6—Policy Diffusion Flashcards
How do policies spread?
From a jurisdiction level, the pioneering policy stimulates through learning, emulation or competition actors in a potential follower jurisdiction which, in turn, stimulates a follower policy in another jurisdiction
What are the diffusion mechanisms?
- Learning: policies are a source of information
- Adjustment/competition: followers’ policies adapt the pioneer’s provision according to their cost/benefit analysis
- Emulation: pioneer’s policy is implemented with the fewest changes. It draws from the perception of appropriateness and fairness of the pioneer’s policy. It happens when the pioneer’s policy is perceived as appropriate and fair.
What are the factors shaping the diffusion mechanisms?
- Politics (political dynamics)
- Institutions: adjustments are needed because of different institutional architectures
- Policy problem perception: e.g. whether a policy is perceived as environmental or health-related significantly affects its outcome
Which underlining logic distinguishes learning and emulation?
Emulation is based on the logic of appropriateness, while learning is based on a rational logic
What is a race to the top?
When countries are interdependent, in some cases, they strive to prepare their domestic companies for accessing other markets with higher environmental standards or, since other markets have higher standards, they don’t fear losing competitiveness. In those cases, countries can engage in upward regulatory competition by increasing their environmental standards.
When does a race to the top unfold?
- Countries have different regulatory standards.
- They are interdependent because of their trade relationships.
- The countries’ companies want (retain) access to foreign markets with higher environmental standards.
- Countriesraise their (environmental) regulatory standardsin order to be able to sell products in attractive markets.
What is a race to the bottom?
- A race to the bottom is a dynamic which occurs when countries lower their regulatory standards to make their companies more competitive. The final result is a situation where every player is lowering their standards to the point they cannot be lowered anymore.
- The requirements for a race to the bottom to unfold are the same as the race to the top except for the fourth point, where countries lower instead of raising their regulatory standards to be able to sell products in attractive markets.
[Reflection]
What factors can explain whether a race to the top or a race to the bottom unfolds? Think about different kinds of environmental policy, different sectors and different country characteristics
- Certain rich markets, such as the EU, do not permit lower regulatory standards under a certain level
- If industries, out of efficiency consideration, find it more convenient to adopt developed countries’ environmental regulations on all or their product. In that case, they would advocate policy change in other jurisdictions to level the playing field
- Whether lowering environmental regulations in developing countries would result in worsened international (economic) relations
- Whether societal actors are free to manifest and foster better environmental regulations in their countries
[Reflection]
Can you think of an example of a policy that diffused from one to many countries?
China, Japan, South Corea and some US states (including California) are adopting similar policies and regulations to what the EU did in terms of chemicals and e-waste with the WEEE, REACH and RoHS directives
[Reflection]
How can a race to the bottom in environmental policy be prevented?
- Improving the perception of fairness and equity in environmental agreements
- Setting high standards in rich markets, such as the EU, that cannot be lowered, will logically result in a race to the top, where firms advocate to level the playing field
