According to a rumor circulating among economists, there exists an econometric study that shows that the economy of a nation is doing worse the more great economists it produces. While this may be a myth, casual observation suggests that the correlation between the economic performance of a country and the quality of its economics profession is indeed unclear.

Regulations apparently address problems of a society in a quick and uncomplicated way, and the call for regulations, therefore, is one of the most effective weapons in the arsenal of populists. Whether or not regulation will help to solve the problem, in any case, it creates the impression that politicians are doing something.

It is well known that government intervention, be it through taxation or regulation, can obstruct the functioning of markets. Yet there is another kind of influence that may also have strong effects on the efficiency of an economy but is much less discussed, namely the set of values, traditions, and moral standards a society subscribes to.

On 3-7 February 2014 a group of ISET-PI researchers was trained in Regulatory Impact Assessment (RIA). The main goal of implementing RIA is to ensure that the benefits of a regulation exceed its costs for society as a whole.

On November 28, ISET hosted a seminar delivered by two experts working for E-control Austria – Eszter Suele (Resident Twinning Advisor) and Leo Kammerdiener (Senior Tariff and Regulatory Expert). E-control Austria is collaborating with the Georgian National Energy and Water Supply Regulatory Commission (GNERC) under a “Twinning Project” to improve the Georgian electricity regulation that promotes long-term investments and helps establish methods of tariff calculation in line with European Union standards and best practices, namely incentive-based tariff regulations.