Majoritarian Politics
- correct answer No special interest groups take action on either side.
Wide costs, wide benefits.
No lobbying will take place
Client Politics
- correct answer One special interest group IN FAVOR of issue.
Wide costs, concentrated benefits.
Lobbying will be successful.
Interest Group Politics
- correct answer Active special interest groups on both sides.
Concentrated cost, concentrated benefits.
Relative strength of lobbying determine success.
Entrepreneurial Politics
- correct answer One special interest group AGAINST issue.
Concentrated cost, widely dispersed benefits.
Successful lobbying will be costly.
The Shortsightedness Effect
- correct answer Politicians support projects that have clear current benefits. Maximize influence on
voters at expense of future generations.
Operational Ineffiency
- correct answer Public sector has no profit motive. Bureaucrats spend other people's money so less
conscious of costs.