Does it matter ‘who governs?’ Governance networks,local economic development policies,and the Great Recession

This study purports to examine whether governance networks influence cities’ use of local economic development policies, specifically business incentives, and if the role of networks changed during the Great Recession. Using American cities that responded to the International City/County Management Association’s Economic Development Survey in 2004 and 2009, hierarchical cluster analysis was employed to identify groups of cities with similar network membership patterns. The results of negative binomial regression models indicate that before the recession, the total number of actors participating in the network played a larger role in the total number of incentives provided by cities as well as the use of tax incentives. This changed in 2009 when network type emerged as the important governance-based determinant of the same variables. The results also suggest that traditional theories of economic development do not hold during times of economic and fail to explain the use of planning and labour incentives.     

Central-Local Relations in an Era of Multi-Level Governance: The Case of Public Participation Policy in England, 1997-2001

The election of a 'New Labour' UK government in 1997 promised a new era of central-local relations facilitated by a programme of local government reform which recognised local government's 'community leadership' role. Other aspects of the agenda supported the development of multi-level governance, for example, the establishment of sub-national institutions such as the Scottish Parliament and the promotion of neighbourhoods as key sites for action. Despite these actions this paper will argue that in England the central state retains considerable influence over the key agents of local governance. Using the example of public participation policy, and drawing on the findings of a recent study in two English cities, the paper will explore how national policy aspirations were reflected locally. It concludes that while local action generally complemented national priorities, there were important points of contrast, and that localities' capacity to act in their own interests is supported by the opportunities presented in a multi-level governance environment.     

Explaining collaboration in consensual and conflictual governance networks

The conditions under which policy beliefs and influential actors shape collaborative behaviour in governance networks are not well understood. This article applies exponential random graph models to network data from Finland and Sweden to investigate how beliefs, reputational power and the role of public authorities structure collaboration ties in the two countries’ climate change governance networks. Results show that only in Finland's conflictual climate policy domain do actors collaborate with those with similar beliefs and with reputational power, while only in Sweden's consensual climate policy domain do public authorities play central impartial coordinating roles. These results indicate that conflict is present in a governance network when beliefs and reputational power determine collaboration and that it is absent when public authorities occupy central roles. They also suggest that relative success in climate policy action is likely to occur when public authorities take on network manager roles.     

The Impact of Metagovernance on Local Governance Networks. Lessons from Danish Employment Policy

This article analyses the impact of metagovernance on the functioning of local governance networks. It does so by comparing the functioning of four local governance networks in the field of local employment policy in Denmark. Between 2007 and 2009, two of these networks were linked to jobcentres in which the municipality and a state agency shared responsibility for employment policy, while the other two were linked to jobcentres in which the municipality had full responsibility. We explore two types of metagovernance that the local governance networks were subject to: general, hands-off metagovernance consisting of the assignment of full responsibility to the municipality alone, or of shared responsibility to the municipality and the state jointly; and tailored and fine-tuned metagovernance directed towards only one or a few networks and their corresponding jobcentre(s). Our findings suggest that, as network governance becomes a mature phenomenon, the importance of metagovernance increases, particularly for strategic reasons. More specifically, we find that the functioning of local governance networks is only marginally affected by acts of general, hands-off metagovernance, such as the different organisational set-ups ascribed to the jobcentres. More influential are the hands-on network management tools, such as direct consultancy. Hands-on metagovernance instruments, however, are more costly for the metagovernor. Whichever tool is applied, the local actors' responsiveness to metagovernance is significant for the outcome.     

The European Union's role in networks on removal of fossil fuel subsidies and disclosure of climate change information

This article deals with newly emerging international collaborative initiatives around two issues connected to climate change: removal of fossil fuel subsidies and improving climate information disclosure practices in the business sector. While networked initiatives on the gradual removal of fossil fuel subsidies and a multi-actor network on disclosure of climate change information do not explicitly mobilize collective actions around climate change, they supplement and reinforce a wide array of other transnational initiatives and partnerships around climate change mitigation efforts. Analysed networks equip transnational policy processes around the climate change issue, initially formed by the United Nations Framework Convention on Climate Change's member states, with new policy tools to mitigate human-induced climate change and hugely expand the membership of policy-making at the international level. Newly emerging transnational networks in the area of fossil fuel subsidies removal and improving climate change information disclosure practices in the corporate world also strive for harmonization of policy methods and instruments across international boundaries. The experience of the European Union (EU) in promoting climate change actions among its member states and in sustaining collaboration with private actors can serve as an exemplary and learning tool for transnational policy networks across continents. And the size of the EU's market together with its governance structure provides it with a common legitimate voice at the international arena for climate change decision-making.     

Interlocal collaboration and local climate protection

ABSTRACT

The influences of state government have been curiously absent from most studies of collaboration among cities. Extant research on city collaboration which promotes on climate and environmental sustainability issues focuses primarily on local-level institutions, politics, and processes. Thus, the role of states to constrain or facilitate collaboration among local governments needs to be more fully accounted for. Building on transaction cost and institutional collective action theory and drawing on data from a national survey of US cities, we investigate the influences of city-level factors together with the hierarchical effects of state rules and policies on the extent to which mechanisms for interlocal collaboration are employed in pursuing climate protection and renewable energy development goals. The results confirm predictions that multilevel intergovernmental forces influence the extent to which cities collaborate. These results have both theoretical and practical implications for understanding interlocal collaborations.     

Social Networks and Factor Markets: Panel Data Evidence from Ethiopia

We investigate the role of an indigenous social network in Ethiopia, the iddir, in facilitating factor market transactions among smallholder farmers. We use detailed longitudinal household survey data and employ fixed effects estimation approaches to identify the effect of iddir membership on factor market transactions among farmers. We find that joining an iddir network improves households’ access to land, labour and credit transactions. Our findings also hint that iddir networks may crowd-out borrowing from local moneylenders (locally referred as ‘Arata Abedari’), a relatively expensive credit source. These results suggest that non-market institutions can play crucial roles in facilitating market transactions.     

The Relationship Between State Government Performance and State Quality of Life

Abstract

This article examines the relationship between government performance and quality of life in the American states. We contend that the management capacity of state governments should have direct, tangible impacts on the overall social and economic well‐being of state citizenry. In order to test this idea, we examine the influence of state management capacity (using the 1999 Government Performance Project grades), alongside other economic and political variables, on two prominent measures of state quality of life—The Morgan Quitno “Most Livable State” Index and State Policy Reports' (SPP) “Camelot Index.” We find that both state economic conditions and governmental policy priorities have significant impacts on state performance levels. But, our results clearly indicate that the management capacity of state governments also contributes directly to improving the overall quality of life for state citizens.     

Don’t push too hard. Examining the managerial behaviours of local authorities in collaborative networks with nonprofit organisations

In recent years, collaborative networks have been at the forefront of theoretical, empirical and practical research into local governance. Nevertheless, the managerial behaviours local managers should employ in order to improve the performance of these networks are unclear. Following scholars' examinations of governance and the complementary relationship between government bodies and nonprofit organisations, we empirically examined – so far as we know for the first time – the relationship between local authority managerial behaviours towards nonprofit organisations, and the performance of collaborative networks. We found that above and beyond micro- and macro-level factors, the more the local authority employs inclusive governance and financial support behaviours towards the nonprofit organisation, the higher the performance of the collaborative network. In addition, the more the local authority employs monitoring-controlling behaviours, the lower the performance of the collaborative network. Theoretical and practical implications of our findings are developed in the context of local governance.     

Balance Between Local Economic Development and Environmental Sustainability: A Multi-level Governance Perspective

This study seeks to explain why U.S. local governments utilize environmental sustainability to promote economic development. Economic development and environmental protection need not be competing objectives, but rather, environmental protection can enhance local economic competitiveness. Using data from the ICMA Economic Development Survey, this study tests an empirical model that includes state sustainability initiatives, participation in climate protection networks, and political attitudes toward economic development as predictors of local policy decisions. The findings reinforce a multi-level governance perspective on explaining the balance cities seek to achieve between environmental protection and economic growth.     

The More Things Change,the More They Stay the Same: the Swedish Local Government Elite between 1985 and 2005

This article examines the development of the main characteristics of the Swedish local political–administrative elite, by analysing repeated surveys, performed in 1985, 1991, 1999 and 2005, of all important leaders in a representative sample of 20 towns and cities. Despite the great changes that have occurred at the local government level, the local government elite retains a surprisingly high degree of homogeneity and stability over time. Although this elite has become increasingly gender equalised and professional, local problems are perceived to have become slightly more complex; meanwhile, the perceived influence and effectiveness of leaders in solving these problems has remained unchanged, probably because the perceived power and autonomy of local government to act effectively has declined somewhat. In contrast, the leaders' political capital (networks, democratic values and global relations) has remained strong and stable.     

ETHICAL CLIMATE AND RULE BENDING: HOW ORGANIZATIONAL NORMS CONTRIBUTE TO UNINTENDED RULE CONSEQUENCES

Rules help ensure consistent employee behaviour, yet rule bending occurs in public organizations every day. Previous research indicates that rule bending is influenced by organizational structure and personal characteristics (DeHart‐Davis 2007). This present study considers the influence of organizational norms on rule bending by exploring the impact of ethical climate, which signals to employees the best course of action when faced with situations that are ethical in nature (Victor and Cullen 1987, 1988). To investigate this relationship, survey data from employees of a large American local government are analysed. Results from a structural equation model show that three ethical climates – ‘organization interest’, ‘team interest’, and ‘rules/SOP’ – significantly influence rule bending. Findings suggest that organizational norms play a critical role for employee behaviour and public managers can consider rule bending and ethical climate as impetuses for organizational change.     

DO POLICY NETWORKS LEAD TO NETWORK GOVERNING?

This paper challenges a common understanding, implicit in many governance studies, that once policy networks are in place, the form of governing that follows is network governing. It is argued that policy networks may be understood as a way of organizing stakeholders and only under specific conditions may the governing mode in which the networks operate be termed network governing. Consequently, policy networks may subsist under other governing modes, for example, under a hierarchical mode. The present study uses actor‐centred case studies in the area of Danish employment policy. Employment policy in Denmark is municipally implemented and the study found that the local governing mode was determined mainly by the municipality’s approach to local co‐governing. Less important, but nevertheless significant, is the capacity and interest of key private actors. Thus it is argued that nationally mandated local policy networks are insufficient in themselves to assure network governing in all settings. The reasons hierarchical governing modes prevail over those of network governing are identified and discussed in terms of agency and structure.     

Majority Rule in Consensual Democracies: Explaining Political Influence in Norwegian Local Councils

Norwegian local government has traditionally been strongly rooted in the consensus ideal. When the new Local Government Act of 1992 allowed the municipalities to introduce parliamentary models and abolished the statutory requirement of qualified majority decisions in the councils, this therefore implied a significant change in the local government ideal. Even though the municipalities have been reluctant to formally adopt a parliamentary model, this paper argues that in practice a majority system is replacing the traditional consensual model, with functional roles for a governing majority and an opposition. The empirical analysis employs data on local politicians from 1994 and 1998 to test the proposition that representatives of the governing parties exert more influence on local policies than members of the opposition. Two different indicators of political influence are used: (1) the councillors' budgetary influence measured as the distance between the councillors' ideal point and the actual decision outcome, and (2) the councillors' ability to have initiatives accepted in the various local political bodies. In addition to the variable representing membership of the governing majority or the opposition, the model also controls for factors such as the representatives' formal institutional affiliation, individual characteristics and community context. Even when controlling for these determinants, the empirical results strongly support the hypothesis.     

How can network leaders promote public value through soft metagovernance?

The aim of this article is to explore the opportunities and challenges of employing ‘soft’ metagovernance to promote public value in governance networks. Soft metagovernance can be defined as a form of relational leadership that is exercised through face‐to‐face contact. This involves making an emotional connection with people to exert influence through a collaborative endeavour, rather than employing bureaucratic authority. Drawing on a case study of a local social enterprise—The Bristol Pound—in the UK, this article examines how soft metagovernance can be used by non‐state actors as a form of leadership to create public value. Evidence reveals that relational forms of leadership are a powerful asset in helping leaders of networks to create public value. Moreover, if network leaders understand how soft metagovernance functions they can use it more purposefully to maximize public value creation and mitigate the risks of public value destruction in governance networks.     

NEW PUBLIC MANAGEMENT IN PUBLIC SECTOR ORGANIZATIONS: THE DARK SIDES OF MANAGERIALISTIC ‘ENLIGHTENMENT’

For many years the proponents of New Public Management (NPM) have promised to improve public services by making public sector organizations much more ‘business‐like’. There have been many investigations and empirical studies about the nature of NPM as well as its impact on organizations. However, most of these studies concentrate only on some elements of NPM and provide interesting, but often anecdotal, evidence and insights. Perhaps exactly because of the large amount of extremely revealing and telling empirical studies, there is, therefore, a lack of a systematic identification and understanding of the nature of NPM and its overall relevance. This paper contributes to a systematic identification and understanding of the concept of NPM as well as its multi‐dimensional impact on public sector organizations. First, the paper aims at (re‐) constructing a comprehensive taxonomy of NPM's main assumptions and core elements. Secondly, the paper tries to provide a more comprehensive and meta‐analytical analysis of primarily the negative consequences of NPM‐strategies for public sector organizations as well as the people working in them.     

THE NEW GOVERNANCE ARRANGEMENTS FOR NHS FOUNDATION TRUST HOSPITALS: REFRAMING GOVERNORS AS META‐REGULATORS

New governance arrangements for NHS Foundation Trusts (FTs) aimed to replace centralized state ownership of acute English hospitals with a new form of social ownership. Under this, trusts would exist as independent public interest organizations on the model of mutuals and co‐operative societies. Assessing the impact of the new arrangements on the management structure of four acute hospitals, we demonstrate that FTs have failed to deliver social ownership and local accountability on this model. We suggest that policy‐makers should re‐frame the governance apparatus associated with mutualism and social ownership in terms of the concept of meta‐regulation. By re‐framing governors as meta‐regulators, regulatory institutions would acquire new powers to steer FTs towards sustainable forms of compliance via non‐coercive, non‐intrusive means.     

Regulating lobbying through voluntary transparency clubs: The connoisseurs’ assessment. Evidence from the European Union

Regulating private actors’ participation in policy‐making is key to democratic governance. Across political systems, targeted transparency is used to regulate lobbying activities. We examine the extent to which primary regulatory targets (organizations with frequent access to policy‐makers) support the architecture of lobbying regulation regimes set up as voluntary transparency clubs. Our empirical testing ground is the European Union. We conceptualize the EU Transparency Register as a Voluntary Transparency Club, elaborate on its club goods, and derive a set of theoretical expectations about its members’ evaluations of the club's transparency standards, membership size, and monitoring and enforcement mechanisms. We find significant differences between members’ and non‐members’ assessment regarding the regulatory performance of this transparency club. Members with frequent access to executive policy‐makers criticize the club's transparency standards and do not consider the Register a useful regulatory instrument. Yet, they support expanding its regulatory remit and increasing the club membership.     

ANTECEDENTS OF ORGANIZATIONAL INNOVATION: THE DIFFUSION OF NEW PUBLIC MANAGEMENT INTO DANISH LOCAL GOVERNMENT

The relation between leadership, the context in which it takes place and the adoption of organizational innovations associated with New Public Management (NPM) is explored in an empirical analysis of Danish local government. Two different strategies for conceptualizing NPM are contrasted: (1) treating NPM as one phenomenon; and (2) acknowledging important differences between organizational innovations associated with NPM. Management's preferences and perceptions of work relations, role in change processes, daily work priorities and rejection of traditional bureaucratic roles as well as the electorate's ability to formulate clear goals are found to be significantly related to the adoption of NPM innovations. Organizational size is found to be the most important contextual antecedent for the adoption of NPM innovations. Distinctions between marketization‐type NPM innovations and generic managerial‐type NPM innovations and the timing of their introduction are made, unveiling significant differences between the antecedents of different types of NPM innovations.     

Management of Transnational Think Tank Networks

Transnational networks of think tanks are a new and growing phenomenon. Existing networks can be classified into three groups depending on their primary goal, incentives they give for think tanks to participate, basis for membership, and the degree of network coherence. This paper examines eight specific tasks that managers of think tank networks must address and how the tasks differ according to the four characteristics of the network just listed.