Creator: Green, Edward J. Series: Working paper (Federal Reserve Bank of Minneapolis. Research Dept.) Number: 501 Abstract:
I consider two theories of the determination of political institutions. One of these theories stresses effects of changes in the balance of military power between the ruler and subjects on the distribution of property rights which the political system enforces. The other theory emphasizes the effect of changing informational constraints which require institutional changes to be made in order to maintain efficiency. I examine how each of these theories would apply to explaining the development of parliamentary government in thirteenth-century England. My general conclusion is that both theories are required to understand fully the process by which liberal political institutions emerge.
Keyword: Great Britain, England, History, and Government Subject (JEL): H11 - Structure and scope of government - Structure, scope, and performance of government and N43 - Government, war, law, and regulation - Europe : Pre-1913
Creator: Bednar, Jenna. Series: Law and economics of federalism Abstract:
Federal systems are crippled by power grabbing between central and regional governments, as well as burden-shifting schemes between regions. Existing models of federalisms assume regional diversity to account for inter-regional tension. However, these models set aside entirely the problem of inter-level competition. This paper presents a unified framework for understanding threats to federal stability. The model's n + 1 structure accomodates both dimensions of federal instability. Furthermore, this paper is able to offer a theoretical alternative to explanations of instability that rely upon regional diversity or citizen patriotism; identically selfish preferences, in the decentralized setting, can generate instability. Additionally, under certain institutional conditions, the paper offers an equilibrium that embraces the persistence of competition in a stable federation.
Keyword: Federalism, Decentralization, and Federal instability Subject (JEL): H11 - Structure and scope of government - Structure, scope, and performance of government and H77 - State and local government ; Intergovernmental relations - Intergovernmental relations ; Federalism ; Secession