The Logic of Perverse Incentives: Explaining the Persistence of Machine Politics in Argentina

2013 ◽  
Author(s):  
Mariela Szwarcberg
2018 ◽  
Vol 35 (02) ◽  
pp. 221-241
Author(s):  
Daniel M. Weinstock

Abstract:In this essay I argue that adversarial institutional systems, such as multi-party democracy, present a distinctive risk of institutional corruption, one that is particularly difficult to counteract. Institutional corruption often results not from individual malfeasance, but from perverse incentives that make it the case that agents within an institutional framework have rival institutional interests that risk pitting individual advantage against the functioning of the institution in question. Sometimes, these perverse incentives are only contingently related to the central animating logic of an institution. In these cases, immunizing institutions from the risk of corruption is not a theoretically difficult exercise. In other cases, institutions generate perverse or rival incentives in virtue of some central feature of the institution’s design, one that is also responsible for some of the institution’s more positive traits. In multi-party democratic systems, partisanship risks giving rise to too close an identification of the partisan’s interest with that of the party, to the detriment of the democratic system as a whole. But partisanship is also necessary to the functioning of such a system. Creating bulwarks that allow the positive aspects of partisanship to manifest themselves, while offsetting the aspects of partisanship through which individual advantage of democratic agents is linked too closely to party success, is a central task for the theory and practice of the institutional design of democracy.


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