Following is an extract from an article "Can banks be defended" by Sri
Jaithirth Rao in to-day's The Indian Express:
"Years ago, the Nobel laureate George Strigler published his empirical findings
that senior managers in railway companies became railway regulators and vice
versa. Guess what - rail fares went up to higher levels after regulations were
introduced to control them. Stigler's prescient warning that it is dangerous to
let the economic actors who are being regulated enter regulatory office needs
to be re-emphasised."
It appears that this warning applies to the appointment of Information
Commissioners also.
M. Rama Rao
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