Manging state government operations: Changing visions of staff agencies

Centralized staff agencies embody the early 20th century bureaucratic reform vision of good government. The behavior of these agencies, as well as the conception of administration contained in the bureaucratic reform vision, are often criticized. Feasible alternative conceptions of staff-line-overseer relations are only beginning to emerge through the contextual development of public management ideas and incremental innovation. This article draws on experience in Minnesota state government in order to formulate a “post-bureaucratic” conception of staff-line-overseer relations. In addition, strategies embedding this conception in the practice of the purchasing, staffing, information policy, and internal service functions are briefly explored.     

Explaining Privatization: Notes Towards a Predictive Theory

This article starts from the assumption that some of the theoretical work used to explain welfare-state expansion can be used 'in reverse' to explain privatization, here seen as welfare state contraction, i.e., the transfer from the public to the private sector of the responsibility for certain activities involved in welfare provision. To this end, valiants of the 'power resources' approach are examined. Finding that the 'labour movement' thesis does not have a strong predictive value, I then discuss the 'game theoretical' variant of the 'power resources' approach. Its usefulness for predicting privatization patterns seems limited because of the reductionism built into it. Following the neo-Institutionalists' argument that actor preferences and strategies both reflect and form institutional arrangements of the welfare state, some institutional typologies are developed which are relevant to the course and patterns of privatization. An ideal-type dichotomy between 'pluralist' and 'corporatist' institutions is discussed, in connection with a further delineation of decision-making, financing, and implementing structures. In conclusion, an effort is made to combine actor-oriented and institutional approaches to formulate some preliminary predictions about when and where certain patterns of privatization will occur.     

INCREASING THE ECONOMIC WELL-BEING OF SEPARATED, DIVORCED, AND WIDOWED WOMEN OVER AGE THIRTY

Data from the Continuous Longitudinal Manpower Survey and the Current Population Survey were used to estimate the effects of CETA, a governmental jobs program, on the economic well-being of separated, divorced, and widowed women over age thirty. After training, CETA participants had increases in earnings and tended to have higher earnings than comparable CPS respondents. Participants in on-the-job training and public service employment had greater increases than participants in the other CETA programs. CETA enrollees with a high school degree had greater increases in earnings than those who had not completed high school, while whites had greater increases in earnings than non-whites.     

The state of nature in the shadow of contract formation: Adding a missing link to J.M. Buchanan's social contract theory

The social contract theory of J.M. Buchanan provides no clear-cut answer on the question which one of the multitude of possible Pareto-efficient contracts is chosen by individuals who shape a contract in an (imaginary) state of nature. This deficiency is remedied in this paper by adding the Nash-bargaining theory. It seems to be in line with at least part of Buchanan's reasoning. Whereas for Buchanan the configuration of contract depends unilaterally on the natural equilibrium of the state of nature, we are able to show that the parties' (rational) contractual expectations have repercussions for their behavior in the state of nature. That is why the location of the natural equilibrium proves to be heavily dependent on the chosen bargaining theory. The implication is that assessing the legitimacy of a given constitutional order or contract (on the basis of the natural equilibrium) depends on the particular bargaining theory chosen to solve the underlying constitutional distribution problem. I am grateful to D. Andrews, D. Schmidtchen and U. Witt for helpful comments on earlier drafts. The usual caveat applies.     

Concealed takings: Capture and rent-seeking in the Indian Sugar Industry

This paper has attempted to test the applicability of the Public Choice approach in explaining regulation in the Indian Sugar Industry over the 1967–82 period. A test for discriminating between Public Interest and Capture theories of regulation was developed and implemented in the context of the historical pattern of controls found in the Indian Sugar Industry. The results point toward the rejection of the Public Interest theory of regulation and are consistent with the hypothesis of the capture of regulation by the regulated industry. The importance of the various interest groups and their influence on the regulation actually enacted was also revealed by the analysis.The findings are consistent with the existence of substantial rent-seeking and other D.U.P. activity (Bhagwati, 1982) in the Indian sugar sector during the post-independence period. They point toward the substantial welfare losses suffered by consumers and the economy at large as a result of the control regime that has existed in the Indian sugar sector. Removal of such controls will more than likely increase the availability of sugar at lower prices thus increasing the welfare of consumers while reducing the extent of corruption and other rent-seeking activity that the controls have generated.