‘Consumers’ of Social Policy: Policy Design, Policy Response, Policy Approval

Abstract

With growing concern that social policies should reflect consumer choice, how is consumer choice expressed? Will consumer choice be the same in all forums? Analysis of incentive structures in different decision-making processes suggests that different facets of consumerism assume greater relevance in different forums. Policies approved often differ systematically from policies prescribed because approval is expressed in collective decision-making processes. Predicted policy responses prove sensitive to the way in which choice is registered. If consumers are empowered, choice will be sensitive to the forum in which they are empowered.