Public choice theory: a neoliberal approach?

Abstract

Public choice theory is an interdisciplinary research programme where a method developed mainly within economics (methodological individualism) has been applied to an object usually analysed within political science and political sociology (interest groups, political parties, electoral systems, bureaucracy, parliamentary decision-making and constitutional analysis). Public choice developed the analysis of «government failures» in opposition to the welfare economics approach to «market failures» and therefore was somehow used by neo-liberal scholars. The central aim of this paper is to clarify the interest of this research programme which is not well known in Portugal although it has an increasing importance. We argue that the neo-liberal approach to public choice (or any other ideological approach) is short-sighted and misleading. The analysis of «government failure» and decision making within democratic regimes does not support necessarily less government but instead better government.