Ever Closer Cooperation? The Limits of the ‘Norwegian Method’ of European Integration

The 'No' majorities in two referendums on European Community/Union (EC/EU) membership have set clear formal limits to Norway's participation in European integration. However, pro-EU parliamentary majorities have tended to produce governments that seek as close cooperation with the EU as possible. This involves a kind of quasi-membership of the EU, particularly in the light of cooperation beyond the limits of the European Economic Area (EEA). The result has been a 'Norwegian method' of European integration that combines access to the Single Market with efforts to 'purchase' participation in other policy areas and adapt to changing EU policies, legislation and treaties. Given the supranational character of the EU's Single Market rules, this kind of quasi-membership goes considerably further than non-members' participation in most other international organisations. Although the EEA system has worked to the parties' satisfaction, Norway's efforts to keep up with a changing Single Market, maintain the institutions in the face of treaty change and enlargement, and accommodate new developments pertaining to the EU's second and third pillars represent considerable challenges to the Norwegian method of integration.     

Local Governments' Fiscal Responses to Welfare Reform

The devolution of the social safety net means that local governments must increasingly respond to the needs of their citizens, particularly those who are coming off the welfare rolls and making the transition to work. Based on our findings from a statewide, randomized experiment, this article describes how welfare reforms have affected the well-being of current and former welfare recipients. We look specifically at how those leaving welfare in Indiana are using the township trustee system, the state's general assistance program providing poor relief, to meet basic needs, as well as how the trustees have responded to welfare reform.     

Brussels between Bern and Berlin: Comparative Federalism Meets the European Union

In the current debate on the future European order, the European Union (EU) is often described as an "emerging federation." This article claims that federalism is not exclusively useful in deliberating about the future of the EU. Non-statecentric conceptions of federalism provide a better understanding of the current structure and functioning of the European system of multilevel governance than most theories of European integration and international relations do. We combine political and economic perspectives of federalism to analyze the "balancing act" between effective political representation and efficient policy-making in the EU. Drawing on the examples of Germany and Switzerland in particular, we argue that the increasing delegation of powers to the central EU level needs to be paralleled by strengthened patterns of fiscal federalism and an empowered representation of functional interests at the European level. Without such "rebalancing," the current legitimacy problems of the EU are likely to intensify.     

Corruption,Cooperation and Endogenous Time Discount Rates

Virtually all uses of repeated games tostudy of cooperation assume that people'stime discount rates are exogenous andfixed. Here we offer an evolutionary gameembedded in a multi-period model ofinvestment and consumption in whichindividual time discounts are determined bytheir convergence to values determined byEvolutionary Stable Strategies. Oursubstantive motivation, though, iscorruption and its relationship to economicgrowth. To understand the observedrelationship between levels of corruptionand economic indicators of social welfare,we argue that corruption is a form ofcooperation that requires closeinterpersonal monitoring. If we assume,moreover, that when people discount thefuture greatly the only sustainable formsof cooperation are those that allow forclose monitoring, then our analysis can beinterpreted as a dynamic model of therelationship between corruption andinvestment.     

Peeling Away the Populist Rhetoric: Toward a Taxonomy of Anti-Tax Ballot Initiatives

Scholars have devoted considerable attention to both the fiscal and policy impact of tax and expenditure limitation ballot initiatives. This article instead examines how statewide anti-tax measures come to be placed before the general public for popular votes. It critically assesses six anti-tax measures on statewide ballots in 1996, questioning the wisdom that they were populist undertakings. While tax crusaders continue to draw on grassroots themes and use populist rhetoric, there are important differences across the groups sponsoring the six anti-tax measures, including their organizational history, professionalization, membership, and sources of financial support.     

The risky business of public–private partnerships

Public–private partnerships (PPPs) are now a common strand of third way government policy, with better efficiency promised from the private funding of public infrastructure through the transfer of risks to private parties. This paper aims to investigate, on an empirical basis, the realities of risk transfers in PPPs and compare this experience against both the rhetoric of project proponents and the formal contract conditions. The paper outlines some conceptual frameworks underpinning PPPs and establishes the notions of risk shifting and risk sharing. The range of typical risks encountered in infrastructure projects is specially considered, and differences to traditional project delivery arrangements are articulated. Some empirical experience on the transfer of risks under PPPs is then outlined through a case study. This analysis shows the extent to which risks were shifted to the private parties as planned, or whether risks remained with government. It is argued that while commercial risks were largely well managed, governance risks were not. It is critical to understand better the nature of risk transfers in PPPs in view of the large financial implications of these deals along with long contract terms.