Contract Design, Complexity, and Incentives: Evidence From U.S. Federal Agencies

2018 ◽  
Vol 49 (3) ◽  
pp. 325-337 ◽  
Author(s):  
Amanda M. Girth ◽  
Lauren E. Lopez

Financial incentives are used throughout the public and private sectors to control costs, expedite projects, maximize quality, and encourage performance. Although federal agencies in the United States utilize incentive contracts, there is little research on the scope of their use or effectiveness. This study analyzes nearly 390,000 federal contracts across service acquisitions of varying complexity to determine whether incentive contracts differ in contract duration, cost, or technical performance when compared with other types of contracts. The results indicate that contracts appear to execute differently on these three dimensions based on the complexity of the acquired service. The findings provide a heightened understanding of the accountability dynamics in third-party implementation, particularly when financial incentives are used to motivate contractor performance.

Author(s):  
Jarrod M. Rifkind ◽  
Seymour E. Goodman

Information technology has drastically changed the ways in which individuals are accounted for and monitored in societies. Over the past two decades, the United States and other countries worldwide have seen a tremendous increase in the number of individuals with access to the Internet. Data collected by the World Bank shows that 17.5 of every 100 people in the world had access to the Internet in 2006, and this number increased to 23.2 in 2008, 29.5 in 2010, and 32.8 in 2011 (World Bank 2012). According to the latest Cisco traffic report, Internet traffic exceeded 30 exabytes (1018 bytes) per month in 2011 and is expected to reach a zettabyte (1021 bytes) per month by 2015 (Cisco Systems 2011). Activities on the Web are no longer limited to seemingly noncontroversial practices like e-mail. The sheer growth of the Internet as a medium for communication and information sharing as well as the development of large, high-performance data centers have made it easier and less expensive for companies and governments to aggregate large amounts of data generated by individuals. Today, many people’s personal lives can be pieced together relatively easily according to their search histories and the information that they provide on social networking websites such as Facebook and Twitter. Therefore, technological breakthroughs associated with computing raise important questions regarding information security and the role of privacy in society. As individuals begin using the Internet for e-commerce, e-government, and a variety of other services, data about their activities has been collected and stored by entities in both the public and private sectors. For the private sector, consumer activities on the Internet provide lucrative information about user spending habits that can then be used to generate targeted advertisements. Companies have developed business models that rely on the sale of such information to third-party entities, whether they are other companies or the federal government. As for the public sector, data collection occurs through any exchange a government may have with its citizens.


Author(s):  
Faith T. Campbell ◽  
Hilda Diaz-Soltero ◽  
Deborah C. Hayes

AbstractIn the United States, biological invaders are managed by all Federal agencies that have responsibility for natural resources, as well as the States, territories, and occasionally regional entities. Federal agencies’ invasive species programs are implemented under the mandates and guidance provided by dozens of laws, which include statutes enacted by the Congress, Executive Orders issued by the President, and regulations adopted by the relevant agencies. Although there are numerous laws implemented by the States or occasionally regional entities, this chapter will focus on Federal legislation and regulations that guide work on all public and private forests, rangelands, and grasslands in the United States. There are three categories of laws: (1) laws to prevent introduction or initial spread; (2) laws for management or control of invasive species; and (3) more generally defined land management laws which serve as an umbrella for invasive species activities.


Author(s):  
Gregory Klass

This chapter explores false advertising law. In the United States, false advertising law lives in statutes and regulations; it is enforced by federal agencies and state attorneys general; and its rules can seem designed more to promote consumer welfare and market efficiency than to enforce interpersonal obligations or compensate for wrongful losses. If one views the divide between public and private law as a fixed border between independent regions, false advertising law appears to fall in the domain of public law. The chapter’s working hypothesis is that that picture is a false one. Although it can be helpful to distinguish private from public law, the line between them is not so sharp. Laws that fall on the private side of the divide can be designed in light of purposes and principles commonly associated with public law, and vice versa. U.S. false advertising law provides an example. Despite the fact that it is commonly classified as public law, one can find in it structures, functions, and values commonly associated with private law. The structural features include horizontal duties, transfer remedies, private enforcement, and judge-made rules. False advertising law is unusual in that it imposes on advertisers one duty owed to two distinct categories of persons. The duty not to engage in deceptive advertising is owed both to consumers, who might be deceived by an advertisement, and to honest competitors, who might lose sales as a result of consumer deception.


2015 ◽  
Vol 6 (4) ◽  
pp. 488-501 ◽  
Author(s):  
Michaela Tarr Oldfield

The United States’ Food Safety Modernization Act (FSMA) revises the US Food and Drug Administration's regulatory authority. While expanding FDA's authority, the legislation replicates and relies on private systems of standards and third party audits, albeit with modifications. This article argues that public and private actors develop food safety regulations within multiple types of institutional venues, including private standards regimes, courts, congresses, and government regulatory agencies. It examines how interactions within each of these venues are shaped by stakeholders’ interests, and how the relevant subset of interactions within these venues ultimately shaped the FSMA. The article concludes by offering insights into what consequences these interactions and outcomes may have on the roles and capacities of affected stakeholders in food safety governance.


2011 ◽  
Vol 21 (1) ◽  
pp. 18-22
Author(s):  
Rosemary Griffin

National legislation is in place to facilitate reform of the United States health care industry. The Health Care Information Technology and Clinical Health Act (HITECH) offers financial incentives to hospitals, physicians, and individual providers to establish an electronic health record that ultimately will link with the health information technology of other health care systems and providers. The information collected will facilitate patient safety, promote best practice, and track health trends such as smoking and childhood obesity.


2012 ◽  
Vol 43 (4) ◽  
pp. 232-242 ◽  
Author(s):  
Phia S. Salter ◽  
Glenn Adams

Inspired by “Mother or Wife” African dilemma tales, the present research utilizes a cultural psychology perspective to explore the dynamic, mutual constitution of personal relationship tendencies and cultural-ecological affordances for neoliberal subjectivity and abstracted independence. We administered a resource allocation task in Ghana and the United States to assess the prioritization of conjugal/nuclear relationships over consanguine/kin relationships along three dimensions of sociocultural variation: nation (American and Ghanaian), residence (urban and rural), and church membership (Pentecostal Charismatic and Traditional Western Mission). Results show that tendencies to prioritize nuclear over kin relationships – especially spouses over parents – were greater among participants in the first compared to the second of each pair. Discussion considers issues for a cultural psychology of cultural dynamics.


2020 ◽  
Vol 4 (1) ◽  
pp. 1-13
Author(s):  
Miriam R. Aczel ◽  
Karen E. Makuch

This case study analyzes the potential impacts of weakening the National Park Service’s (NPS) “9B Regulations” enacted in 1978, which established a federal regulatory framework governing hydrocarbon rights and extraction to protect natural resources within the parks. We focus on potential risks to national parklands resulting from Executive Orders 13771—Reducing Regulation and Controlling Regulatory Costs [1]—and 13783—Promoting Energy Independence and Economic Growth [2]—and subsequent recent revisions and further deregulation. To establish context, we briefly overview the history of the United States NPS and other relevant federal agencies’ roles and responsibilities in protecting federal lands that have been set aside due to their value as areas of natural beauty or historical or cultural significance [3]. We present a case study of Theodore Roosevelt National Park (TRNP) situated within the Bakken Shale Formation—a lucrative region of oil and gas deposits—to examine potential impacts if areas of TRNP, particularly areas designated as “wilderness,” are opened to resource extraction, or if the development in other areas of the Bakken near or adjacent to the park’s boundaries expands [4]. We have chosen TRNP because of its biodiversity and rich environmental resources and location in the hydrocarbon-rich Bakken Shale. We discuss where federal agencies’ responsibility for the protection of these lands for future generations and their responsibility for oversight of mineral and petroleum resources development by private contractors have the potential for conflict.


Author(s):  
Stephanie K. Pell

After the September 11 attacks, law enforcement's mission expanded to include, at times even prioritize, the general “prevention, deterrence and disruption” of terrorist attacks, which presumed a new emphasis upon threat detection and identification by analyzing patterns in larger, less specific bodies of information. Indeed, the unprecedented level of “third-party” possession of information inevitably makes the private sector the most reliable and comprehensive source of information available to law enforcement and intelligence agencies alike. This chapter explores the potential applications of systematic government access to data held by third-party private-sector intermediaries that would not be considered public information sources but, rather, data generated based on the role these intermediaries play in facilitating economic and business transactions (including personal business, such as buying groceries or staying at a hotel on vacation).


Author(s):  
Jan Abel Olsen

This chapter considers two different ways of organizing revenue collection in statutory healthcare schemes: social health insurance and taxation. The two models are commonly referred to as ‘Bismarck vs Beveridge’ after the men associated with the origin of these systems: the first German chancellor Otto von Bismarck (1815–1898), and the British economist Lord William Beveridge (1879–1963). The differences between these two compulsory prepayment schemes are discussed and compared with private health insurance. Based on a simple diagram introduced by the World Health Organization, three dimensions of coverage are illustrated. Some policy dilemmas are highlighted when attempting to achieve universal health coverage. Finally, various combinations of public and private prepayment schemes are discussed.


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