Are political support-driven policies always bad? The case of large interest groups

The action of active interest groups (lobbies) has been traditionally considered to be a source of harmful waste for the economy which reduces social well-being. Can this analysis be adapted to the case of large unorganised groups which do not ask for anything directly? Or, on the contrary, does the...

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Main Author: Gael Lagadec
Format: Article
Language:English
Published: University of A Coruna 2014-12-01
Series:European Journal of Government and Economics
Subjects:
Online Access:http://revistas.udc.es/index.php/ejge/article/view/4302
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author Gael Lagadec
author_facet Gael Lagadec
author_sort Gael Lagadec
collection DOAJ
description The action of active interest groups (lobbies) has been traditionally considered to be a source of harmful waste for the economy which reduces social well-being. Can this analysis be adapted to the case of large unorganised groups which do not ask for anything directly? Or, on the contrary, does the setting up of policies which improve the situation of these large groups permit an improvement in social welfare? We start from classical (public choice) analyses of lobbying and rent-seeking developed since the 1970s, closely linked with the hypothesis of re-election-seeking politicians, before extending our analysis also to consider non-sector-specific policies and passive interest groups (notably those too large to meet the Olsonian condition of efficient collective action). Then the research question to be answered becomes whether promoting the interest of large groups can deliver social welfare as defined by the incumbent’s social welfare function. We refer to the political cycles’ evidence to consider that no social welfare objective can motivate the favouring of large groups.
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spelling doaj.art-3110085e47fc43808a2602fd3b3cb9b62022-12-21T18:33:57ZengUniversity of A CorunaEuropean Journal of Government and Economics2254-70882014-12-013210.17979/ejge.2014.3.2.4302Are political support-driven policies always bad? The case of large interest groupsGael Lagadec0University of New CaledoniaThe action of active interest groups (lobbies) has been traditionally considered to be a source of harmful waste for the economy which reduces social well-being. Can this analysis be adapted to the case of large unorganised groups which do not ask for anything directly? Or, on the contrary, does the setting up of policies which improve the situation of these large groups permit an improvement in social welfare? We start from classical (public choice) analyses of lobbying and rent-seeking developed since the 1970s, closely linked with the hypothesis of re-election-seeking politicians, before extending our analysis also to consider non-sector-specific policies and passive interest groups (notably those too large to meet the Olsonian condition of efficient collective action). Then the research question to be answered becomes whether promoting the interest of large groups can deliver social welfare as defined by the incumbent’s social welfare function. We refer to the political cycles’ evidence to consider that no social welfare objective can motivate the favouring of large groups.http://revistas.udc.es/index.php/ejge/article/view/4302interest groupslobbiescollective actionsocial welfare
spellingShingle Gael Lagadec
Are political support-driven policies always bad? The case of large interest groups
European Journal of Government and Economics
interest groups
lobbies
collective action
social welfare
title Are political support-driven policies always bad? The case of large interest groups
title_full Are political support-driven policies always bad? The case of large interest groups
title_fullStr Are political support-driven policies always bad? The case of large interest groups
title_full_unstemmed Are political support-driven policies always bad? The case of large interest groups
title_short Are political support-driven policies always bad? The case of large interest groups
title_sort are political support driven policies always bad the case of large interest groups
topic interest groups
lobbies
collective action
social welfare
url http://revistas.udc.es/index.php/ejge/article/view/4302
work_keys_str_mv AT gaellagadec arepoliticalsupportdrivenpoliciesalwaysbadthecaseoflargeinterestgroups