Creating an economics-sensitive zone at the FCC

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[Commentary] One less-publicized initiative of new Federal Communications Commission Chairman Ajit Pai may have profound impact on the agency’s policymaking agenda. Chairman Pai announced that he would be creating an Office of Economics and Data (OED) at the FCC. This office will combine economists and other commission staff to provide better input on rulemaking proceedings and transaction reviews, along with enhanced support for data management and research activities.

If implementation matches aspiration, OED may fill in a critical role for economic analysis that has been minimized in recent years. The FCC employs a general counsel and a large legal staff, but its chief economist is appointed from the ranks of academia to a one- or two-year term on a rotating basis. These individuals have served in this capacity with distinction, so the problem is not one of analytic talent. Rather, the chief economist’s short stint, combined with not reporting directly to the chairman, has minimized the impact of economic analysis in the decisionmaking process.


Creating an economics-sensitive zone at the FCC