14.J89/2:96-13 COMPETITION IMPROVEMENTS ACT OF 1979, S. 382 HEARINGS BEFORE THE COMMITTEE ON THE JUDICIARY NINETY-SIXTH CONGRESS FIRST SESSION ON S. 382 MARCH 6, 20, AND MAY 22, 1979 Serial No. 96-13 Printed for the use of the Committee on the Judiciary CONTENTS Page 1 Cohen, Marvin S., Chairman, Civil Aeronautics Board___. Miller, Dr. James C., III, codirector and resident scholar, Center for the Study of Government Regulation, American Enterprise Institute for Pub- lic Policy Research___. McKevitt, James D., Washington counsel, National Federation of Independent Business, and Thomas A. Rothwell, antitrust consult- ant, National Small Business Association___ O'Reilly, Kathleen, executive director, Consumer Federation of America__ Shenefield, John H., Assistant Attorney General, Antitrust Division, De- Bernstein, Joan, General Counsel, Environmental Protection Agency---. PREPARED STATEMENTS Paster, Howard G., legislative director, International Union, UAW__ Panel of independent businessmen under ICC regulation: Pearce, Jack, partner, Pearce & Brand; Don Chichilla, president, Na- tional Agricultural Transportation Association; Thomas Living- ston, representative, Livingston Storage & Transfer Co.; Timothy Person, owner, Allstates Transcontinental Van Lines; Arnold Pevna, president, Haverhill Lawrence Transportation Co., and Alfred Rap- 69 Panel of attorneys from the American Bar Association: Gellhorn, Ernest, dean and professor of law, University of Washington Page Law School; Richard W. Pogue, and Bert W. Rein, attorneys-‒‒‒‒‒ Report on antitrust laws, prepared by President Carter's National Com- mission for Review of the Antitrust Laws and Procedures, re recom- mendation that Congress enact legislation furthering competition and adopt principles contained in S. 2625, submitted by Senator Kennedy-- (N.B.: Regarding agency comments on S. 382, the Competition Improve- ments Act, was introduced on Feb. 7, 1979. It was subsequently revised, and the modified version has been incorporated at title II of S. 1291, the Administrative Practice and Regulatory Control Act bill. While comment was requested and received on S. 1291 in its entirety, only the sections Consumer Product Safety Commission_ Federal Communications Commission. Federal Deposit Insurance Corporation.... International Trade Commission_. 67 MISCELLANEOUS Chapter III. Administrative Conference of the United States, section 371 COMPETITION IMPROVEMENTS ACT OF 1979, S. 382 TUESDAY, MARCH 6, 1979 U.S. SENATE, COMMITTEE ON THE JUDICIARY, Washington, D.C. The committee met at 9:30 a.m. in room 2228, Dirksen Senate Office Building, Washington, D.C., Hon. Edward M. Kennedy (chairman of the committee) presiding. Senators present: Kennedy, DeConcini, and Heflin. Also present: David Boies, chief counsel and staff director; Susan McDermott, counsel; and Peter Chumbris, minority consultant. OPENING STATEMENT OF SENATOR KENNEDY Senator KENNEDY. We will come to order. The Committee on the Judiciary today opens hearings on S. 382, the Competition Improvements Act. The objective of this bill is to end the massive and costly inefficiencies within the regulated sectors. of our economy that have been caused by decades of governmental indifference to the proper role of competitive market forces within the regulatory framework. This bill will provide governmental regulators with a competitive standard against which agency actions must be tested and justified. Excessive Government regulation of business has become a national problem of immense proportion. Legislators, administrators, judges, scholars, reformers, and most importantly, the public at large, increasingly want to know whether governmental programs continue to justify their tremendous costs. Commonsense and everyday economics demand a correlation between what we pay and what we get. But no such demand has been made of our powerful regulatory agencies until now. These agencies' actions and orders, purportedly issued to protect the public, have actually cost the public undetermined billions in higher prices, excessive Government expenditures and untold lost business opportunities without a substantial corresponding public benefit. The public indictment against uncontrolled excesses of regulation is strong and well documented. Regulation today is simply costing too much. But "costing too much" does not mean that no cost is worth the return. In the critically important areas of health and safety, we have agreed as a responsible society to support added costs to promote public health and safety. What we have a right to demand, howeverindeed a duty to demand-is that all regulatory activity be directed to achieve its goal in the most efficient manner possible. This should be the focus of today's debates on Government regulations. |