POLS 2331 Lecture Notes - Lecture 8: Moral Hazard

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Dai is an institutionalist whose ideas re ect some of keohane"s. Case study: compliance with the convention on long-range transboundary air. P-a relationship between government and its constituents: government makes decisions that a ect the welfare of constituents, constituents have political leverage over government. Ios can empower those interest groups through information: lack of information is the primary issue in the prisoner"s dilemma. They can strengthen electoral leverage of those who favor compliance. They can facilitate domestic interest groups to monitor/inspect state compliance: ex: lrtap has empowered domestic environmental activists: Facilitated research on acid damage and helped disseminate research. Facilitated environmental activists in the compliance process/ngo participation. Legitimized and provided benchmarks for environmental demands of pro- compliance advocates. Pols 2331: variations in compliance are not very meaningful, we should care about the counterfactual, variations in compliance are meaningful. They depend on: domestic politics, reputation, institutional design, norms.

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