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Political Kludges

Author

Listed:
  • Keiichi Kawai
  • Ruitian Lang
  • Hongyi Li

Abstract

This paper explores the origins of policy complexity. It studies a model where policy is difficult to undo because policy elements are entangled with each other. Policy complexity may accumulate as successive policymakers layer new rules upon existing policy. Complexity emerges and persists in balanced democratic polities, when policymakers are ideologically extreme, and when legislative frictions impede policymaking. Complexity begets complexity: simple policies remain simple, whereas complex policies grow more complex. Patience is not always a virtue: farsighted policymakers may engage in obstructionism, deliberately introducing complex policies to hinder future opponents.

Suggested Citation

  • Keiichi Kawai & Ruitian Lang & Hongyi Li, 2018. "Political Kludges," American Economic Journal: Microeconomics, American Economic Association, vol. 10(4), pages 131-158, November.
    • Handle: RePEc:aea:aejmic:v:10:y:2018:i:4:p:131-58
    Note: DOI: 10.1257/mic.20150242
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    References listed on IDEAS

    as
    1. Haya Kaspi & Avi Mandelbaum, 1994. "On Harris Recurrence in Continuous Time," Mathematics of Operations Research, INFORMS, vol. 19(1), pages 211-222, February.
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    Citations

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    Cited by:

    1. Ash, Elliott & Morelli, Massimo & Vannoni, Matia, 2022. "More Laws, More Growth? Evidence from U.S. States," CEPR Discussion Papers 15629, C.E.P.R. Discussion Papers.
    2. Amadxarif, Zahid & Brookes, James & Garbarino, Nicola & Patel, Rajan & Walczak, Eryk, 2019. "The language of rules: textual complexity in banking reforms," Bank of England working papers 834, Bank of England.
    3. Frolov, Daniil, 2019. "The manifesto of post-institutionalism: institutional complexity research agenda," MPRA Paper 97662, University Library of Munich, Germany.

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    More about this item

    JEL classification:

    • C73 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Stochastic and Dynamic Games; Evolutionary Games
    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption
    • D78 - Microeconomics - - Analysis of Collective Decision-Making - - - Positive Analysis of Policy Formulation and Implementation

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