Political Failure
摘要
Now that we have dealt with the market failure, we want to investigate the question of whether politics makes economic decisions in a pareto-efficient or socially maximizing way. The behavior of politicians and the voting procedures necessary for decisions form the political decision-making framework for economic policy. Politics manages democracy and must remedy the market failure and provide goods. To do this, it needs a bureaucracy to implement political decisions about the production of public goods. Here, too, we want to analyze the motives behind a bureaucracy and, in particular, whether it can efficiently implement political decisions.