Eighteenth-Century Objections to Commerce: A Modern Economic Analysis

This article uses modern economic theory to analyze two majorarguments of the eighteenth-century agrarian opponents of thecommercial republic. The two arguments are the claim that commerceincreases the variety of people within the republic, and theclaim that the wealth generated by commerce retards the people'sability to govern themselves. This article replies that theproblems created by pluralism depend crucially on the scopeof the government's power. Pluralism is less problematic ina limited government than in a government with broad powers.The problems created by luxury are not unique to commerce, andarise in any situation in which self-government is successful.     

“Grabbing Hand” or “Helping Hand”?: Corruption and the Economic Role of the State

This article seeks to disentangle which features of government intervention are linked to corruption and which are not, by distinguishing between the government roles of regulator, entrepreneur, and consumer. It finds that the degree of regulation of private business activity is the strongest predictor of corruption, and that high levels of public spending are related to low levels of corruption. There is no evidence of direct government involvement in production having any bearing on corruption. It is concluded that advanced welfare capitalist systems, which leave business relatively free from interference while intervening strongly in the distribution of wealth and the provision of key services, combine the most “virtuous” features of “big” and “small” government. This suggests that anti‐corruption campaigners should be relaxed about state intervention in the economy in general, but should specifically target corruption‐inducing regulatory systems.     

How much is good health worth?

A consumer-demand or subjective-value approach to valuing government health activities is recommended. The human-capital valuations generally used in cost-benefit analysis are unrelated to peoples' preferences and, therefore, irrelevant to political decisions. A number of important policy conclusions emerge from applying the suggested principle that government activities be valued on the basis of what people would be willing to pay for them: Beyond programs to aid the poor, government health efforts should be restricted to overcoming deficiencies in the operations of the private marketplace; that is, to regulatory actions, control of infectious disease and environmental pollution, and aid to biomedical research. Free services provided to the poor should be justified by the willingness of the nonpoor to pay for them. Thus, the preferences of the nonpoor are important in designing optimal poverty programs. Under present circumstances, direct money transfers to the poor seem preferable to further increases in poverty medical programs. The value of existing programs could be increased by giving more weight to what the poor want instead of what medical experts say is most important for their health.The people who have assisted in the preparation of this paper are truly too numerous to mention in total. I am particularly indebted to Ed Park and Jim DeHaven of Rand for their helpful discussions, to Paul Feldman of the Institute for Defense Analysis for ideas, stimulation, and encouragement, and to Dick Zeckhauser of Harvard for his perceptive comments on an earlier draft.     

Coalition government and electoral accountability

Single-party governments are commonly thought to be more clearly responsible for government policy than coalition governments. One particular problem for voters evaluating coalition governments is how to assess whether all parties within a coalition should be held equally responsible for past performance. As a result, it is generally argued that voters are less likely to hold coalition governments to account for past performance. This article uses data from the Comparative Study of Electoral Systems project to assess whether and how the composition of coalition governments affects the way in which people use their votes to hold governments to account, and which parties within coalitions are more likely to be held to account for the government’s past performance.     

Greater Expectations: A Field Experiment to Improve Accountability in Mali

I argue that if citizens systematically underestimate what their government can and should do for them, then they will hold politicians to a lower standard and sanction poor performers less often. A field experiment across 95 localities in Mali in which randomly assigned localities receive a civics course identifies the effect of raising voter expectations of government on their willingness to hold leaders accountable. The course provides information about local government capacity and responsibility as well as how local politicians perform relative to others, effectively raising voter expectations of what local governments can and should do. Survey experiments among individuals in treated and control communities (N = 5,560) suggest that people in treated villages are indeed more likely to sanction poor performers and vote based on performance more often. A behavioral outcome—the likelihood that villagers challenge local leaders at a town hall meeting—adds external validity to survey findings.     

Political Sophistication and Policy Reasoning: A Reconsideration

The sophistication-interaction theory of mass policy reasoning, which posits that the strength of the relationship between abstract principles and policy preferences is conditional on political sophistication, dominates the study of public opinion. This article argues that the sophistication-interaction theory does not hold to the degree the consensus claims. Specifically, it challenges the proposition that sophistication promotes the use of domain-specific beliefs and values. Analysis of 1984, 1986, 1987, 1988, and 1990 NES data yields two compelling findings. First, a series of confirmatory factor analyses indicate that beliefs about equal opportunity, self-reliance, and limited government in the social welfare domain and about militarism and anticommunism in the foreign policy domain are structured coherently and equivalently in the minds of citizens at different levels of sophistication. Second, structural equation model results demonstrate that political sophistication does not systematically enhance the impact these principles have on policy preferences .     

Debt intolerance and the 90 per cent debt threshold: two impossibility theorems

Abstract

Two propositions underpin the retreat from post-crisis fiscal expansion instituted by several G7 governments in the summer of 2010. One is that the threat of debt intolerance is general: the reasoning is that the sharp rise in government debt levels caused by post-crisis fiscal expansion will force investors to abandon government bonds in favour of some other asset class. The other proposition is that there is a one-size debt threshold: the reasoning is that no government, those of the G7 countries included, can escape the serious consequences of debt intolerance and the threat of exit should its debt to GDP ratio reach 90 per cent. This paper argues that neither of these propositions can have credibility at a time of continuing global economic slowdown and consequent contraction in the global supplies of investable assets. At such a time investors cannot possibly hold up the threat of intolerance to core economy governments because they have no choice but to store substantial portions of their wealth in the latter's bonds, a fact which in turn means that the debt thresholds for core economy governments cannot possibly be the same as the average for other governments.     

Dimensions of community development projects in Bendel State,Nigeria

Several communities in the Bendel State of Nigeria have distinguished themselves in their enthusiasm for community development through self-help efforts. In addition to their contributions in labour and money these communities also make demands on the government for various forms of aid. Because of the uncoordinated nature of the projects and the demands, the government is precipitated into responses without a thorough examination of the development impact and the priority needs of the projects. An analysis of the characteristics of the completed and on-going community development projects in Bendel State between 1970 and 1982 shows that the prime interest of communities is in the provision of social infrastructure rather than in improved production which will create wealth and employment. Similar mistakes are made by the government in its total funding and in providing matching grants for projects which have doubtful rationales. The paper suggests that planning for community development projects should involve the co-operation of the government and the people. The enthusiasm for development should be encouraged but not at the expense of co-ordinated effort which could bring about the much-desired even development by sorting out priorities and conserving resources.     

Grey Power: Towards a Political Economy of Older Voters in the UK

The impact of age on voting behaviour and political outcomes has become an issue of increasing interest, particularly in the UK. Age divides in voter turnout and political preferences have led to claims that age is the ‘new class’. In this article, we contrast existing ‘cultural backlash’ and political economy explanations of the age divide in politics, and challenge the view that older people are predominantly ‘left behind’, culturally or economically. We show that older people have distinct material interests, related to housing wealth and pensions’ income, that are visible in their political preferences. We argue for the development of a new political economy of age.     

Pluralism,corporatism and perception of corruption

When people know who is influencing the elected politicians and they may ‘put the rascals out’ in case they feel that the incumbents are corrupt, ceteris paribus, their perception of the level of corruption should not be affected by lobbying. If on the other hand people are not sure which or how many actors are influencing public policy and they are not able to hold the government truly accountable as interest group influence is constant with different governments, people will be more likely to perceive the government as corrupted. The former system is a characteristic of corporatism and the latter of pluralism. This problem is exacerbated by the fact that interest groups with resources such as business groups or firms in pluralist systems are more influential than groups with few resources. Thus, people may perceive pluralist policy‐making system as more corrupt than corporatist policy‐making system where fewer visible actors have more or less equal weight in the policy‐making process. Copyright © 2014 John Wiley & Sons, Ltd.     

Local Officials’ Support for PILOTs/SILOTs: Nonprofit Engagement,Economic Stress,and Politics

Nonprofit property tax exemption has become a major policy issue as the collapse of the housing market, the Great Recession, and property tax caps have threatened local tax collections. Consequently, many local governments have sought to obtain payments in lieu of taxes (PILOTs) from charities that are formally exempt from property taxes. Using a 2010 survey of local government officials in Indiana, this article examines whether support for PILOT policies is related to officials’ personal involvement with nonprofits, their views on government–nonprofit relationships, the type of position they hold, the level of economic distress in the county, local political conditions, and local nonprofit wealth. The findings support most of these hypotheses but also show that attitudes toward PILOTs appear to be shaped by somewhat different concerns than attitudes toward services in lieu of taxes (SILOTs).     

The Responsible Party Government Model in House and Senate Elections

Responsible party government theory requires that voters hold parties electorally accountable for their performance in control of government. Existing literature suggests that voters do this only to a limited extent—holding the presidential party's candidates responsible for government performance on Election Day. While this method of voting may hold the executive accountable for his performance, it is not really an effective way to hold the party in control of Congress accountable for its performance. The method falls short particularly when Congress is controlled by a different party than the president, but also whenever a Congress controlled by the same party pursues policies different from the president's. Using surveys of voters leaving the polls in the 1990, 1994, and 1998 midterm congressional elections, this study tests whether voters' evaluations of Congress's job performance also affect their support for majority party candidates in House and Senate elections, during both unified and divided government .     

Locke, Sincerity and the Rationality of Persecution

According to the most influential contemporary reading of John Locke's Letter Concerning Toleration (1689), his main argument against religious persecution is unsuccessful. That argument holds that coercion is ineffective as a means of instilling religious beliefs in its victims. I propose a different reading of the Letter . Locke's main consideration against persecution is not the unsuccessful belief-based argument just outlined, but what I call the sincerity argument . He believes that religious coercion is irrational because it is ineffective as a means of inculcating the right intentions in people. Once this alternative argument is placed at its centre, the Letter is seen to be a more fertile source of political argument than is suggested by alternative readings. In particular, the sincerity argument gives us a powerful reason for rejecting state moral paternalism, the doctrine that the state may use coercion to make people morally virtuous. If moral virtue depends upon people having the right intentions, and if coercion is ineffective as a means of instilling the right intentions in people, then state moral paternalism is ineffective and hence irrational.     

Ethical considerations on quadratic voting

This paper explores ethical issues raised by quadratic voting. We compare quadratic voting to majority voting from two ethical perspectives: the perspective of utilitarianism and that of democratic theory. From a utilitarian standpoint, the comparison is ambiguous: if voter preferences are independent of wealth, then quadratic voting outperforms majority voting, but if voter preferences are polarized by wealth, then majority voting may be superior. From the standpoint of democratic theory, we argue that assessments in terms of efficiency are too narrow. Voting institutions and political institutions more generally face a legitimacy requirement. We argue that in the presence of inequalities of wealth, any vote buying mechanism, including quadratic voting, will have a difficult time meeting this requirement.     

Changing classes,changing preferences: how social class mobility affects economic preferences

Abstract

While many studies have identified an association between social class and economic preferences, we know little about the implications of changes in class location for these preferences. This article assesses how social class and intra-generational class mobility affect economic preferences drawing on longitudinal data from the British Household Panel Survey. In doing so, the article adopts a post-industrial perspective that considers horizontal and vertical class divisions. Even when time-invariant characteristics of individuals are kept constant (through fixed-effects estimation), it is found that both vertical and horizontal class location explain economic preferences. Thus, these estimations suggest that social class moulds preferences, even when accounting for factors that can lead to selection into classes. Moreover, people who change classes hold different economic preferences than their peers in the class of origin, but do not completely assimilate into their class of destination. This implies that growing intra-generational class mobility could undermine the class basis of political conflict.     

Sector Differences in Employee’s Perceived Importance of Income and Job Security: Can These be Found Across the Contexts of Countries,Cultures, and Occupations?

Most empirical research has shown that people working in the public sector perceive job security as more important than people working in the private sector, while the inverse is the case for job income. However, it is not known if these relationships hold globally while controlling for occupation and national context. We combine ISSP data from respondents in 25 countries with Hofstede’s cultural dimensions and World Bank data to examine whether the previous generally accepted claims hold while taking into account workers’ occupation, as well as national, cultural, and economic conditions. We find evidence that even when taking into account all these factors, government workers place a higher value on job security than private workers, but contrary to the generally accepted claim, we find no statistically significant difference between government and private workers in their high-income motives when taking the occupation and national context into the models.     

How Trust Matters: The Changing Political Relevance of Political Trust

Americans most often think about government in terms of its ability to grapple with issues of redistribution and race. However, the September 11 terrorist attacks led to a massive increase in media attention to foreign affairs, which caused people to think about the government in terms of defense and foreign policy. We demonstrate that such changes in issue salience alter the policy preferences that political trust shapes. Specifically, we show that trust did not affect attitudes about the race‐targeted programs in 2004 as it usually does, but instead affected a range of foreign policy and national defense preferences. By merging survey data gathered from 1980 through 2004 with data from media content analyses, we show that, more generally, trust's effects on defense and racial policy preferences, respectively, increase as the media focus more attention in these areas and decrease when that attention ebbs.     

Choosing between the government and the regions: An empirical analysis of the Italian constitutional court decisions

In this article the extent to which political variables can explain the behaviour of constitutional judges in Italy when dealing with conflicts between the central government and regions is explored. Two competing hypotheses are tested. One hypothesis argues that one should expect some alignment between the political preferences of the judges and the success of the central government primarily due to the appointment mechanism. The other hypothesis suggests that there should be no systematic alignment between the political preferences of the judges and the success of the central government. Unlike previous literature, the empirical results presented in this article seem to confirm that when the Rapporteur and the court's majority are allegedly affiliated with the Prime Minister's coalition, the odds of success of the Prime Minister go up.     

Dynamic Representation(s): Federal Criminal Justice Policy and an Alternative Dimension of Public Mood

Does public policy respond to public opinion? Previous research suggests dynamic representation occurs in the aggregate. Yet, most of the evidence for policy response is limited to the policy intentions of elected officials on issues related to more or less government spending. We examine policy response to an alternative dimension of public mood, public preferences for more or less punitive criminal justice policies, using multiple indicators of policy from various stages of the policy-making process. Criminal justice policy should be responsive to public preferences given the public’s concern about crime and the negative social construction of criminals. Thus, there is an electoral incentive for public officials to respond to public preferences along this alternative dimension of public sentiment regarding criminal justice policy. We estimate a DYMIMIC model of federal criminal justice policy as a function of the multiple dimensions of public policy mood using Kalman filtering. The results indicate that criminal justice policy responds to the second, not the first, dimension of public mood. We find evidence that policy-makers at multiple stages of the policy process are able to differentiate among multiple signals from the public and respond appropriately. The results present a more sophisticated portrait of democratic responsiveness.