# Optimal rules

`kaal:entity:optimal-rules`

**Status.** derived

This node is assembled mechanically from the 4 claims that carry the concept tag `optimal-rules`. It is a roster of what the corpus says under this term. It is **not** an adjudicated definition: no single statement here has been ruled canonical, and no first-appearance call has been made. Read the claims and judge for yourself.

## Every claim under this term

4 claims across 2 works, 2013 to 2013.

**2013**

- [2267560-010](https://wulfkaal.github.io/claims/2267560-010) [failure/asserted] *(failure mode)* -- Even institutional arrangements that produce optimal governance solutions generate solutions that become suboptimal over time, necessitating rule revision, updating, and revocation.
  > Even if institutional arrangements produce optimal governance solutions, these solutions can become suboptimal over time, necessitating rule revision, updating, and revocation.
  Wulf A. Kaal, Evolution of Law Dynamic Regulation in a New Institutional Economics Framework (2013). SSRN: https://ssrn.com/abstract=2267560
- [2267560-019](https://wulfkaal.github.io/claims/2267560-019) [failure/argued] *(failure mode)* -- NIE acknowledges that transaction costs, imperfect information, and bounded rationality influence the rulemaking process, with the consequence that even optimal solutions to regulatory problems become unstable and suboptimal over time.
  > NIE acknowledges that transaction costs, imperfect information, and bounded rationality influence the rulemaking process (Homann and Kirchner 1995; Furubotn and Richter 2005) and even optimal solutions to regulatory problems can become unstable and suboptimal over time.
  Wulf A. Kaal, Evolution of Law Dynamic Regulation in a New Institutional Economics Framework (2013). SSRN: https://ssrn.com/abstract=2267560
- [2273857-002](https://wulfkaal.github.io/claims/2273857-002) [mechanism/argued] -- Because economic conditions and the corresponding requirements for optimal and stable rules are constantly evolving, a rule set that is optimal at enactment ceases to be optimal over time.
  > The economic conditions and the corresponding requirements for optimal and stable rules are constantly evolving, suggesting that a different set of rules could be optimal.
  Wulf A. Kaal, Dynamic Regulation of the Financial Services Industry (2013). SSRN: https://ssrn.com/abstract=2273857
- [2273857-008](https://wulfkaal.github.io/claims/2273857-008) [empirical/argued] -- Congress, financial regulators, and the financial regulation literature rely almost exclusively on rules presumed to be stable and optimal, which is the common denominator of regulatory responses to crises.
  > Congress, financial regulators, and the literature on financial regulation rely almost exclusively on "stable" and presumptively "optimal" rules.
  Wulf A. Kaal, Dynamic Regulation of the Financial Services Industry (2013). SSRN: https://ssrn.com/abstract=2273857

## Verify

Every claim above resolves to a record carrying a verbatim source quote, the sha256 of the source PDF, and a preformatted citation. Nothing here asks to be taken on trust.

    curl -s https://wulfkaal.github.io/entities/optimal-rules.md | sha256sum

**Canonical form.** This markdown file is the canonical hashed representation of this entity node. Its sha256 is the content hash.