Rethinking the Welfare State: The prospects for ... - e-Library

Notes 227
85; see also Harvey Rosen, Public Finance (Homewood, IL: Richard D. Irwin, 1985), pp.
60–3; and Barr, pp. 80–3.
33 Stiglitz, p. 205; however, for a more qualified account, including a discussion of some of the
putative managerial advantages of direct government, see Christopher Leman, “Direct
government,” in L.Salamon (ed.) The Tools of Government: A Guide to the New Governance
(Oxford: Oxford University Press, 2002), pp. 48–79.
34 Stiglitz, pp. 208–9.
35 Evan Davis, Public Spending (London: Penguin, 1998) furnishes a commonsensical
preliminary discussion of the economic advantages and potential drawbacks of contractingout;
see especially pp. 208–31.
36 Hrab, Roy, Privatization: Experiences and Prospects, Ontario Panel on the Role of
Government, University of Toronto Faculty of Law (2003), p. 8. See also J.S.Vickers and
G.K.Yarrow, Privatization: An Economic Analysis (Cambridge: MIT Press, 1988).
37 Shleifer, p. 137.
38 Megginson, W.L. and Netter, J.M., “From state to market: a survey of empirical studies on
privatization,” Journal of Economic Literature, 39 (2001), p. 331.
39 Trebilcock and Iacobucci, supra note 18, p. 1428.
40 Ibid., p. 1429.
41 Hrab, p. 5.
42 Hart, Shleifer and Vishny, supra note 1, p. 1128.
43 Trebilcock, p. 15; Oliver Williamson, “The logic of economic organization,” Journal of Law,
Economics and Organization, 4 (1988), p. 77.
44 Hart et al., p. 1128; see also John Donahue, The Privatization Decision: Public Ends, Private
Means (New York: Basic Books, 1989), pp. 79–98.
45 Stiglitz, pp. 190–7.
46 Williamson, Oliver, The Economic Institutions of Capitalism (New York: Free Press, 1985),
chap. 13.
47 Demsetz, Harold, “Why regulate utilities?,” Journal of Law and Economics, 11 (1968), p.
55.
48 Chapter 3 of this volume discusses the cash equivalence of food stamp programmes in more
detail. See also Robert A.Moffitt, “Lessons from the food stamp program,” in Steuerle et al.,
pp. 131–5.
49 Mill, John Stuart, “On liberty,” in Robert M.Stewart (ed.) Readings in Political and Social
Philosophy (New York: Oxford University Press, 1996), p. 126.
50 Friedman, p. 178.
51 Yale University Press, 1999.
52 John Richards, Retooling the Welfara State (Toronto: C.D.Howe Institute, 1997), p. 257
contends that ALMPs are merely synonymous with “workfare” and “tough love” measures;
however, we favour an expanded definition of ALMPs as programmes which tie the receipt
of benefits to participation in direct employment, education and placement programmes
which aim to reintegrate underemployed persons into the labour market and to increase the
incentive for and access to gainful employment as opposed to reliance on income transfers as
a principal source of revenue.
53 Richards, p. 258.
54 Richards, p. 261.
55 Richards, op. cit.
56 Albert Hirshman, Exit, Voice and Loyalty (Cambridge, MA: Harvard University Press,
1970).
57 Bradford and Shaviro, op. cit.
58 Bradford and Shaviro, op. cit.
59 “Experience goods” are goods whose full attributes are only revealed by usage; “credence
goods” are goods whose attributes are never fully observable by the user and entail reliance