Over recent years support for deliberative democracy as a regulative ideal against which political and economic institutions should be judged has become the dominant tradition within political theory. Deliberative democrats such as Amy Guttman and Dennis Thompson argue that deliberative public decision making would bring with it important epistemological and ethical gains. Closer inspection of these claims, however, suggests that deliberative democratic arrangements are not only impractical but are fundamentally at odds with the epistemic and ethical goals that their supporters (...) seek to advance. Arrangements based on ?exit? rather than ?voice? may be better placed to meet these challenges in a world characterized by complexity and conflicting moral values. (shrink)

Over recent years support for deliberative democracy as a regulative ideal against which political and economic institutions should be judged has become the dominant tradition within political theory. Deliberative democrats such as Amy Guttman and Dennis Thompson argue that deliberative public decision making would bring with it important epistemological and ethical gains. Closer inspection of these claims, however, suggests that deliberative democratic arrangements are not only impractical but are fundamentally at odds with the epistemic and ethical goals that their supporters (...) seek to advance. Arrangements based on “exit” rather than “voice” may be better placed to meet these challenges in a world characterized by complexity and conflicting moral values. (shrink)

Self-Interest and Public Interest in Western Politics showed that the public, politicians, and bureaucrats are often public spirited. But this does not invalidate public-choice theory. Public-choice theory is an ideal type, not a claim that self-interest explains all political behavior. Instead, public-choice theory is useful in creating rules and institutions that guard against the worst case, which would be universal self-interestedness in politics. In contrast, the public-interest hypothesis is neither a comprehensive explanation of political behavior nor a sound basis for (...) institutional design. (shrink)

ABSTRACT Self-Interest and Public Interest in Western Politics showed that the public, politicians, and bureaucrats are often public spirited. But this does not invalidate public-choice theory. Public-choice theory is an ideal type, not a claim that self-interest explains all political behavior. Instead, public-choice theory is useful in creating rules and institutions that guard against the worst case, which would be universal self-interestedness in politics. In contrast, the public-interest hypothesis is neither a comprehensive explanation of political behavior nor a sound basis (...) for institutional design. (shrink)

ABSTRACT In its attempt to prove that voters, politicians, and bureaucrats are motivated by the public interest, Self-Interest and Public Interest in Western Politics overlooks a great deal of public-choice research, to which much has been added during the two decades since it was published. The importance of self-interest at both the micro and macro levels of politics becomes clear once one looks not simply at the ?inputs? of a democracy but at its ?outputs? as well. The prevalence of interest (...) groups, the dysfunction of the United States tax code, the lobbying by unions for their members? self-interest, the earmarks in the Patriot Act, the numerous cases of corruption in Western democracies, and the dissatisfaction of citizens with their governments? failings all point to the importance of self-interest in politics. (shrink)

Libertarian arguments about the empirical benefits of capitalism are, as yet, inadequate to convince anyone who lacks libertarian philosophical convictions. Yet “philosophical” libertarianism founders on internal contradictions that render it unfit to make libertarians out of anyone who does not have strong consequentialist reasons for libertarian belief. The joint failure of these two approaches to libertarianism explains why they are both present in orthodox libertarianism—they hide each other's weaknesses, thereby perpetuating them. Libertarianism retains significant potential for illuminating the modern world (...) because of its distance from mainstream intellectual assumptions. But this potential will remain unfulfilled until its ideological superstructure is dismantled. (shrink)

F. A. Hayek's realistic economic theory has been replaced by the formalistic use of equlibrium models that bear little resemblance to reality. These models are as serviceable to the right as to the left: they allow the economist either to condemn capitalism for failing to measure up to the model of perfect competition, or to praise capitalism as a utopia of perfect knowledge and rational expectations. Hayek, by contrast, used equilibrium to show that while capitalism is not perfect, it contains (...) error‐correcting institutions that bring it closer to perfection than is intuitively apparent. (shrink)

F. A. Hayek's realistic economic theory has been replaced by the formalistic use of equlibrium models that bear little resemblance to reality. These models are as serviceable to the right as to the left: they allow the economist either to condemn capitalism for failing to measure up to the model of perfect competition, or to praise capitalism as a utopia of perfect knowledge and rational expectations. Hayek, by contrast, used equilibrium to show that while capitalism is not perfect, it contains (...) error‐correcting institutions that bring it closer to perfection than is intuitively apparent. (shrink)