Bureaucracy

Primary Task:

· Implementation of Government Output

Max Weber

· Theory of administrative organization developed in 19th cent

· Scientific Solution to Organizational Problems

Theory of Bureaucracy

Competence:

· Training, expertise needed to get job

· Exams often required

Merit

· Promotion Based on Performance

Formalized

· Standardized procedures

· Rigid Rules

Hierarchical

· Clear lines of command established

Tenure system

· Can only be fired for cause

· Civil service system

Assessment?

· Characteristics often at odds.

· There are no perfect organizational structures

· Bureaucracy is a highly efficient organizational form.

American Bureaucracy

Development of American Bureaucracy

First Era: Patronage (Spoils System)

· Government Employees = Party Employees

· Example: Postal Service (relates to the Chief Clerk status of the president)

· Prevalent in Cities (Like Boston, Chicago, New York)

Creation of Civil Service

· Pendleton Act 1883

· James Garfield Assassination

· Difficult to get Congress to Pass this…why?

Current State of Bureaucracy

· Federal Bureaucracy is big, but little growth in past 20 years.

· Growth at state and local level

· Bureaucrats are popular targets

Institutional Aspects of American Bureaucracy

Part of executive branch

Subjected to Congressional Oversight

Congress and President battle for control

Components of Bureaucracy

Executive Departments

· Cabinet offices

· Appointed by president, confirmed by Senate

Independent Regulatory Agencies

· Make and enforce rules

· Regulate operations of private industry.

· Headed by a commission

· Commissioners appointed by president, confirmed by Senate,

· Set term of office & staggered terms

· Cannot be removed by president (except for cause).

Independent or Executive Agencies

· Offices that don’t fit 1 or 2.

· Answer directly to president

· Examples: EPA, CIA, SBA

Types Bureaucrats

Appointees

· Usually presidential allies

· Increased responsiveness to executive

· Problem: Going Native

Careerists

· Civil servants

· Pass an exam

· Cannot lose job for political reasons.

· Rarely removed from their jobs

· Exceptions = “for cause” or “RIFed”

Hatch Act

· Restricts political activity of government employees

Tasks of Federel Bureaucracy

Formal Powers of Government Agencies

· Quasi-legislative

· Quasi-executive

· Quasi-judicial

Rule Administration

· Carry out & administer policy decisions made by Congress.

Rule making

· Draft regulations.

· Write rules to clarify / strengthen existing laws

· Highly Controversial Activity

Rule adjudication

· Enforce rules

· Determine compliance.

Politics of the Federal Bureaucracy

Bureaucracy a political battleground

Bureaucrats have policy preferences and are goal-oriented actors.

Bureaucratic Resources

Administrative discretion

· Power to interpret laws

· Write rules

· Enforce regulations.

· May have a lot of freedom/latitude in writing rules.

Clientele support

· Supporters outside government help agencies survive, take action

· ex. Veterans, farmers, military industry

Expertise

Allows them to pursue their own goals

Ex. Rocket scientists

Constraints on Bureaucratic Power

Congress

· Funds and oversees agencies.

· Angering congress has consequences.

President

· Makes budget

· Appointments

· Sets policy agenda

Interest groups

· Monitors actions of bureaucracy

· Alerts Congress or president or may go to court.

Political Actors must make sure they control the actions of administrators.

Oversight Strategies

· Fire Alarm vs. Police Patrol

· Congress designs delegations so interest groups monitor bureaucracy.

Politics vs. Administration

Neutral Competence vs. Political Responsiveness

Neutral Competence

· Administration is a science that can be perfected

· Bureaucrats should do job to implement policy correctly, regardless of preferences

Political Responsiveness

· Best to appoint political allies

· They will respond to president & interpret prerogatives correctly

Principal - Agent Problems

· Politicians delegate to bureaucrats

· Give them authority to act

· Principal – party delegating

· Agent – party receiving authority

Delegation has costs and benefits

Problems

Adverse Selection:

· Shirking – can’t be sure agent exerts proper effort level

Moral Hazard:

· Principals and agents have different goals, agents may do things that are contrary to interests of principal.

· Principals must take steps to minimize problems

Solutions to Principal-Agent Problems

Oversight

· Costly

· Lose benefits associated with delegation

· Hurts productivity or morale of workers

Incentives & Contract Writing

· Provide incentives to agents to exert effort

· Spell out what is expected

Problems Structuring Contracts:

· Information Asymmetry

· Agents know more than Principals