Course BA 4309.

002 Regulation of Business

Instructor Lee Ann E. Butler, J.D.
Term Fall 2008
Meetings Tuesdays & Thursdays, 10:00 – 11:15 AM in SOM 2.722

Professor’s Contact Information

I am (supposedly) changing offices soon, so I won’t list my office phone
number here. In the case of an emergency/lack of internet access (one in
Office Phone the same?), you may leave word with the departmental Administrative
Assistant, Ms. Beverly Young, at 972.883.2717 – otherwise, please
contact me by e-mail.
Office Location SOM 3.228 (for now)
Email Address leeannbutler@utdallas.edu
Office Hours 12:00 – 1:00 Wednesdays

General Course Information

Pre-requisites ECO 2302 (Macroeconomics) and MATH 1325 (Applied Calculus I)
This course examines the broad subject of government regulation
of business, and focuses on the source of the demand for
government regulation, its translation into legislation, its
Course Description
administration, and its impact. Emphasis is placed on high impact
regulatory programs, such as antitrust, security regulation, health,
safety, and environmental laws.
Learning You should leave this course with the ability to critically analyze
Outcomes current and proposed regulations from an economic perspective.
Market Regulation, Roger Sherman – First Edition (2008);
ISBN-13: 978-0-321-32232-6 (* this book is notated as “MR” in the assignment
table below)
Securities Law, Soderquist and Gabaldon – Third Edition
Required Texts & (2007); ISBN-13: 978-1-59941-203-0 (* this book is notated as “SL” in the
assignment table below)
Materials
The Economics of Public Issues, Miller, Benjamin, and
North - Fifteenth Edition; ISBN 0321416104 (* this book is notated as “EPI”
in the assignment table below )
Various websites, blogs, and on-line articles (see the
assignment table below and WebCT Web Links for specific sites)
Suggested Antitrust: The Case for Repeal, Dominick T. Armentano
Texts, Capitalism and Freedom, Milton Friedman
Readings, & Economics of Regulation and Antitrust, Viscusi, Vernon, and Harrington
Materials Securities Regulation: Examples & Explanations, Alan Palmiter

These descriptions and timelines are subject to change at the discretion of the Professor.

Course Policies
Extra Credit There will be no extra-credit work available for this course. There is
nothing you can do to change your grade other than performing better on
subsequent exams and attending and participating in class meetings.
Late Work Work is due at the end of the class period on the assigned date.
Late work will not be accepted.
Special There will be no special assignments in this course. See “Extra Credit”,
Assignments supra.
 Your final grade for the course will be determined in one of two (2) ways.

OPTION A: Your course grade will be based on four (4) exams (each
counting for 22.5% of your final grade) and your attendance and
participation (10% of your final grade).

OPTION B: Your course grade will be based on four (4) exams (each
counting for 18.75% of your final grade), one (1) homework set (which will
account for 15% of your final grade and is described in detail below), and
your attendance and participation (10% of your final grade).
Grading Criteria
In order to maintain a fair and level playing field, all exam and homework
grades are based exclusively on academic achievement and are not a
reflection of need, desire, or even effort (although students who work hard
tend to make better grades than those who do not.)

A typical scale will be used for assigning letter grades: 98-100 = A+, 94-
97 = A, 90–93 = A-, 89–87 = B+, 86–83 = B, 82-80 = B-, 79-77 = C+, 76-
73 = C, 72 - 70 = C-, 69-67 = D+, 66–63 = D, 62–60 = D-, and below 60 =
F. Grades are non-negotiable. It is your grade to earn, not mine to give.

Should you decide to include homework as part of your graded

coursework it will account for fifteen (15%) of your final course grade.
Your homework will be due on the date of our last class meeting at the
end of the lecture (i.e., December 4, 2008 at 11:15 AM.) No late
OPTIONAL
homework will be accepted.
Homework Set
The homework set will be posted as a word document on WebCT. It is
comprised of 20 problems. You will need to answer each question fully
and thoughtfully to obtain full credit for the homework set.

There will be no make-up exams. Should you miss an exam for any
APPROVED and VALIDATED reason (see, infra), your final exam will be
re-weighted and will account for 37.5% (if you are doing the optional
homework set), or 45% (if you are not doing the optional homework set),
of your final grade. If you miss the final exam for any approved and
validated reason, you will be assigned an incomplete for the course (and
it will be your responsibility to contact me about taking your final
examination within the first 3 days of the semester following that in which
Make-up Exams
you received your incomplete.) For more information about incomplete
grading, see the section titled “Incomplete Grades”, infra.

Approved absences: Death (of a close relative), serious illness (you),

religious events (see, infra), or participation in a University of Texas at
Dallas sanctioned athletic event (I will need advance notice of this one!)
All absences must be documented in order to be validated.
Documentation must be written and must be received by me no later than
10 days after the missed exam.
Class Attendance
Your attendance and participation in class discussion is expected (and
and Participation
graded) in this class. You should be prepared to intelligently discuss the
 topic of the day when called on (and you will be called upon), and you
should feel free to volunteer your thoughts and questions during the class.
Some material that is assigned for reading will not be discussed in class
and much of the material for this course (i.e., lecture material) cannot be
found in the required readings. All material assigned or discussed is fair
game for examinations. It should go without saying (but I’m saying it
anyway), that it behooves you to both read the assignments and
attend lectures regularly.

Lastly, you may not use (or even turn on) any laptops, cell phones,
messaging devices, pagers, audio players, video players, sound
recorders, video cameras, headphones, microwave-ovens or any other
electronic devices during class time. Do not nap. Do not whisper to your
neighbors. Bathroom visits and/or cigarette breaks during class are
strongly discouraged.

Assignments & Academic Calendar

N.B.: These descriptions and timelines are subject to change at the discretion of the Instructor.

TOPICS, ASSIGNMENTS, EXAMS, ETC.

DATE N.B.: Numbers after book notations refer to chapters unless preceded by an “@” in
which case the number refers to a specific page.
08.21
Introduction; Syllabus review; Information sheets; OVERVIEW: EPI Introduction to
Part 1 & Chapter 1
08.26 INTRODUCTION TO REGULATION (Governmental & Societal Structure): MR 1;
EPI 4
08.28 CONSTITUTIONAL LIMITS ON REGULATION: ”Federalism, State Sovereignty and the
Constitution: Basis and Limits of Congressional Power” a CRS Report @
http://fpc.state.gov/fpc/48937.htm
09.02
COMPETITION (perfect): MR 2; EPI 16
09.04 COMPETITION (failures): MR 3
09.09 INDUSTRY REGULATION: MR 10; EPI 5 & 20, “Democracy & Responsibility” by
Donald Boudreaux @
http://www.pittsburghlive.com/x/pittsburghtrib/opinion/columnists/boudreaux/s_468163.html
09.11 THE MODERN BUSINESS (Corporations): MR 4.1 – 4.4; (FLSA): EPI 10 & 12;
(Ethics): “Rethinking the Social Responsibility of Business” featuring Milton Friedman,
John Mackey, and T.J. Rodgers @ http://www.reason.com/0510/fe.mf.rethinking.shtml
09.16 PROXIES AND TAKEOVERS: SL 10, 11
09.18 EXAM 1
09.23 BANKING: MR 19.4, 24.1 and SECURITIES REGULATION (INTRO): SL 2
09.25 Exam return & review; SECURITIES REGULATION: SL 3
09.30 1933 ACT (SECURITIES AND REGISTRATION): SL 1, 5
10.02 REGISTRATION AND EXEMPTIONS: SL 4, 6, 7
10.07 1934 ACT & SOX: SL 9
10.09 SECURITIES LAW LIABILITY: SL 8, 12, 13
10.14 EXAM 2
10.16 ANTITRUST: MR 8, EPI Intro to Part 4
10.21 Exam return & review; ANTITRUST (CON’T)
10.23 MONOPOLY: MR 5.1-5.3, 8.5, 9.1 (p. 305 – 309, only); EPI 17
10.28
MONOPOLY (con’t)
10.30
VERTICAL RESTRAINTS: MR 4.6, 9.1 (p. 303 – 305, only), 9.2 (from p. 320)
11.04 VERTICAL RESTRAINTS (con’t), plus HORIZONTAL RESTRAINTS: MR 4.5, 5.4-
5.5, 8.6, 9.1 (@ P. 297-303), 9.2 (through the 1st paragraph on p. 320)
11.06
HORIZONTAL (con’t) plus, review
11.11 EXAM 3
11.13 SOCIAL REGULATION: MR 12, 19.1-19.2; EPI 15, 24, 27
11.18 Exam return & review; SOCIAL REGULATION: MR 20; EPI 3
11.20 ENVIRONMENTAL REGULATION: MR 21; EPI 2, 22, 28-29; “Baptists & Bootleggers
in Retrospect” by Bruce Yandell @ www.cato.org/pubs/regulation/regv22n3/bootleggers.pdf
11.25 WORKER REGULATION: MR 19.3, 22; EPI 11
11.27 Thanksgiving Day – CLASS WILL NOT MEET
12.02 IMMIGRATION & GLOBALIZATION: EPI 14, 21, 30-31; “Absorbing Immigrants” by
Donald Boudreaux @
http://www.pittsburghlive.com/x/pittsburghtrib/opinion/columnists/boudreaux/s_387296.h
tml ; “Treasure Island: The Power of Trade”: “Part I. The Seemingly Simple Story of
Comparative Advantage” and “Part II. How Trade Transforms Our Standard of Living”
by Russell Roberts @
http://www.econlib.org/library/Columns/y2006/Robertscomparativeadvantage.html
and http://www.econlib.org/library/Columns/y2006/Robertsstandardofliving.html
12.04 Catch-up day
(Optional homework DUE !!!)
12.11
8:00 FINAL EXAMINATION
AM

The faculty expects from its students a high level of responsibility and
academic honesty. Because the value of an academic degree depends
upon the absolute integrity of the work done by the student for that
degree, it is imperative that a student demonstrate a high standard of
individual honor in his or her scholastic work.

Scholastic dishonesty includes, but is not limited to, statements, acts or

omissions related to applications for enrollment or the award of a degree,
and/or the submission as one’s own work or material that is not one’s
own. As a general rule, scholastic dishonesty involves one of the
Academic Integrity
following acts: cheating, plagiarism, collusion and/or falsifying academic
records. Students suspected of academic dishonesty are subject to
disciplinary proceedings.

Plagiarism, especially from the web, from portions of papers for other
classes, and from any other source is unacceptable and will be dealt with
under the university’s policy on plagiarism (see general catalog for
details). This course will use the resources of turnitin.com, which
searches the web for possible plagiarism and is over 90% effective.

The University of Texas at Dallas recognizes the value and efficiency of

communication between faculty/staff and students through electronic mail.
At the same time, email raises some issues concerning security and the
identity of each individual in an email exchange. The university
Email Use
encourages all official student email correspondence be sent only to a
student’s U.T. Dallas email address and that faculty and staff consider
email from students official only if it originates from a UTD student
account. This allows the university to maintain a high degree of
 confidence in the identity of all individual corresponding and the security
of the transmitted information. UTD furnishes each student with a free
email account that is to be used in all communication with university
personnel. The Department of Information Resources at U.T. Dallas
provides a method for students to have their U.T. Dallas mail forwarded to
other accounts.

The administration of this institution has set deadlines for withdrawal of

any college-level courses. These dates and times are published in that
semester's course catalog. Administration procedures must be followed. It
is the student's responsibility to handle withdrawal requirements from any
class. In other words, I cannot drop or withdraw any student. You must do
Withdrawal from
the proper paperwork to ensure that you will not receive a final grade of
Class
"F" in a course if you choose not to attend the class once you are
enrolled.

Procedures for student grievances are found in Title V, Rules on Student

Services and Activities, of the university’s Handbook of Operating
Procedures.

In attempting to resolve any student grievance regarding grades,

evaluations, or other fulfillments of academic responsibility, it is the
obligation of the student first to make a serious effort to resolve the matter
with the instructor, supervisor, administrator, or committee with whom the
grievance originates (hereafter called “the respondent”). Individual faculty
members retain primary responsibility for assigning grades and
evaluations. If the matter cannot be resolved at that level, the grievance
must be submitted in writing to the respondent with a copy of the
Student Grievance
respondent’s School Dean. If the matter is not resolved by the written
Procedures
response provided by the respondent, the student may submit a written
appeal to the School Dean. If the grievance is not resolved by the School
Dean’s decision, the student may make a written appeal to the Dean of
Graduate or Undergraduate Education, and the deal will appoint and
convene an Academic Appeals Panel. The decision of the Academic
Appeals Panel is final. The results of the academic appeals process will
be distributed to all involved parties.

Copies of these rules and regulations are available to students in the

Office of the Dean of Students, where staff members are available to
assist students in interpreting the rules and regulations.

As per university policy, incomplete grades will be granted only for work
unavoidably missed at the semester’s end and only if 70% of the course
work has been completed. An incomplete grade must be resolved within
eight (8) weeks from the first day of the subsequent long semester. If the
Incomplete Grades required work to complete the course and to remove the incomplete grade
is not submitted by the specified deadline, the incomplete grade is
changed automatically to a grade of F.

The goal of Disability Services is to provide students with disabilities

educational opportunities equal to those of their non-disabled peers.
Disability Services is located in room 1.610 in the Student Union. Office
Disability Services
hours are Monday and Thursday, 8:30 a.m. to 6:30 p.m.; Tuesday and
Wednesday, 8:30 a.m. to 7:30 p.m.; and Friday, 8:30 a.m. to 5:30 p.m.
 The contact information for the Office of Disability Services is:
The University of Texas at Dallas, SU 22
PO Box 830688
Richardson, Texas 75083-0688
(972) 883-2098 (voice or TTY)

Essentially, the law requires that colleges and universities make those
reasonable adjustments necessary to eliminate discrimination on the
basis of disability. For example, it may be necessary to remove
classroom prohibitions against tape recorders or animals (in the case of
dog guides) for students who are blind. Occasionally an assignment
requirement may be substituted (for example, a research paper versus an
oral presentation for a student who is hearing impaired). Classes enrolled
students with mobility impairments may have to be rescheduled in
accessible facilities. The college or university may need to provide
special services such as registration, note-taking, or mobility assistance.

It is the student’s responsibility to notify his or her professors of the need

for such an accommodation. Disability Services provides students with
letters to present to faculty members to verify that the student has a
disability and needs accommodations. Individuals requiring special
accommodation should contact the professor after class or during office
hours.

The University of Texas at Dallas will excuse a student from class or other
required activities for the travel to and observance of a religious holy day
for a religion whose places of worship are exempt from property tax under
Section 11.20, Tax Code, Texas Code Annotated. The student is
encouraged to notify the instructor or activity sponsor as soon as
possible regarding the absence, preferably in advance of the
assignment. The student, so excused, will be allowed to take the exam
or complete the assignment within a reasonable time after the absence: a
period equal to the length of the absence, up to a maximum of one week.
A student who notifies the instructor and completes any missed exam or
Religious Holy assignment may not be penalized for the absence. A student who fails to
Days complete the exam or assignment within the prescribed period may
receive a failing grade for that exam or assignment. If a student or an
instructor disagrees about the nature of the absence [i.e., for the purpose
of observing a religious holy day] or if there is similar disagreement about
whether the student has been given a reasonable time to complete any
missed assignments or examinations, either the student or the instructor
may request a ruling from the chief executive officer of the institution, or
his or her designee. The chief executive officer or designee must take into
account the legislative intent of TEC 51.911(b), and the student and
instructor will abide by the decision of the chief executive officer or
designee.

Off-Campus Off-campus, out-of-state, and foreign instruction and activities are subject
Instruction and to state law and University policies and procedures regarding travel and
Course Activities risk-related activities. Information regarding these rules and regulations
may be found at
http://www.utdallas.edu/BusinessAffairs/Travel_Risk_Activities.htm.
Additional information is available from the office of the school dean.
 Course Number BA 4309
Course Title Regulation of Business
Term Fall 2008
Meetings TR

Information Sheet

Name: ________________________________________________________________

Do you have any background information that would be relevant to this course (e.g.,
government employment, political volunteerism, small business/corporate experience)?

Do you work? If so, what is your job? What other jobs have you had?

What is your career goal?

Are you happy with the current times for course offerings here at UTD? If not, what
would be your ultimate schedule? (e.g., 5 classes back-to-back from 8am to 5 pm on Mondays
and Wednesdays, or all morning classes, or all nighttime classes, or lunch-hour classes, etc.)

Tell me a bit about how you think you learn best.

Tell me something interesting about yourself.

What grade do you expect to get in this class?