The New Political Economy of Regulation

Abstract

The new political economy of regulation is related to the establishment of a balanced regulatory framework that contributes to the synthesis of political and economic aspects. The political economy of regulation also contributes to the establishment of direct governance and controlling processes on economic activities by public sector agents. The aim of the paper is to analyse the new political economy of regulation. Based on a secondary qualitative and detective approach, the article studied the scope and advantages of the new political economy on regulations and its implications within a capitalist structure. A thematic analysis is also conducted to indicate that the new political economy of regulations contributes to establishing a framework for monitoring and distributing wealth, resources and knowledge fairly in all strata of society. Market monopoly is demolished while agricultural and corporate sectors are aligned in their operations to bridge the economic and political gap between the rich and the poor segment of society. Thus, it is concluded that the new political economy provides valuable principles for a balanced and systematising regulatory framework in which capitalist extremism and structural poverty are addressed, contributing to the socialist distribution of resources.