tailieunhanh - Democratic Governance and Economic Performance How Accountability Can Go Too Far in Politics, Law, and Business

Senator Edwards is not alone in observing a lack of accountability in America’s democracy. Indeed, both popular and academic media offer considerable support for this sentiment. The popular Cable News Network (CNN) criticized “government, big business, and special interest groups” for enriching themselves at the expense of the common electorate and characterized elected offices as “accountability free zones” while arguing that “our government no longer works for us.”2 Important scholars like John Matsusaka have added weight to this type of argument. Building on Robert Erikson et al.’s (1993) measure of government quality as “the responsiveness of public policymaking to the preferences of the mass public”, for example, Professor Matsusaka. | STUDIES IN PUBLIC CHOICE Dino Falaschetti Democratic Governance and Economic Performance ỂHow Accountability Can Go Too Far in Politics Law and Business 0 Springer Studies in Public Choice Series Editor Randall G. Holcombe Florida State University Tallahassee Florida USA Founding Editor Gordon Tullock George Mason University Fairfax Virginia USA For other titles published in this series go to http series 6550 Praise for Democratic Governance and Economic Performance Dino Falaschetti skillfully synthesizes key ideas from social choice theory organizational economics and interest group politics to challenge conventional wisdom about the benefits of democratic governance in organizations. This is an important book for policymakers who are working to reform the way financial institutions are regulated and corporations are governed in the wake of the great financial market collapse of 2008. Margaret Blair Vanderbilt Law The scope of Democratic Governance and Economic Performance is truly commendable. Falaschetti argues persuasively that well-intentioned legal and regulatory structures can often create as many problems as they solve often destroying social wealth in the process. While legal scholars economists and political scientists have raised parts of these issues before in isolation by addressing the topic from the ground up at both the theoretical and empirical levels this book provides useful perspective to anyone interested in the relationship between governance institutions and firm performance Jon Klick Penn Law This insightful book shares with Madison s Federalist 10 a concern for the potentially disruptive effects of majority factions. In telecommunications regulation insurance regulation and monetary policy among other areas popular coalitions led by elected officials are tempted by short-term gains to take actions that distort long-term incentives for economic growth. Falaschetti reminds us that some of our most costly economic policies are