Paola Robotti commenced a Marie Curie outgoing international fellowship through CSGR in 2005. She spent the first twelve months of this fellowship based at the University of California in San Diego, before returning to CSGR in October 2006. During the returning phase of her Marie Curie fellowship, Paola worked on the regulatory debate on hedge funds in the United States. The US debate offers an interesting example of the difficulties that regulators face in understanding and monitoring contemporary financial markets. Her work looks at the history of the debate from 1999 to 2007 and shows how any initiative on hedge funds collapsed or became irrelevant soon after being launched. Since hedge funds are one of the most important developments in international financial markets, this resistant to regulation warrants further investigation. Paola has drawn on the theories of regulatory capture in both the Economics and International Political Economy literatures and elaborated the concept of ‘self-capture’ to explain regulators’ failures to accomplish their targets. Her work has been presented in several venues, including the Annual Convention of the International Studies Association, Chicago, February 2007. Robotti, P. (2006) "Capture or self-capture? US Congressional and Administrative Actions to Reach out the World of Hedge Funds" presented at the Annual Convention of the International Studies Association, Chicago, February 2007.
At the end of her fellowship, Paola became an Associate of CSGR to continue her involvement with the Centre.