Coopting Academics "by the book"
The following excerpt is from the Introduction (p.7) of the book
The Regulation Game: Strategic Use of the Administrative
Process by Professors
Bruce M. Owen
and
Ronald Braeutigam
. It's a textbook that describes strategies for
companies in a regulated industry. This section was
pointed out in the book
Leasing the Ivory Tower
by Prof. Lawrence Soley.
Coopt the Experts. Regulatory policy is
increasingly made with the participation of experts,
especially academics. A regulated firm or industry
should be prepared whenever possible to coopt these
experts. This is most effectively done by identifying
the leading experts in each relevant field and hiring
them as consultants or advisors, or giving them
research grants and the like. This activity requires
a modicum of finesse; it must not be too blatant, for
the experts themselves must not recognize that they
have lost their objectivity and freedom of action. At
a minimum, a program of this kind reduces the threat that the
leading experts will be available to testify or write
against the interests of the regulated firms. AT&T has made
a major investment, for instance, in very high grade
economic talent over the past decade. It is not entirely
accidental that this group of economists has produced a formidable
new theory of multiproduct natural monopoly that may serve
as a powerful argument in favor of barriers to entry and
the exclusion of competitors in AT&T markets. The only other
apparent beneficiary of the normative implication of this
theory is the postal service.