Policy dissemination: observing the policy response in peer jurisdictions helps a politician to make the right choice |
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Beliefs update – actions of another policy maker indicate which signal that policy
maker received
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Cost reduction – both technological and political costs of implementing a strict policy are lowered for the politician after it is implemented in another jurisdiction |
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Arrival of additional information that either repeats or strengthens the original signal |
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If the same signal is repeated again, a politician has another chance to receive it
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If a new, stronger signal is sent, the chance that the politician will receive it is higher than in the previous period with a weaker signal |
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Likely negative factors due to policy redundancies |
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Implementation inefficiencies |
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- due to replicating efforts within jurisdictions |
- due to outbidding for resources |
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Enforcement inefficiencies |
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- due to inter-jurisdictional policy discrepancies |
- due to ‘arbitrage’ opportunities for economic agents |
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Suboptimal policy design in local jurisdictions due to their resource limitations |
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Policy inconsistency and ambiguities if policy-makers at different levels articulate conflicting approaches and implement contradictory enforcement |
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