The Global Financial Crisis: Learning from Regulatory and Governance Studies

Regulatory and governance studies help locate power and responsibility in the global financial crisis. I argue that corporate and state power worked together in centers like New York and London to shape regulation and that power was spread around the world. In the response to the crisis, responsibility for regulation will remain largely systems‐based rather than centrally directed. However, those systems should be located in the culture of the elites, which are socially and spatially based, as much as in the economics of the markets or the cognition of the firms. And that responsibility has limits, so there should be greater democratic control of finance and less dependence on finance capitalism for essential services, social security, and environment protection.     

NEIGHBORHOOD HOUSING INVESTMENTS AND VIOLENT CRIME IN SEATTLE, 1981–2007*

Despite significant advances in the study of neighborhoods and crime, criminologists have paid surprisingly less attention to the extralocal forces that shape violence. To address this issue, we draw on an emerging body of work that stresses the role of home mortgage lending—a resource secured via interaction with external actors—in reducing neighborhood violence and extend it by addressing concerns that the lending–violence relationship is spurious and confounded by simultaneity. We explore the longitudinal relationship between residential mortgage lending and violence in Seattle with a pooled time series of 118 census tracts over 27 years, and we instrument our endogenous predictors (home mortgage lending and violent crime) with changes in their levels from prior periods. Employing Arellano–Bond difference models, we assess both the effect of mortgage lending on violent crime as well as the effect of violent crime levels on mortgage activity. We find that infusions of home mortgage lending yield reductions in subsequent violent crime; yet the impact of violent crime on subsequent lending is not significant. Results underscore the importance of incorporating external forces such as home mortgage lending into explanations of neighborhood violence.     

NOT ODIOUS BUT ONEROUS: COMPARATIVE PUBLIC ADMINISTRATION

This paper asks, first, how have comparative publications (academic ‘outputs’) developed during the past three decades; second, what theories have been in play, and, third, how can we best explain the picture of comparative PA that is thus revealed? The trajectories of themes and theories are set within a wider story of the development of networks and academic communities. Changes in practitioner concerns and networks have had significant impacts on the evolution of the academic sub‐field. Changes in ICTs – particularly the coming of the Internet and the growth of cheap air travel – have also had a pervasive influence. While there seems little prospect of convergence on any single theory or methodological approach, the vitality of comparative PA is nevertheless considerable. The volume, range and sophistication of publications have grown markedly since the late 1980s. Yet even if comparative studies are now mainstream, they remain hard to do well.     

DEALERS,THIEVES, AND THE COMMON DETERMINANTS OF DRUG AND NONDRUG ILLEGAL EARNINGS*

Drug crime often is viewed as distinctive from other types of crime, meriting greater or lesser punishment. In view of this special status, this article asks whether and how illegal earnings attainment differs between drug sales and other forms of economic crime. We estimate monthly illegal earnings with fixed‐effects models, based on data from the National Supported Work Demonstration Project and the National Longitudinal Survey of Youth. Although drug sales clearly differ from other types of income‐generating crime, we find few differences in their determinants. For example, the use of cocaine or heroin increases illegal earnings from both drug and nondrug crimes, indicating some degree of fungibility in the sources of illegal income. More generally, the same set of factors—particularly legal and illegal opportunities and embeddedness in criminal and conventional networks—predicts both drug earnings and nondrug illegal earnings.     

THE EFFECT OF CRIMINAL BACKGROUND CHECKS ON HIRING EX‐OFFENDERS*

Research Summary The rapid increase in the nation's incarceration rate over the past decade has raised questions about how to reintegrate a growing number of ex‐offenders successfully. Employment has been shown to be an important factor in reintegration, especially for men over the age of 27 years who characterize most individuals released from prison. This article explores this question using unique establishment‐level data collected in Los Angeles in 2001. On average, we replicate the now‐common finding that employer‐initiated criminal background checks are negatively related to the hiring of ex‐offenders. However, this negative effect is less than complete. The effect is strongly negative for those employers that are legally required to perform background checks, which is not surprising because these legal requirements to perform checks are paired with legal prohibitions against hiring ex‐offenders. However, some employers seem to perform checks to gain additional information about ex‐offenders (and thus hire more ex‐offenders than other employers), and checking seems to have no effect on hiring ex‐offenders for those employers not legally required to perform checks. Policy Implications One public policy initiative that has received considerable attention is to deny employers access to criminal history record information, which includes movements to “ban the box” that inquires about criminal history information on job applications. The assumption underlying this movement is that knowledge of ex‐offender status leads directly to a refusal to hire. The results of this analysis show that policy initiatives aimed at restricting background checks, particularly for those firms not legally required to perform checks, may not have the desired consequences of increasing ex‐offender employment. This result is consistent with an alternative view that some employers care about the characteristics of the criminal history record and use information about criminal history in a more nuanced, nondiscrete way.     

Party systems and the dynamics of government support: Britain and Germany, 1960–1990

Abstract. This paper examines the impact that one feature of a country's institutional context -the party system - has on public support for governing parties in two West European democracies, Germany and Great Britain. Specifically, it argues that models of government popularity need to take politics and institutions into account, and need to do so in a systematic fashion. Using measures of party system fractionalization and public opinion data spanning the period from 1960 to 1990, the paper demonstrates that the effects of economic conditions on government support are mediated by the choices available to citizens to express discontent with the ruling party. The greater the effective number of parties in a system, the stronger the effects of macro-economic performance on support for the government.     

The dynamics of racial exclusion and expulsion: racist politics in western Europe

Abstract. The concept of political racism is necessarily more specific than the more universal concepts of racism used in social science outside the sphere of politics. Thus, despite the common tendency to explain political racism using theories developed to account for other forms of racism, one turns most profitably to a range of political factors operating differently in time and/or location in order to arrive at the most thorough understanding of the expression of political racism. However, that does not deny the relevance of certain theories of more general racism in recognizing those circumstances that predispose to political racism. Some major theories in sociology and social psychology that might be applicable to political racism are described and their respective usefulness is assessed on the basis of available evidence about support for political racism in four west European countries.     

BUREAUCRACIES REMEMBER,POST‐BUREAUCRATIC ORGANIZATIONS FORGET?

The paper examines the hypothesis that post-bureaucratic forms of organization perform less well than traditional bureaucracies with respect both to organizational memory and learning from experience. First, the paper discusses the meanings of the main terms and concepts to be used in the argument, and delimits its domain. Second, it identifies a series of mechanisms that are likely to bring about memory loss. Third, it examines the empirical literature in search of evidence to confirm or disconfirm the existence and effects of these mechanisms. Fourth, it reflects on its own limitations. Finally, it sets out some broad conclusions concerning the state of organizational memories in the public sector. The aim is to develop new theory, identify relevant generative mechanisms, set this model alongside such evidence as is available, and suggest lines for further research.

The new men of the Empire are the ones who believe in fresh starts, new chapters, clean pages; I struggle on with the old story, hoping that, before it is finished, it will reveal to me why it was that I thought it worth the trouble. (J. M. Coetzee, Waiting for the Barbarians , 1980, p. 26)