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2 - Reasoning and Distrust

State Architecture in Advanced Societies

Published online by Cambridge University Press:  16 June 2022

Edward H. Stiglitz
Affiliation:
Cornell University, New York
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Summary

This chapter presents the main theoretical argument of the book. It starts by discussing the role of representation in the Madisonian baseline. It then argues that several assumptions that may have held at the founding no longer held by the turn of the (last) century, giving rise to an acute problem of trust between the electorate and representatives. A partial solution to this problem, the chapter contends, is for the legislature to delegate authority to administrative bodies and to constrain their actions through administrative law. Under this scheme, the legislature establishes objectives (e.g., fair and reasonable railroad rates), and administrative bodies establish the means in publicly credible ways. Delegated authority thereby tends to improve the public’s welfare, as well as to serve the electoral interests of representatives who suffer under less suspicion. The appendix to this chapter presents a formalization of this argument.

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Publisher: Cambridge University Press
Print publication year: 2022

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