Political Science 2236E Lecture 8: Lecture 8
14 Nov 2016
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Contracting out publicly (could contract out to a neighbouring municipality) or privately (to a business) Cooperatively: share the burden with another jurisdiction: generally municipalities are responsible for provision but production is exible. Inter-municipal agreements: inter-municipal cooperation exists where two or more municipalities work together to provide a service. Ex: water systems in areas where a landlocked municipality is next to a municipality with water sources. Challenges: often associated with transaction costs between negotiating agreements. Monday, november 14, 2016: instances where level of social trust and capital aren"t high, then transaction costs will be higher, you also have to monitor the contractor on top of negotiating. Have to ensure they are living up to their end of the deal. Guelph and wellington county example: when there is less trust between municipalities, transaction costs are increased and engagement in these sort of agreements decreases as a result.
