Lobbying,political connections and emergency lending by the Federal Reserve

This paper tests whether the political connections of banks were important in explaining participation in the Federal Reserve’s emergency lending programs during the recent financial crisis. Our multivariate tests show that banks that were politically connected—either through lobbying efforts or employment of politically connected individuals—were substantially more likely to participate in the Federal Reserve’s emergency loan programs. In economic terms, participation in these programs was 28–36% more likely for banks that were politically connected than for banks that were not politically connected. In our final set of tests, we attempt to identify a proper explanation for this peculiar relationship. While a broad literature speaks of the moral hazard associated with receiving bailouts, we test whether another type of moral hazard exists in the period preceding the bailout. In particular, we argue that, to the extent that political connections act as synthetic insurance, banks may have engaged in more risky behavior that lead them to the Fed’s emergency lending facilities. Tests seem to confirm this explanation.     

Can Transparency Foster More Understanding and Compliant Citizens?

Voluntary policy compliance is an important yet rarely studied topic in public administration. To address the paucity of research, this article proposes and empirically tests a conceptual framework that ties policy transparency and policy understanding to voluntary policy compliance intentions. The reasoning is that the extent to which citizens understand a policy contributes to their intentions to comply with that policy. Further, the authors argue that policy transparency indirectly influences voluntary policy compliance intentions through a positive effect on citizens’ levels of policy understanding. To enhance the validity of the findings, the authors assess these relationships across two policy domains. The findings reflect an indirect positive effect of transparency on voluntary compliance occurring through policy understanding. However, this emerged only for one policy domain. These results suggest that the effects of policy transparency on policy understanding and voluntary policy compliance intentions may depend on the policy domain.     

Incentives in Third‐Party Governance: Management Practices and Accountability Implications

Contract incentives are designed to motivate contractor performance and to provide public managers with a powerful tool to achieve contract accountability. Our knowledge of contract incentives is rooted in contract design, yet as we move beyond contract specification and further into the contract lifecycle, we know little about why and how managers implement incentives. This study assesses public managers’ use of contract incentives in practice and advances theory development. A typology of contract incentives is constructed to capture a comprehensive range of formal and informal incentives, and the factors that influence managerial use of incentives are identified. The findings shed light on the complexities of maintaining accountability in third‐party governance structures and the management techniques aimed at improving the performance of public agencies.     

The new policy sciences: combining the cognitive science of choice,multiple theories of context,and basic and applied analysis

It is time to imagine a new policy sciences. The policymaking world has moved on since its first design. So too has our understanding of it. The original policy sciences were contextualized, problem-oriented, multi-method, and focused on using scientific research towards the realization of greater human dignity. We introduce a new policy sciences that builds on such aims. We describe the need for realistic depictions of ‘rational’ and ‘irrational’ choice, multiple theories to portray the multifaceted nature of complex contexts, and the combination of applied and basic research. To set this new agenda, we build on two foundational strategies: identifying advances in the psychology of decision-making and describing how policy theories depict policymaking psychology in complex contexts.     

Gone with the Wind: Federalism and the Strategic Location of Air Polluters

In federal systems, both state governments and firms have incentives to strategically locate polluting facilities where the environmental and health consequences will be borne as much as possible by residents of other jurisdictions. We analyze air polluter location in the United States using a spatial point pattern model, which models where events occur in latitude and longitude. Our analyses indicate that major air polluters are significantly more likely to be located near a state's downwind border than a control group of other industrial facilities, results that are robust to a wide variety of model specifications and measurement strategies. This effect is particularly pronounced for facilities with toxic air emissions. The observed pattern of polluter location varies systematically across states and time in ways that suggest it is responsive to public policy at both the national and state levels.     

A House Divided? Roll Calls,Polarization, and Policy Differences in the U.S. House, 1877–2011

The study of political conflict in legislatures is fundamental to understanding the nature of governance, but also difficult because of changes in membership and the issues addressed over time. Focusing on the enduring issue of civil rights in the United States since Reconstruction, we show that using current methods and measures to characterize elite ideological disagreements makes it hard to interpret or reconcile the conflicts with historical understandings because of their failure to adequately account for the policies being voted upon and the consequences of the iterative lawmaking process. Incorporating information about the policies being voted upon provides a starkly different portrait of elite conflict—not only are contemporary parties relatively less divided than is commonly thought, but the conflict occurs in a smaller, and more liberal, portion of the policy space. These findings have important implications for a broad range of work that uses elite actions to compare political conflict/polarization across time.     

How Stable is the Condition of Family Homelessness?

Although research has documented the majority of homelessness experienced by individuals and families in the US to be transitional rather than chronic, the mechanisms by which some families successfully escape homelessness while other do not remains relatively unclear. To provide more information to this area of inquiry, this study analyzed the transitional nature of homelessness for a sample of families with school-aged children who were homeless under the McKinney-Vento definition. By conducting a survey with over 1000 homeless families with children enrolled in two public school systems in Central Florida, we find that over a quarter of families exit homelessness in less than six months. We compare these families to those that remained homeless to examine the potential importance of demographic differences and other potential barriers to securing housing. Many of the commonly assumed barriers were not significant predictors of continued homelessness; the most salient difference between the groups was income underscoring the importance of employment opportunities for families to allow them to exit homelessness.