Regulatory Overkill

[Editor’s Note: We asked selected Xconomists a series of questions designed to zero in on the big issues of the year, including “What would you be willing to throw a punch over?”]

Regulatory overkill. We spend so much time and resources in the USA due to regulations that, while well-intentioned when conceived, are set into law due to a crisis. They are driven by emotion and the desire to protect future occurrences or to punish a minority of wrongdoers. However, in hindsight, they are usually overly burdensome, lack risk/benefit analysis, and therefore stifle innovation. The real problem is that once they become law they are nearly impossible to roll back. I would love to see an approach that identifies the most stifling of these regulations in the USA and that requires the stakeholders (regulatory body, industry, and users) to draft a completely new and modern approach to regulation every 10 years. That could help ensure that innovation can thrive and that risks and benefits are balanced.

Author: Duane J. Roth

In Memoriam: Our friend and Xconomist Duane Roth passed away on August 3, 2013, after a bicycle accident. We at Xconomy are deeply saddened by his loss. Duane J. Roth was Chief Executive Officer and member of the Board of CONNECT. CONNECT is the globally recognized public benefits organization fostering entrepreneurship in the San Diego region by catalyzing, accelerating, and supporting the growth of the most promising technology and life sciences innovation. Focused on assisting start-up companies in the San Diego region, CONNECT has been directly involved with over 1,500 companies since its inception in 1985. Prior to joining CONNECT, Mr. Roth founded Alliance Pharmaceutical Corp., where he served as Chief Executive Officer and Chairman of the Board. Prior to Alliance, Mr. Roth held senior management positions at Johnson & Johnson and Wyeth operating companies. He served as a member of the Board of Directors and executive committees of the Biotechnology Industry Organization (BIO), the California Healthcare Institute (CHI), BIOCOM (past Chair), Deep Sky Software Inc., and SAIC-Frederick, Inc. National Cancer Institute. Mr. Roth served on a number of advisory committees and boards of the University of California, including the President’s Board on Science and Innovation, the UCSD Sulpizio Cardiovascular Center (past Chair), the UCSD Skaggs School of Pharmacy and Pharmaceutical Sciences, the Preuss Charter School (Chair), California Institute for Telecommunications and Information Technology (Calit2), the UC San Diego Foundation Board (past Chair), and UCSD Health Sciences Advisory Board. Mr. Roth was active in the San Diego community, serving on the board of the San Diego Regional Economic Development Corporation (past Chair), the San Diego Regional Chamber of Commerce, the Lincoln Club of San Diego (past Chair), the San Diego State University College of Business (past Chair), San Diego State University Sciences & Engineering Dean’s Advisory Board, as co-Chair of the Regional Housing Working Group, and a member of the Advisory Council for Math for America. Mr. Roth also served as a member of the Executive Board for the California State University (CSU) Professional Science Master’s (PSM) Programs. Mr. Roth was appointed to the Independent Citizens Oversight Committee for the California Institute of Regenerative Medicine (CIRM) by Governor Arnold Schwarzenegger and he also served as a member on the Governor’s Commission for Jobs and Economic Growth. Mr. Roth was a graduate of Iowa Wesleyan College, where he served as a trustee.