Why the concern with

Governance now?

Global Perspective
 Background

• In 90s UN, IMF & WB initiated large-

scale campaign promoting ‘good
governance,
• Economic and Social Research Council
(ESRC) launched extensive on Local
Governance
• EU focused research based on
Governance Theory; local, regional,
national and transnational
• Governance through Public-Private
 Is it a conscious change?

• Not a changing fad among the social

scientists
• Rather a reflection of the changing
condition of the states;
• State politics
• Changing values and norms of the
society
• States exchange with changing
environment; political, climate, trade
• Emerging Civil Society
 And the reasons are………

• Financial Crisis of the state

• The ideological shift towards the
market
• Globalization
• Failure of the state
• Emergence of new public management
• Social change and increasing
complexities
• New sources of governance
 Financial Crisis of the State

• The decline in the state capabilities

especially in its financial resources during
80s and 90s
• During 60s the economic condition of the
western states was better than that of 80s
& 90s
• In 60s, Western European govts have
stable economic growth.
• But in the late 70s even British had to
come to a negotiation with IMF
• In 90s states were accumulating deficit
budget and increasing debts.
• Growth rate slowed down
• Debt for Education or Defense
• Degrading value of money (Japan in
90s)
• Emergence of private sector
 The Ideological shifts towards
market
• Shifts from Collectivism towards
individualism
• Socialism, Welfare state to
capitalism
• States role to market
• Nationalization to denationalization
 Globalization
• It is a catchword for all types of
international imposition on national
sovereignty, be they political or
economic, bilateral or multilateral,
• Driven by the market itself.
• Private investment accumulated
• Re-shuffling of the Tax
 Failure of the State

• The states somehow had failed to live up

to the expectations put upon it.
• From users point of view
• Party’s promise to tax cuts.
• Increasing unemployment
• Inability to handle oversized bureaucracy
• Increasing dependence on private sector
• Internal problem and emergence of
terrorists
 New Public Management
• A managerial revolution in public service
production and delivery
• Market based reform of the public service
• Counter to the conventional bureaucracy
• Forget the organized culture
• It will be run the same way private
organizations do.
• Hire if lack of internal expertise
• Fire if assignee is proved unproductive
• Emphasis on performance and evaluation
 Social Change and increasing
complexities
• Enhanced Participation
• Gender Issues
• Environmental Protection
• These are very complex things
especially the first two; dealing with
the transformation of values,
culture, social structure in some
countries
 New Sources of Governance

• UN, EU, WTO, IMF are the

developments in the post world war
period.
• Have propelled social scientists to look
more conceptually at how regional and
international institutions relate to
states.
• Much of this analysis is cast in terms of
governance, or multi-level governance