“…In this case, regulatory competition occurs when consumers choose between the products of different countries. The fear of a race to 20 For this broad discussion on regulatory competition, see Oates and Schwab (1988), Revesz (1992), Vanberg and Kerber (1994), Woolcock (1994), Sun and Pelkmans (1995), Bratton et al (1996), Sinn (1997), Vogel (1997), Van den Bergh (1998, 2002, Garcimartin (1999), Ogus (1999), Trachtman (2000), Esty and Geradin (2001a), Heine and Kerber (2002), Josselin (2002, 2003), Kieninger (2002), Ott and Schäfer (2002), Kerber and Budzinski (2003), and Kerber and Grundmann (2006). 21 For yardstick competition in the economic theory of federalism see Salmon (1987), Besley and Case (1995), Wrede (2001), and Bodenstein and Ursprung (2005).…”