PJUBLIC PRIORITY SETTING: RULES AND COSTS
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1 PJUBLIC PRIORITY SETTING: RULES AND COSTS Edited by PETER B. BOORSMA KEES AARTS and ALBERT E. STEENGE Faculty of Public Administration and Public Policy, University of Twente, Enschede, The Netherlands KLUWER ACADEMIC PUBLISHERS DORDRECHT / BOSTON / LONDON
2 Table of Contents List of Authors xi 1 Introduction 1 (Peter Boorsma, Kees Aarts and Albert E. Steenge) References 15 Acknowledgements 17 2 Transaction Cost Economics and Public Administration 19 (Oliver E. Williamson) 2.1 Background The New Institutional Economics Transaction Cost Economics The Rational Spirit Hard-headed Behavioral Assumptions Farsighted Contractual Microanalytics From Property/Legal Centralism to Contract/Private Ordening Property/Contract Legal Centralism/Private Ordening From Ideal to Actual From Insurance Hazards to Contractual Hazards Applications to Public Administration Rational Spirit Comparative Contracting Remediableness Hazards Concluding Remarks 33 References 34 3 Setting Priorities: The IMF and World Bank and Structural Adjustment Programmes 39 (Niels Hermes and Ard Schilder) 3.1 Introduction Backgrounds, Contents and Outcomes of SAPs Agency Theory and SAPs The Political Economy of Policy Change A Simple Political Economy Model Costs and Benefits of SAPs Evaluation of Why SAPs Failed 53
3 VI 3.6 How Can the BWIs React to the Implementation Problems of SAPs? 56 References 59 4 The Effects of Firm- and Relations-specific Characteristics on Quality of Supplier Relationships 61 (Gjalt de Jong, Bart Nooteboom and Robert W. Vossen) 4.1 Introduction Theoretical Perspectives Hypotheses Firm-specific Characteristics Relation-specific Characteristics Data and Results Data Results: Factor Analyses Regression Results for the US Automobile Industry Discussion 77 References 79 Appendix A Data and Measurements 81 5 Marshall and the Quest for a New Paradigm 85 (Piet de Vries) 5.1 Introduction Varying the Data Economics as a Unified Theory The New Paradigm Quest Restricting the Problem Some Conclusions 98 References Technology and Lifestyle as Central Concepts for Global Scenarios 103 (Faye Duchin) 6.1 Development and Environment Lifestyle and Technology as Organizing Concepts Models of Growth and Contraction Technology, Natural Resource Accounting, and Material Balances Lifestyle, Social Accounting Matrices, and a New Household Classification Scenarios about Technology and Lifestyle 114 References 118
4 Vll On Background Principles for Environmental Policy: "Polluter Pays", "User Pays" or "Victim Pays"? 121 (Albert E. Steenge) References Introduction Pollution, Polluters and Economic Indecomposability Direct Pollution An Array of Background Principles Interconnections Background Principles Revisited Conclusion and Outlook Reconciling Economy with Ecology: Environmental Valuation from the Point of View of Sustainability 139 (Martin O'Connor) 8.1 Introduction Economy, Environment, and Valuation Practices Valuation Framed in Terms of (Strong) Sustainability Biophysical Sustenance and Cultural Vitality: the Case of Forest Pockets Valuing Water Recources for Sustainability: Critical Natural Capital Concluding Remarks Acknowledgements 160 References 160 Contingent Valuation, Sustainability and a Green National Income 163 (Anne van der Veen) 9.1 Introduction Welfare and Greened National Income Contingent Valuation: a Monetary Estimator of Natural Capital? Validity and Reliability Reliability Validity CV Analysis and Validity and Reliability Contingent Valuation, Sustainability and Green National Income Outlook 176 References 177
5 Vlll 10 The Effects of Policy Making on the Design of Economic Policy Instruments: Politics as Usual 181 (Hans Th.A. Bressers and Dave Huitema) 10.1 Introduction Policy Making: Politics, as Usual The Design of Economic Instruments in Practice Theory Development about the Choice of Economic Policy Instrumtents Conclusion 197 References Setting Priorities in Dutch Legislative Policy 201 (Barbel Dorbeck-Jung) 11.1 Introduction The Concept of Regulation Regulation and Governance Discussion and Definitions Regulation, Law and Legislation Deficiencies of the Hierarchic Instrumental Approach Responsive Law and Legislation Legitimacy of Governmental Action Legitimacy as a Concept Basic Values, Principles and Standards Legitimacy and Legislative Priorities The Legitimacy of Dutch Higher Education Quality Evaluation Regulations Regulation Strategies Formal and Informal Rules Regarding Quality Evaluation Aspects of Legitimacy Advantages and Shortcomings Conclusions 215 References Do Local Authorities Opt for Covenants? 217 (Eric Helder) 12.1 Introduction: Covenants between Government Regulation and Self Regulation Covenants: Unknown but not Unloved A Contribution to Self Regulation Covenants: for Local Authorities too? 220
6 IX 12.1,4 Further Treatment Recommended: the Covenant Definition of Terms Agreement "Whatever they are called" Powers under Public Law Realisation of Government Policy In Writing Recommendations on Covenants: Something for Local Authorities? Are Local Authorities Bound? When do Local Authorities Choose the Covenant? Recommendations on Content Procedural Directions An Illustration: Agreements on Gaming Machines Gaming Machine Covenants as an Example The Application of Gaming Machine Covenants Why no Administrative Rules? Conclusion: on Added Value 234 References Communicative Steering and Regulation: Shifting Actors, Objectives and Priorities 239 (Igno Propper) 13.1 Introduction Theoretical Possibilities and Limitations of Communicative Steering Possibilities Limitations and Risks The Video Covenant: Protection of Young People against Harmful Videos Regulation or Self-regulation? The Covenants Asessment of the Possibilities and Limitations of Communicative Steering Conclusion 253 References Political-Administrative Relations and Separation of Powers 257 (Rik Reussing) 14.1 Introduction: Scale and Legitimacy of Local Government 257
7 14.2 Problems of the Local Constitutional System Internal Problems of the Local Constitutional System External Problems of the Local Constitutional System General Problems of the Local Constitutional System Possible Solutions to the Observed Problems Develoments in the Present Constitutional System Less Radical Changes of the Local Constitutional System More Radical Changes of the Local Constitutional System Conclusion: a 'fourth Power' in Government Setting Priorities 273 References Effects of Issue Priorities in the News on Voting Preferences; the 1994 Election Campaign in the Netherlands (Jan Kleinnijenhuis and Jan A. de Ridder) Introduction The Political Context of the 1994 Elections in the Netherlands Issue News and its Expected Effects on Voting Preferences Data, Operationalization and Method Results Discussion 304 References The Will of Politicians and the Unwillingness of the People 3Q7 (Jacques J.A. Thomassen) 16.1 Introduction Differences of Opinion between Electors and Ihe Elected Evaluation of Differences Political Parties and Political Representation The Explanation for Differences of Opinion between Electors and the Elected The Function of Elections in the Netherlands Referendum and Participation 318 References 321 Index 323
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