The Global Diffusion of Regulatory Agencies

Abstract

The autonomous regulatory agency has recently become the “appropriate model” of governance across countries and sectors. The dynamics of this process are captured in the authors’ data set, which covers the establishment of agencies in 48 countries and 15 sectors for the period 1966-2007. Adopting a diffusion approach to explain this broad process of institutional change, the authors explore the role of countries and sectors as sources of institutional transfer at different stages of the diffusion process. They demonstrate how the restructuring of national bureaucracies unfolds via four different channels of institutional transfer. The results challenge theoretical approaches that overemphasize the national dimension in global diffusion and are insensitive to the stages of the diffusion process. Further advance in study of diffusion depends, the authors assert, on the ability to apply both cross-sectoral and cross-national analysis to the same research design and to incorporate channels of transfer with different causal mechanisms for different stages of the diffusion process.