Introduction: a symposium on the predatory state

Economists have adopted two broad perspectives on the state: contractual (i.e., provider of public goods and services) and predatory (coercive and extractive). By a predatory state, we mean a state that promotes the private interests of dominant groups within the state (such as politicians, the army and bureaucrats) or influential private groups with strong lobbying powers. Neo-institutional economists support an extended version of the contractual perspective in which the state is not simply a ‘benevolent dictator’ but may itself be composed of predators. However, it considers predation as only a means to promote protection. By contrast, a predatory vision of the state argues that while protection and predation are two faces of the same coin, a predatory state protects only to promote its predation on the private sector. This symposium explores how a predatory approach to the state can shed light on all types of state, from liberal democratic to authoritarian and failed ones, both in the past and present.

     

Appropriation, violent enforcement, and transaction costs: a critical survey

This paper focuses on the extension of transaction costs to appropriative activity and coercive power in the property rights approach. It has been argued that including the costs of appropriation and violent enforcement in transaction costs is based on the assumption that Coaseian bargaining can be extended to any institutional scenario, i.e., voluntary as well as coercive exchange. However, voluntary transactions cannot capture the logic of coercive power. This means that the assumption of an efficient political market is not valid, and that the ??political Coase theorem?? lacks the logical consistency to provide a cornerstone for political theory.     

Introduction: a special issue in honoring Janos Kornai

Public Choice - We ask whether fiscal rules constrain incumbents from using fiscal policy tools for reelection purposes. Using data on fiscal rules provided by the IMF for a sample of 77 (advanced...     

Socialism and Kornai’s revolutionary perspective

Public Choice - In this paper, I argue that the principal message of Janos Kornai’s work was to underscore that the dysfunctional properties of socialism are endemic and systemic, and cannot...     

A theory of predatory welfare state and citizen welfare: the French case

Public Choice - In this paper, we argue that the welfare state is an outcome of modern mass (total) warfare. The total war economy requires the participation of all citizens, erasing the...