Policy Theory: Decision-Making Models
O
Oiyo Contributor
Chapter 5: Policy Theory: Decision-Making Models
How does the government make the best choices with limited resources? Policy decision-making models are broadly divided into two paths based on how they view ‘human rationality’.
1. Individual Decision-Making Models
(1) Rational Model
- Assumption: Humans possess perfect rationality and can analyze all alternatives.
- Characteristic: Pursuit of ‘Optimization’. Economic perspective.
(2) Satisficing Model - Simon
- Assumption: Human rationality is bounded (Bounded Rationality).
- Characteristic: Selection of an alternative that is ‘enough’ (satisfactory), rather than optimal. Psychological perspective.
(3) Incremental Model - Lindblom
- Assumption: Drastic change is realistically impossible due to political resistance.
- Characteristic: Making small changes to existing policies. Emphasizes political compromise and adjustment. Conservative in nature.
2. Group/Organizational Decision-Making Models
| Model | Characteristic | Note |
|---|---|---|
| Mixed-Scanning | Fundamental Decision (Rational) + Detailed Decision (Incremental) | Proposed by Amitai Etzioni |
| Optimal Model | Introduction of ‘Extra-rationality’ (Intuition, Inspiration) | Proposed by Yehezkel Dror |
| Organizational Process | The organization keeps conflicts at a ‘semi-resolved’ state | Uses SOPs (Standard Operating Procedures) |
| Garbage Can | Decisions made by chance under high uncertainty | Cohen, March, Olsen |
3. Four Elements of the Garbage Can Model
Decisions occur when these four elements meet by chance in a ‘garbage can’.
- Problems
- Solutions
- Participants
- Choice Opportunities
Kingdon’s Policy Window Model Expanding the Garbage Can model, John Kingdon explains that a ‘Policy Window’ opens when three streams—Problem Stream, Politics Stream, and Policy Stream—converge.
Key Checklist
- Which model argues that humans choose a level that is “good enough” due to bounded rationality? (Answer: Satisficing Model)
- What conservative decision model usually appears in pluralistic democratic nations? (Answer: Incremental Model)
- What are the three streams Kingdon identifies as necessary for a policy window to open? (Answer: Problem, Politics, and Policy streams)
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