IDEAS home Printed from https://ideas.repec.org/a/taf/pubmgr/v17y2015i4p565-586.html
   My bibliography  Save this article

Understanding and Creating Public Value: Business is the engine, government the flywheel (and also the regulator)

Author

Listed:
  • Fred Thompson
  • Polly Rizova

Abstract

In this essay, we define the meaning and content of public value, show how government and business create public value, and briefly explain why their governance arrangements work the way they do. We deal first with business and then government. We conclude that government manages risks and that governmental value creation is distinctively concerned with stability. Hence, to make government work better, risk management ought to be central to the practice of public finance, public policy, and public administration. Understanding the importance of stability is potentially of even greater importance to those who research and teach public policy and administration. Indeed, we propose that the elaboration of a general risk assessment model explaining, among other things, government's systemic inclination to stability, would take our field a long towards integration with mainstream positive social science and, therefore, holds out the prospect of considerable interdisciplinary consilience, although at this time we can do no more than suggest the contours of such a model.

Suggested Citation

  • Fred Thompson & Polly Rizova, 2015. "Understanding and Creating Public Value: Business is the engine, government the flywheel (and also the regulator)," Public Management Review, Taylor & Francis Journals, vol. 17(4), pages 565-586, April.
  • Handle: RePEc:taf:pubmgr:v:17:y:2015:i:4:p:565-586
    DOI: 10.1080/14719037.2013.841982
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/14719037.2013.841982
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1080/14719037.2013.841982?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Willem H. Buiter, 1990. "Principles of Budgetary and Financial Policy," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262524139, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Plaček Michal & Ochrana František & Půček Milan & Křápek Milan, 2017. "Does Decentralized Leadership Influence the Performance of Czech Museums?," NISPAcee Journal of Public Administration and Policy, Sciendo, vol. 10(1), pages 121-139, June.
    2. Fred Thompson & Kawika Pierson & Michael L. Hand & Michael U. Dothan, 2017. "Is a Good Normative Model of Public Spending Run Backward a Good Positive Model?," Public Budgeting & Finance, Wiley Blackwell, vol. 37(2), pages 35-57, June.
    3. Aidan R. Vining, 2016. "What Is Public Agency Strategic Analysis (PASA) and How Does It Differ from Public Policy Analysis and Firm Strategy Analysis?," Administrative Sciences, MDPI, vol. 6(4), pages 1-31, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Creel, Jerome & Bihan, Herve Le, 2006. "Using structural balance data to test the fiscal theory of the price level: Some international evidence," Journal of Macroeconomics, Elsevier, vol. 28(2), pages 338-360, June.
    2. Yasushi Iwamoto, 2005. "Interaction between Monetary and Fiscal Policy and the Policy Mix, Theoretical Consideration and Japanese Experience," CARF F-Series CARF-F-043, Center for Advanced Research in Finance, Faculty of Economics, The University of Tokyo.
    3. Buiter, Willem H., 2007. "Seigniorage," Economics - The Open-Access, Open-Assessment E-Journal (2007-2020), Kiel Institute for the World Economy (IfW Kiel), vol. 1, pages 1-49.
    4. Lekha S. Chakraborty, 2012. "Interest Rate Determination in India: Empirical Evidence on Fiscal Deficit--Interest Rate Linkages and Financial Crowding Out," Economics Working Paper Archive wp_744, Levy Economics Institute.
    5. Jérôme Creel & Henri Sterdyniak, 1995. "Les déficits publics en Europe," SciencePo Working papers Main hal-03458224, HAL.
    6. Bandiera, Luca & Budina, Nina & Klijn, Michel & van Wijnbergen, Sweder, 2007. "The"how to"of fiscal sustainability : a technical manual for using the fiscal sustainability tool," Policy Research Working Paper Series 4170, The World Bank.
    7. van der Ploeg, F., 1990. "Budgetary aspects of economic and monetary integration in Europe," Other publications TiSEM 97425e8a-e040-4214-baf3-c, Tilburg University, School of Economics and Management.
    8. Thompson Fred & Rizova Polly, 2015. "How Government Creates Value?," Economic Themes, Sciendo, vol. 53(4), pages 449-466, December.
    9. Chakraborty, Lekha S., 2006. "Fiscal deficit, capital formation, and crowding out: Evidence from India," Working Papers 06/43, National Institute of Public Finance and Policy.
    10. Willem H. Buiter, 1997. "Generational Accounts, Aggregate Saving and Intergenerational Distribution," Economica, London School of Economics and Political Science, vol. 64(256), pages 605-626, November.
    11. Alejandro Rodríguez Arana, 2012. "Is it Possible to Go Back to Ad Hoc Macroeconomic Models? The Case of the Romer-Taylor Model," Working Papers 0312, Universidad Iberoamericana, Department of Economics.
    12. Marc Robinson, 2000. "Accrual Accounting And The Public Sector," School of Economics and Finance Discussion Papers and Working Papers Series 086, School of Economics and Finance, Queensland University of Technology.
    13. Gumus, Erdal, 2003. "Crowding-Out Hypothesis versus Ricardian Equivalence Proposition: Evidence from Literature," MPRA Paper 42141, University Library of Munich, Germany.
    14. Becker, Torbjörn, 1995. "Budget Deficits, Stochastic Population Size and Consumption," SSE/EFI Working Paper Series in Economics and Finance 75, Stockholm School of Economics.
    15. César Calderón & William Easterly & Luis Servén, 2002. "Infrastructure Compression and Public Sector Solvency in Latin America," Working Papers Central Bank of Chile 187, Central Bank of Chile.
    16. Vratislav Izák, 2008. "Udržitelnost veřejných financí a dynamická efektivnost [Public finance sustainability and dynamic efficiency]," Politická ekonomie, Prague University of Economics and Business, vol. 2008(2), pages 162-181.
    17. Cuddington, John T., 1997. "Analyzing the sustainability of fiscal deficitsin developing countries," Policy Research Working Paper Series 1784, The World Bank.
    18. Milesi-Ferretti, Gian Maria & Moriyama, Kenji, 2006. "Fiscal adjustment in EU countries: A balance sheet approach," Journal of Banking & Finance, Elsevier, vol. 30(12), pages 3281-3298, December.
    19. Easterly, William R & Mauro, Paolo & Schmidt-Hebbel, Klaus, 1995. "Money Demand and Seigniorage-Maximizing Inflation," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 27(2), pages 583-603, May.
    20. Marc Robinson, 1998. "Measuring compliance with the Golden Rule," Fiscal Studies, Institute for Fiscal Studies, vol. 19(4), pages 447-462, November.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:pubmgr:v:17:y:2015:i:4:p:565-586. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/RPXM20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.