The Economic Foundations of Government [Paperback]

Government is analysed as the product of exchange among individuals who differ in their bargaining power. This approach shows why individuals agree to political institutions that give their governments extensive power, and why even the most powerful government benefits from constitutional rules constraining the government's power. This foundation is used to examine a wide range of government activities, including its protection of rights, its military activities, and democratic political institutions.Preface - Introduction - The Economic Theory of Rights - Governments and Constitutions - A Model of Rights and Government - Distinction between Clubs and Governments - Government as Monopolist - Institutions and Exchange - Constitutional Evolution - Competition in Politics - The Concept of Agreement - Positive and Normative Theories of Government - Political Ethics and Public Policy - Conclusion - Index