America’s alphabet soup

THE BUREAUCRACY

McDonald’s vs. DMVRules of Operation

Workers

Goals (measuring those goals)

Acquiring and Using the Factors of ProductionExternal vs. Internal factors

The Weberian Model of Bureaucracy The five characteristics of bureaucracy.

Division of laborHierarchy-pyramidFormal rulesMaintenance of files

and records-Freedom of InformationAct (1974)ProfessionalizationGoals-promote the “public good”, but how is

that measured? This causes many people to believe the bureaucracy is wasteful.

Benefits

Hierarchy: can speed action by reducing conflicts over decisions

Specialization: promote efficiency because workers focus on one job (become skill)

Formal rules: workers act with speed and precision because decisions based on rules

They are large unwieldy organization that can create endless paperwork and delays (red tape)

Bureaucrats are unelected public-policy makers

Bureaucracies are expensive and sometimes uncontrollable

Cost vs. Benefits

Costs

Neutral CompetenceThe idea of neutral competence

• Despite stereotypes, most government employees work efficiently and inexpensively.

• Roughly 2.9 million people work for the government bureaucracy-2nd to Wal-Mart

• The bureaucracy is largely staffed by people hired for their skills, not their political leanings.

The Merit System The spoils system

Assassination of GarfieldThe Pendleton Actmerit system and

the civil service

Functions of BureaucracyPolicy ImplementationMaking Policy-delegated legislative

authority because what Congress passes is to vague to be effective

Regulation-establish standards and impose restrictions on violations of those standards

Collecting Data and Doing ResearchProvide Continuity-elected officials come

and go, bureaucrats never leave which provides for continuity and professionalization

Organization of the U.S. Government

No government ever voluntarily reduces itself in size. Government programs, once launched, never disappear. Actually, a government bureau is the nearest thing to eternal life we’ll ever see on this earth! Ronald Reagan, 1964

The Structure of American Bureaucracies

The Executive Office of the President (President’s closest advisors)

White House Staff (the “nerve center”)Cabinet Departments-directly responsible to

President, but also responsible to their department

Independent Agencies-not part of Cabinet, report to President, perform specialized functions (NASA, CIA, EPA); or they regulate the economy and protect the public (FED, SEC, FCC)

Government Corporations-work off its profits, not funded by Congress (Post Office, TVA, FDIC, AMTRAK)

Other Bureaus

Privatization-Advantages and Disadvantages

AdvantagesLess red tape and

bureaucracyMore competitionCan obtain special

skillsImprove service

qualityIdeology-less

government is better

More choices for people (school vouchers)

DisadvantagesIncentives to reduce

qualityReduced access to

service for the disadvantaged

Resulting cost savings directed away from taxpayer