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> Yes, there is: governments are run by people, subject to the same incentives as people in any other part of society, including the perverse and misaligned inc
by Brakenshire 13y ago
> Yes, there is: governments are run by people, subject to the same incentives as people in any other part of society, including the perverse and misaligned incentives that cause "market failures" in other parts of society.
The same incentives exist in any system. In fact, in what you might call 'pro-market' sytems, you often find business people closely involved with regulation, and also a lot of government services sub-contracted out to private companies, which makes the incentives shift the other way. So, for instance, the incentives inherent in for-profit prisons led to the judge-kickback scandal:
http://en.wikipedia.org/wiki/Kids_for_cash_scandal http://en.wikipedia.org/wiki/Kids_for_cash_scandal
You're also going up against the lack of evidence for your position. As I say, in Europe, the countries with the highest levels of taxation and regulation often have the best anti-corruption reputations, the most well-functioning regulatory systems, and the most buoyant economies.
- pdonis 13y agoThe same incentives exist in any system. Yes; I never said otherwise. in what you might call 'pro-market' sytems, you often find business people closely involved with regulation I don't call these "pro-market" systems, precisely because business people being closely involved with regulation is not, IMO, "pro-market". It may be "pro-business", depending on the business, but businesses that succeed this way are not "pro-market". a lot of government services sub-contracted out to private companies That's not "pro-market" either; the companies may be private, but the demand they are satisfying is not, it's generated by the government. In Europe, the countries with the highest levels of taxation and regulation often have the best anti-corruption reputations, the most well-functioning regulatory systems, and the most buoyant economies References, please?
- jf22 13y agoRegarding corruption I just stumbled upon this the other day: http://en.wikipedia.org/wiki/Political_corruption http://en.wikipedia.org/wiki/Political_corruption