access by the interest groups to the policymaking and review processes should be introduced along with the measures providing the independence to the institution such as fixed-year term of the officials in charge. Strong independent regulatory institution and strong regulatees could maintain check and balance. Third, considering the hazardous impact of uncertain business circumstances to the long-term investment in the electricity and communication industries, proactive measures to decrease the uncertainty cost is imperative. Rapid regulatory conflict resolution mechanism, clear-cut laws regulating government intervention, etc.. are the examples. And, promotion of the profitability of the independent regulatory institution, manpower building, and the information disclosure turn out to be major issues for the institution building for independent regulatory institutions in Korea...