FROM DEVELOPMENTAL TO REGULATORY STATE? TRANSFORMATION, RESILIENCE AND COEXISTENCE BETWEEN TWO MODES OF REGULATION

In the last decades, the literature has shown a diffusion of regulatory model, both in developed countries and in developing countries, even in those where a developmental arrangement prevailed. As a common feature, several countries have carried out institutional reforms that have laid the foundations for another type of economic governance. In spite of the global matrix of the phenomenon, countries processed institutional changes locally. Thus, the outcome of regulatory reforms is not a direct reflection of the multilateral agencies' agenda. In the domestic dimension, path dependence issues shape institutional designs and economic governance. One can find path dependence in legal doctrine, in the law enforcement by courts and also in interest groups' collective action. So, in spite of the trend toward regulatory convergence, state intervention's institutional anatomy acquires different formats among countries and economic sectors. In analytical terms, this paper employs three categories to describe the varieties of the interplay between global diffusion and local construction of the regulatory state: transformation, resilience, and coexistence. Ultimately, the paper presents regulatory reform that took place in the financial system as an illustration of this interplay, in which prevailed a coexistence between the precedent developmental arrangement and the novel regulatory design.