Test 1 Flashcards
What is Theory
A simplifying statement to explain a complex problem
How does theory play into the scientific method
It is the first step in the scientific process
What makes some theories better than others
It can hold against a wide range of settings but also have precise implications. It has to have a way to measure itself and have causal mechanisms
What are causal mechanisms
A hypothesized cause that leads to a particular outcome. EX: the causal mechanism for opening a door is the turning of the knob and force put on the door.
What is the process that develops and tests theories
Scientific Method
What are the steps on the scientific method
- Begin with a theory
- Create a hypothesis
- Collect data
- Compare findings
What conditions are needed to establish causality
- independent variable comes before dependent in time
- the independent and dependent variable have to be positively or negatively correlated
- the dependent variable is not caused by a 3rd variable
Independent variable w/example
things we think are important in driving the outcome (dependent variable). Ex: twisting doorknob to open door
Dependent variable w/example
the factor or outcome we want to explain. EX: door opening
what is a normative statement
a statement that is what/how we think the world should work (opinionated)
what is an empirical statement
a statement based on observations or research
What is public management
the formal and informal processes of guiding human interaction to a certain outcome
what is public policy
the action or inaction of government with regards to a certain situation
what is a bureaucracy
a form of organization defined by complexity, division of labor, and hierarchical coordination
Advantages of Bureaucracy
- division of labor allows for task specialization
2.Hierarchy makes it clear who is in charge to make decisions - written rules and expectations are clear
- impersonality means everyone is treated the same
Disadvantages of bureaucracy
- division of labor can hurt morale (people will do the same thing everyday)
- Hierarchical structure can limit innovative ideas from front line workers
what was the progressive era for American bureaucracy
It was a time of political reform after the spoils system to defeat political corruption
what are the 2 sides of the political dichotomy
1.Political side
2. Administrative side
what are polyarchies
an economics system where government controls means of production and relies heavily on command and control
what are markets
an economic system where buyers and sellers participate voluntarily. prices are determined based on willingness to pay
what is tragedy of the commons w/example
people with access to a common pool resource will act in their own interest and deplete the resource. EX: overfishing
what is a free-rider w/example
when a person receives the benefit without participating. EX: Netflix
what are market failures
when a market doesn’t have the right incentives to make goods that are beneficial
major causes of market failures
externalities positive and negative
what are externalities
side effects when costs or benefits are not felt in the transaction
Positive externality example
education or learning a new skill
negative eternality example
pollution from a power plant
what is a public good w/example
a good that is available to all of society and cannot diminish if one person uses it. EX: national defense
what is public value
the value an organization provides in society
what is public failure w/example
when political institutions cause inefficiency through intervention. EX: federal government banning weed when most people want it legal
2 dimensions of publicness
- Economic authority
- political authority
what is economic authority
the extent to which an organization competes in the marketplace for revenues
what is political authority
the extent to which an organization is constrained by government rules and regulations
3 positions in public vs private organizations
- public orgs embody a set of values that are important to our political system
- public orgs are fundamentally less efficient and effective than private orgs
3.public and private are more similar than different
what is goal ambiguity
when there is a lack of clarity of what the organizations goals are
what is a civil service system
a system that employs people in the public sector that are not hired based on their political ideology and based on merit
why was the civil service reform needed
it eliminated the “spoils” system which gave people jobs if they voted for a certain person
how have no-profits helped social welfare and other services
they have advocated and lobbied the government on behalf of implementing them
what are the differences between non-profit and for-profit organizations
1.non-profit serve the collective interest
2. aren’t looking to enrich owners
3. often work together with other orgs
what are the 4 major categories of non-profits
- charities
- foundations
- social welfare orgs
- professional and trade orgs
what size are most non-profit orgs (size of budget)
small with a budget of 1 million or less
what is the top source of revenue for public charities
private fees
what are 501(c)3 orgs
normally they are charitable, religious, or educational orgs that are not operated for any private interests. Money given IS TAX DEDUCTABLE
what are 501(c)4 orgs
the same as 501(c)3 orgs but can engage in more lobbying and the money IS NOT TAX DEDUCTABLE
how could the 2017 tax reform have implications to charities
it shifted incentives for mostly the wealthier to give to charity and be given a deduction for it
how many Americans volunteer once a year. what type volunteer the most
25%. women aged 35-44
when can the government give money to faith based orgs
when it is strictly going to their social service activities
what are school vouchers
a government funded voucher redeemable at another school that takes away the tuition and fees
what is privatization
when government outsources public services to private organizations
Benefits to privatization
lowers the cost and improves quality of good
downside to privatization
- could be a lack of competition for the contracts
- contracts require heavy oversight
what does the term “hollow state” mean
when government contracts all of the goods and services out and just fund them
what is a complete contract
these exist where actors are perfectly rational and have all information known
what are incomplete contracts
where there are gaps and uncertainties in contracts
what is opportunistic behavior w/example
unanticipated non-fulfillment of a contract. EX: prison states they will feed inmates 3 times a day but doesn’t specify the quality of the food
what is a transaction cost
costs associated with making a trade or exchange
3 types of transaction costs
- information costs (time spent)
2.bargaining and contracting costs
3.enforcement and regulation costs
what makes transaction costs low
1.number of sellers is high making it easy to know the market price
2. little uncertainty about the future
3. easily transferrable assets
what isa wicked problem w/example
a social problem that is hard to solve because of how interconnected it is. EX: fixing poverty
what is collaboration
any joint activity including 2 or more orgs
what is networking
structures of Interdependence that include multiple organizations that are more equal to each other than a hierarchical arrangement
how does managing a network differ from a single organization
there is more acting as a mediator than giving straight orders
4 major networking activities managers use
- activation
- framing
- mobilizing
- synthesizing
what are the benefits of networking
- make things more efficient
- protect easier against external shocks
costs of networking
- time could be spent in the business rather than networking
2.decision making process could be slow since there are multiple actors
what is coproduction
an active long term relationship between public employees and regular people that provide public goods
benefits of coproduction
enhances the legitimacy of the public org because people feel incentive to help out