Democracy And ' Good Governance ' Presents Its Own Problematic

AIPA 2: UNDERSTANDING ACTORS, INTERESTS & POWER Institutions  Basic level – states exist to provide (1) defence and (2) social order  this requires the presence of a functioning economy.  State not only produces, consumes and redistributes; it’s also the main source and enforcer of “rules of games”.  “Rules of games” are institutions  institutional quality is related to economic performance.  Evidence: No country has gotten rich with bad institutions. Politics  Politics is the process of creating new institutions. Existing institutions create a constraint on this process.  Political processes can be analysed in terms of Actors involved in the processes, their interests and their relative power (AIP).  Actors: Political,

I have evaluated Democratic failures in my posts and through my own research. I am well aware that the Democrats are influenced by corporations and affluent billionaires like George Soros. I am also cognizant of the Republican party being in bed with the Koch brothers, the big banks, financial institutions, and several others. I will remind you once again, the battle is not a horizontal one (i.e. left and right), but rather, a vertical one -- between rich and poor.

Recently, while killing time watching videos on Youtube I stumbled upon an eye opening video titled “Why Socrates hated Democracy “, uploaded by the channel “The School of Life”. The four minute video elaborated on Socrates’ skepticism of Democracy and his belief in its inefficacy in electing competent leaders. To sum up, he believed that the reason why Democracies faltered was because of the populace tasked with voting leaders into positions. Socrates believed that “voting in an election is a skill, rather than a random intuition”, to paraphrase the video. He further believed that in order to make an informed choice, this ‘skill’ would have to be taught to people just like any other subject.

The above study is quite relative to the question at hand. It looks intensely at the Financial Services Authority (FSA) in the UK as they look to move regulation from a rules based system to a more principles based one. The study also investigates the factors they believe necessary to make the implementation of this more principle based system

New financial regulations have been created and existing regulations have been revised in the aftermath of the financial crisis. The role of financial regulatory policy in the financial crisis is sometimes presented in a way that will help the economy improve. Deregulation was an approach that the economy was implementing towards to. According to Kroszner and Strahan in the reading about What Drives Deregulation?, in order to achieve a positive theory of regulatory change, it is crucial for an economy to characterize the regulatory process as one in which “well-organized groups use the power of the state to capture rents at the expense of more dispersed groups.” (Kroszner, Strahan Pp 1438) This suggested that the elimination of restrictions on bank branching will benefit the theories of regulatory change.

In regard to Natasha and Graham’s point, while oligarchies have potential flaws there are also a number of issues with the democratic system. For starters, true democracy is not well suited for government because it requires an entire nation to vote and run a country while maintaining their normal lives. As a result, America and many other countries are actually Republics or representative democracies. However, even these systems of government have many inherent flaws. For starters, for a democracy or even a representative democracy to work the voting electorate must be informed accurately. This proves to be impossible in real society due to the mass of issues and the trouble with biased media. For example, the United States today functions

The need for governance within the society cannot be downplayed, especially as it pertains to 21st century living. The structure of governments differs from country to country, which largely defines the economic edifice. For instance, Saich (2004) provides that the Maoist period in China articulated a central political and administrative system of government, whose result was a closed or centralized economy. Conversely, the current open economy of America or Australia is largely dependent on governance based on devolution. In many democratic nations, the government consists of a legislature, whose role is to make laws; an executive, whose role is to implement laws; and a judiciary, whose role is to interpret laws and settle disputes. According to The Marketing Education Research Center (2009), originally, governments were not intended to have a hand in business. However, a paradigm shift occurred, especially in the west, after the Great Depression, whereby governments realized the need to regulate economic and business activities.

Even though neoliberal policies are known to erode substantive democracy, they are considered to promote formal democracy. As such, the progression of the institutional systems has allowed a wider representation of the political spectrum that encourages participation and the growth of more transparent civil societies. However,

In this essay I will try to review the existing interrelationships between democracy and economic development and will

The bankers’ remuneration problem becomes a ‘populist’ issues especially during the financial crisis in 2007. It is said that one of the factors that contribute to the financial crisis and this is not the first time this point has been raised. General concern about the relationship between certain low corporate performance and high remuneration to executives in banks means there exists an imbalance between them (Andrew Clark, Tim Edmonds, 2015). With the Government investing public money in certain famous Banking Group, this problem has upgraded from a private sector concern to a significant political one (BBC News, 2008). However, this cannot blame on single body or organization. A lot of researchers have explored the problem of remuneration systems and how to improve the remuneration structure in the banks. This essay mainly uses agency theory, stakeholder theory, institutional theory, Transaction cost theory and other related theories to explain how the remuneration packages influence the bankers in short-term and long-term. Meanwhile, it also shows some problems of remuneration system in corporates especially in banks by analysing the recent literature. Finally, the essay gives certain relating recommendations to solve these problems according to a few policies such as UK corporate combined governance codes in 2003 and 2014 etc.

The fall of Lehman brothers was the beginning of what would be a long road to recovery, one that we are still on in fact, the financial crisis sparked fierce debates on how the banking sector was run. Many agreed that banks had become ‘too big to fail’ and that they took on risky investments without any thought about the impact this would have on the world economy, this is because they believed they would be bailed out by the government. The question that has been part of an endless drawn out discussion, ever since the beginning of the crash, is whether big banks should be broken up in to smaller more manageable sized institutions. It is something that divides people, there are many differing opinions on how to handle the current financial situation we are surrounded by. Within this essay, some of the key points of view from both sides of the argument will be put forward, analysing both sides will lead the essay to conclude with whether banks should be broken up.

Throughout history, the concept of politics has reduced through many centuries. Since the beginning of time the implementation of governance has been a recurring question. Globally, there are different ideologies and political systems that our citizens must follow. One major concept from the the ideology Neoliberalism is Globalization which impacts our society in ways that many do not see. Another ideology that affects our society is the concept of Capitalism. All aspects of Politics affects the role and nature of the state as we know it today.

The tension that exists between democratic governance and constitutionalism is present since the idea of a constitutional democracy can be interpreted as both an oxymoron and a tautology.

While not to discredit their value in comparative research, this analysis will not address the role that the individual or democratisation has in comparative research to any great depth. Similarly, it will not address any perceived erosions of the archetypal state through globalisation. Instead, this essay will focus solely on traditional theories of ‘the state’ and of ‘institutions’ as a comparative method.

Governance, as a concept, is as old as civilisation; growing and developing itself according to time and space. It is the process of decision making and the process by which decisions are implemented. Democracy is considered as one of the best forms of the government which ensures and promote the basic human values and rights such as justice, equality, liberty and fraternity. For Aristotle, freedom is the underlying principle of democracy and only in a democracy the citizens can have a share in freedom. There are two main aspects of freedom: (1) being ruled and ruling in turn, since everyone is equal according to number, not merit, and; (2) to be able to live as one pleases. Participation and control of governance by people is the essence of the democracy. Good governance has become the buzzword in our day to day affairs. In order to institutionalise participatory democracy and decentralise planning (GoI 2011), many countries have given adequate attention towards decentralising governance. Contemporary debates on decentralisation has resolved around three important issues; issues of historicity, expanding democratic spaces, and inclusive growth vis-a-vis to inclusive politics of socially neglected categories. Many developing countries witnessed the process of decentralisation, especially after 1980s, as part of policy prescription advocated by global agencies. Chile, Bolivia, Republic of Guinea Bissau, Mali, Niger etc countries, to name, are few among them.