Comparative Institutions and
Response to Globalization
Peter Gourevitch
UCSD
Princeton, April 2005
Economic theory and
preferences
political
1.Bentley: From interests to preferences to policy -- with
the proper specification of economic position, we can
predict the preferences and policies:
2. Endogenous: preferences depend on policy context ,
not prior to them. Varieties of capitalism , institutional
complimentarity
3 Endogenous: preferences depend on political
calculations, not prior to them.
Thus what is the strategic interaction of
preferences with political context between what you want
and what you can get
The aggregation of preferences
1. Parchment Institutions
2. Intermediate institutions
3. De facto vs. de jure forms of power
Important item of struggle: the social foundations of
interest formation and aggregation of preferences.
Parchment Institutions
--electoral law: p.r. vs. Plurality
-- Presidential vs. Parliamentary
--divided government
--federalism
--Consensus vs. Majoritarian
International parchment
-what is the role of the international institutions . Vs
interaction of domestic politics of different
countries?
WTO -- ?
-- is this a delegation to international institutions,
thus they are not autonomous actors?
--vs. The process of delegation itself shapes the
outcome-- it must, that is the point.. But just how
Is a hot debate.
This will come up in next panel:
Intermediate institutions 1
--political parties
--trade unions and business associations
--professional associations
--NGOs
--media
--churches, universities, think tanks, etc.
--etc: many actors.
Intermediate institutions 2
-- define policy packages, presenting alternatives, shaping
ideological meaning:
Goldthorpe and Lockwood --the Affluent Worker-why do I have a TV set?:
-US worker in moderate trade union: capitalism
and markets work great.
-French communist CGT member: my union
forced the bosses to give me a TV set.
Intermediate institutions 3:
BUT: Ideology, ideas, framing --these all are important, but not free floating:
“luck or pluck” is mediated by social institutions
that define options and meaning.
The more complex the issue spaces , the more
framing matters -- “enablers” “reputation indicators:
So: understanding the the way groups shape the
FRAMING process at work.
Cross national differences in ideologies reflect
difference in structures and weight of intermediate
institutions, not generalized “national cultures”
Interactive policies
The varieties of capitalism theme:
policies in different issue areas interact---labor markets
-education and training
--price setting
--corporate governance
etc.
This blurs into: multiple dimensions of
preference--- income, security, risk, stability of
family (not to migrate), etc.
De Jure vs. De Facto forms of Power
De jure: voting, veto gates, etc.-De facto:
-- strikes: by labor or capital
--demonstrations: artichokes and barricades
--policy and army: guns
--collective action , capacity for
Social foundations of power
Policies influence the intermediate institutions:
--electoral law on parties
--but also:
--council housing in the UK
--Taft Hartley and Right to work laws re
Trade Union-- enforcement, or not of organizing
rights for unions
--corporate governance: mitbestimmung,
--Financial institutions: does the rise of
shareholding impact management? CalPERS and
Hermes, TIAA CREF vs. Fidelity, Merrill Lynch -UK rules on institutional investors.
Implications for questions
Research should be “Action” focused:
what to pursue as action -- preferences over
policies, more than “values”
-- laws on protection vs. social protection
-- public regulation vs. private “bonding” ( direct
action--SEC rules vs. stock market listing
requirements,
OR, pressing the firm:Laws vs. strikes or
demonstrations
-- what types of laws: regulation by agencies, vs
generalized laws : US general rules, Japan, specific
ones,..
Implications , two
Case studies:
Schattschneider: Smoot Hawley
Bauer Pool Dexter : reciprocal trade
Hiscox , et. al? Which Case or Cases--So , how to locate the opinions into a strategic context:
-- actions not preferences
-- specific policy