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pro regulation viewpoint on cyber vulnerabiltiy
From: David Farber <dave () farber net>
Date: Mon, 30 Mar 2009 10:12:42 -0400

 From an IPer:

A paper that speaks to market failure is at:

Given that we know that perimeter defenses are ineffective illusions in cyberspace, to what market should regulation be targetted to have the most desirable impacts? Would it be the market for devices, operating systems, network infrastructure, application software and services, on-line content? All of the above?

" A new Federal approach to cybersecurity will fail if it does not elicit actions that the private sector will not otherwise perform. Government intervention in response to market failure can include regulation (or the threat of regulation) or subsidy. Both have limitations, but both are preferable to inaction. We are at the end of a long era of deregulation, an effort that was initially beneficial but it went too far in the last Administration. Finding a new and more balanced approach will not be easy. The intellectual heritage of deregulation lives in assertions such as any regulation to improve security will hurt innovation. Like all lobbyist mantras, it contains a grain of truth while being fundamentally and dangerously wrong. Innovation is a complex process, and simple statements about cause and effect deserve only skepticism. "

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