Professional associations and the free rider problem: The case of optometry

Political influence by a professional association, like the influence of any special interest group, is a collective good for the members of the profession. This paper investigates the variables affecting the ability of state optometric associations to overcome the free rider problem and induce optometrists to join the association. Although the empirical results show little evidence that organization costs are reduced by concentration in urban areas, the results do strongly support the hypothesis that there will be less free riding in smaller groups. The results also support the hypothesis that selective incentives enable latent groups to overcome the free rider problem. By providing continuing education at reduced fees to members of the association, optometric associations have increased the percentage of optometrists who are association members in those states with statutory continuing education requirements.     

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.     

Two Cheers for Paperwork: The Value and Burden of Federal Reporting

In principle, reporting by state and local governments to thefederal government is essential to the design and implementationof national policy. In practice, reporting often engenders resentmentof federal intrusion and is often dismissed as a waste of stateand local resources. Is reporting useless? Does it strengthenthe federal government at the expense of state and local governments?We asked federal, state, local, and site officials about thevalue and burden of five specific reporting systems in elementaryand secondary education. Common assumptions about reportingdid not correspond to respondent reactions. Both value and burdencascade through the intergovernmental system, reaching policymakersin all governments. Although critics seldom discriminate betweentypes of reporting, we found that reporting designed to improvecompliance with federal standards evoked different judgmentsof value and burden than reporting designed for assistance.These results suggest some new approaches to federal policygoverning the collection of information and to the design ofindividual reporting systems.     

On the Design of Equalizing Grants

This article considers the design of grants to offset fiscaldisparities. We define a fiscal disparity as a condition inwhich towns must levy a different tax rate in order to providethe same level of public services. We consider ways of measuringdisparities, as well as ways of allocating grants to alleviatedisparities. In order to focus the presentation, we concentrateon lump-sum grants for unrestricted use from a state governmentto general purpose local governments within that state. We concludeby presenting an example of a grants formula for the state ofNew Jersey which meets our specifications.     

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.     

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.