# kaal:claim:2273857-010

**Claim.** A regulatory framework that relies exclusively on stable and presumptively optimal rules cannot adequately address future challenges, and the amendments, revisions, and retractions such a framework generates create substantial transaction costs and uncertainty.

**Type.** failure  **Support.** argued

**Holds when.**

- framework relies exclusively on stable rules

**Source quote.**

> A regulatory framework that relies exclusively on stable and presumptively optimal rules may not be able to adequately address future challenges. Amendments, revisions, and retractions of existing rules create substantial transaction costs and uncertainty.

**From.** Wulf A. Kaal, *Dynamic Regulation of the Financial Services Industry* (2013), I. Introduction, page 10

**Cite as.** Wulf A. Kaal, Dynamic Regulation of the Financial Services Industry (2013). SSRN: https://ssrn.com/abstract=2273857

**Verify.** sha256 of source PDF `e7cb3dea40593135acc99a9b00690138fe01020514ebf388f5140e1b0e59e82a` at https://raw.githubusercontent.com/wulfkaal/Academic-Papers/main/papers/pdf/Kaal%20-%202013%20-%20Dynamic%20Regulation%20of%20the%20Financial%20Services%20Industry.pdf

**Failure mode.** cost of perpetual rule revision  (family: rule-obsolescence-and-ossification)

**Topics.** economics

**Keywords.** stable-rules, transaction-costs, regulatory-uncertainty, rule-revision

**Related claims.**

- restated_by: https://wulfkaal.github.io/claims/kaal-2014-dynamicregulationviagove-009

**Canonical form.** This markdown file is the canonical hashed representation of the claim. Its sha256 is the content hash used for attestation.