PA tehories

1. Public Administration Theories
of the Developed Western
Countries
By Prof. Dr. Maria BORDAS
National University of Public Service
Faculty of Public Governance and International Studies
Doctoral School of Public Administration
Public Administration Theories and Public Administration
Sciences
2020.

2. Definition of Public Administration
• Traditional Branches of State System:
- Legislation (Parliament)
- Execution (Public Administration: central
and governance)
- Iurisdiction

3. Public Administration in the Liberal
Democracy
• Liberal democracy:
- System of Checks and balances: controlling
authorities, such as supervision of legislation (
Supreme Court, Constitutional Court), public
finance (State Audit Office), constitutional rights
(Ombudsman), Prosecution against State
Corruption
- Opposition political parties in the Parliament (free
elections)
- Representative organizations (trade unions), non-
profit organizations (NGO-s), lobbies

4. Requirements for the Public
Administration
 When Public Administration can be operated
ideally?
 Efficient State – Good Governance:
- It is acting for commonweal
- It is using its capability fully
 Public Administration Theories and Sciences were
always subject to this issues: not just described it

5. Expectations for Public
Administration
Numberless principles and requirements:
principles of market, under the rules of law, law-
centralized, representation of the public interest,
freedom from political interference,
professionalism, accountability, predictability,
openness, accessibility, good organization of work,
positive work attitudes and flexible administration,
optimization of the decision-making process
Question: how to classify them – creating models
on scientific approach

6. Modernization of Public
Administration
 Principles and values : It depends on the particular
historical age
 Requirements: new needs in accordance with the
changes of the economic and social conditions
 Dilemma: they are in conflict with the long established
traditions
For example: constitutional rights (economic, political-
liberty, social) against the feudalism, rights of workers in
liberal-capitalism, state intervention to solve market
failures, liberal democracy and market-oriented economy
after the collapse of communist regimes

7. Public administration in the light of
good governance
 Government in the state system: head: (president, prime
minister, chancellor), cabinet, ministers, chancellory, office
of prime minister
Task: to prepare acts for the legislation, implements acts by
government decrees
 Public Administration as an executive public authority of
the government system: liberal democracy vs. autocracy: if
the role of Parliament is formal, it is the centre of political
power)
 Public Administration as a public authority that organizes
activities of public interest for public goals: providing public
services, economic governance, administrative legislation
and jurisdiction, law enforcement

8. Development of the 2 Models of
Public Administration 1.
 Nowdays:
"Fine Tune": competitiveness, optimal use of resources,
good resources management, cope with globalization,
security challenges (immigration, terrorism)
 Liberal-capitalism:
- European Weberian model: state under the rule of law, law-
centralized, hierachical, bureaucratic and legally-bound public
administration – against the feudal absolutism – legal
guarantees that the state will not intervene in the matters of
individuals
- American business and management based public
administration: (the more you apply business principles in the
public sector, the more efficient it will be), decentralized,
based on self-governance, management-oriented, legal
regulation is not important

9. Development of the 2 Models of
Public Administration 2.
 Monopoly capitalism:
Market failures: required strong state intervention, e.g. stability
of economy (no inflation, economic recession, unemployment),
market competition, public services, welfare,
 After the World War II:
- European welfare states: high level wealth (welfare
services, education, housing, emplyment) with high
redistribution
- US public administration: decentralized, self-care,
individualist, management-based, business view, market
principles, less state intervention (with few exceptions)

10. Development of the 2 Models of
Public Administration 3.
• Law centralized public administration (Europe):
- It is the right of the Parliament with the government to
determine public interest. (Majority is determining)
- Consultation: with the opposition parties, trade union,
representative organizations
• US:
- Checks and balances in the central government (President,
Congress: House of Representatives and Senate, Supreme
Court) 2 elections: Presidental and Conressional – no power
concentration
- Lobby-system: strictly regulated by laws, important guarantee
of democracy, supplement the 2 political parties: Democrats
and Republicans (business lobby is the most infuential)

11. Development of the 2 Models of
Public Administration 3.
1980s:
 United States:
Neo-liberal economic philosophy - New Public
Management
 Europe:
Neo Weberian model (infulenced by neoliberalism)
 After the global economic crisis in 2008 :
Strong centralized state – is it autocracy? Illiberal
state?

12. History of Public Administration in
Western Europe
1. Democratic traditions in the Ancient times
- Ancient Greek city states
- Ancient Roman Empire
2. Public administration in the feudal states
- The early feudalism – Italian city states
- Development of the towns: capitalist economic
relations
- The feudal absolutist state
3. The Weberian model in the capitalism
4. Development of the Neo-Weberian model since the
1980-s

13. Democracies of the Ancient Times
• State power is not centralized in one hand
• Political power is not based on religion, but
derived from the people
• Representation of the social classes
• Election is based on territory
• Division of the branches of power
• Checks and balances

14. Ancient Greek City-States (1)
Polis: greek city state (12th century B.C.)
 Special geographical environments (plain surrounded by
mountains)
 Administrative unit: surrounded by walls, acropolis,
villages, lands
 Places of the sanctuaries
 Close, autonomous communities (1000 – 100.000
inhabitants)
 Military defence: based on the allience of the city states
 It remains untouched during the rule of conquerors
Background: economically strengthened traders and crafts –
sharing political power

15. Ancient Greek City-States (2)
Athen: openess, freedom of the individuals, culture, arts
- Representation of the social classes: peoples’ meeting
- Political parties
- Council of the Five Hundreds: public administration
- Election system based on territory (50 phules)
- „Shard-voting” and public charge: against the
autocracy
- Peoples’ Court (elected) modern principles of criminal
law and criminal procedures
- Public servants: openly elected

16. Ancient Greek City-States
• Sparta:
- Monarchy, but developed checks and balances
- Constitution
- No centers
- Military administration
- Political ands social equality
- Strict ethic rules
- Giving lands to the peasants
- Underdeveloped trade and craft

17. Republic of the Ancient Roman
Empire
• Refined democratic institutions
• Failure of democracy from the B.C. 47 (empire)
• Developed public administration: public services, budget,
tax collection, financial laws, public safety and public order
(fire management and police) road building, water supply,
canalization, economic administration (wages, prices)
postal services, „Circus and Bread”: organizing circus
games, giving free corn to the people
• Military: administration of the huge empire
Failure of the Roman Society: the economy cannot finance the
huge public administration, aristocrats do not pay tax,
underdeveloped trade, agriculture and craft (mode of
production did not develop)

18. Industrial Development
in Western Europe
• Geographical discoveries: (from the 14th century)
mineral resources - accumulation of capital
• Manufactures: development of textile industry
• Netherlands: stock exchange, commercial banks
• England - central bank: issue of banknotes, regulation
of financial market
• Industrial factories: technical develpoment – steam
engine
• Agricultural large estates: modernized – abolition of
serfdom – confiscation of the lands of the farmers –
„free” workers

19. Towns in the Feudal State
Developed from the 10th century: (in Italy - city states: Venice,
Milan, Florence: tradition of democracy in the state system)
 Centres of the trade and craft (origin of the bourgeois class)
 Privileges form the monarch (tax allowances, having market,
collect fees for the roads, bridges, entering to the market)
 Own authority system: legislaton, administration, jurisdiction
 Guilds: having monopolies – prices, quality requirements,
entry limitation to the market, right to regulate
 Independent from the feudal large estates

20. Development of the Capitalist
Economic Relations
• Elimination of the system of the feudal land
ownersip:
- Serfdom: obligatory services for the landlord and
prohibition of movement – small own estates,
but taxation to the landlord, the monarch and the
church
- Land ownership limitations: obligatory
inheritence order, exclusion of will – hinders to
get credit
- Agriculture: monopoly of the land owner
arisrocracy, others cannot pursure business here

21. The Feudal State (1)
 Early feudalism: (5th – 10th century)
- Weak central government
- The monarch’s power was based on his monopolies (mining,
trade, use of roads, bridges, market) and the income of his
estates – „regalies”
- State system: based on the seigniorial hierachy „feudal chain”
 Middle feudalism:
- Feudal monarchy: owners of the feudal large estates, nobles,
bourgeois class demands political power
- Sharing power: parliament and the monarch
- Centralized state: all the classes are interested in it (riots of
the serfs, wars)

22. The Feudal State (2)
 Feudal absolutism:
- The monarch centralized his power
- The parliament had just a formal role
- Public administration and the jurisdiction were controlled
by the monarch – „police state”
 Enlightened feudal absolutism: (Central and Eastern
Europe – late development)
- Reforms: economic policy to support domestic economy,
ebolition of serfdom, proportional sharing of taxation
- Weak bourgeois class: no bourgeois democratic revolution,
or was suppressed
- Absolutism in the state system

23. Ideological background of the
Capitalism
 Enlightenment: rationality, social equality, justice, freedom
(17th century)
 Reformation: freedom of religion – separation of the state and
the church - secularization – (16th century)
 Bourgeois democratic revolutions: (the economically
strenghtened bourgeois class demanded political power)
Neatherlands: 16th century, England: 17the century, France:
18th century, Prussia, Austria, Italy: 19th century, Russia: 20the
century
500 years in Europe: development of capitalism and the modern
state

24. The Bourgeois Democratic State
Aim of the bourgeois democratic revolutions:
• Prevention of the power concentration and state
intervention - against the feudal absolutism –
predictable public administration
• Establsihment of the capitalist economic order –
elimination of the feudal economic and legal
limitations (feudal property and guild-system)
Tools:
• Improvement of public law: constitution and public
administration under the rule of law
• Principles: sovereingty of people, constitutionalism,
state under the rule of law, divison of power,
political-liberty rights

25. Public Law Character of the
Bourgeois State
Duality of Public and Private Law:
- Public administraion can act only if it is entitled by
laws – hierarchy of the laws
- Individuals and civil organizations can do anything
that is not prohibited by laws: respect of autonomy
Dominance of public law:
- Constitution: determines principles for the legislation
– limitation of the state intervention
- Public administration: only on the basis of acts and in
thier framework – under public law

26. Features of the Liberal State Under
the Rule of Law
 Sovereignty of people: (earlier: state sovereignty
– parliamentary sovereignty) parliament is the
representative of the people and the source of
the political power
Relevance: against the absolutism
 Constitutionalism: constitutional principles about
the state system, the economic order, the
political and liberty rights, the rights of the
enterpreneurs (later social rights)
Relevance: the actions of the state cannot violate it

27. Principles of the Liberal State Under
the Rule of Law
 State Under the Rule of Law:
- Acts passed by the Parliament regulates the basic
social-economic relations
- Public administration can act only in the framework
of the acts
 Division of the power:
- Legislation, public administration and jurisdiction are
separeted
- Public administration: under the legislation
- Jurisdiction: independent, but just apply laws, not
equal

28. Constitutional Rights of the
Individuals and Entrepreneurs (1)
 Political and liberty rights of the individuals:
legal equality, freedom of individuals, freedom
of religions, freedom of thought, right of
public meeting and assembly, regulation of
the crimes and the crimimal procedure by
acts, right to fair legal procedure, equality
before the acts, right to human dignity
Aim: protection of the autonomy of the
individuals and the enterpreneurs

29. Constitutional Rights of the
Individuals and Entrepreneurs (2)
Economic rights:
- Freedom of market and undertaking
- Right to ownership
- Right to contract
- Proportionate sharing of taxation
- Ecomonic legal equality
Practice of the constitutional rights: it can be
limitated by the legislation in necessary and
proportional extent (interpretation of constitutional
court)

30. Constitutional Rights of the
Individuals (3)
 Social rights: (second generation constitutional rights)
as a result of the fight of the trade unions
- Based on solidarity (powerty is not the fault of the
individual, but is related to economic failures and social
inequality)
- The state shoulders the wealth of the individuals
- Social rights in the constitution: obligates the
government to establish social system (state budget-
based or social insurance based)
- Social rights: social allowances for the disabled, health
care, shelter, unemployment allowances, pension,
education, culture, etc.

31. Features of the Weberian Model
• Centralized and legally-bound public administration
• Based on the hierarchy of the laws
• Refined legal regulation and legal theories (later
overregulated)
• Duality of public law and private law
Aim:
- Repsect the autonomy of the individuals and the
enterpereneurs (later having a purpose in itself)
- State under the rule of law and predictibility

32. Constitutional State
Under the Rule of Law (1)
 Problems of the division of power:
- Political parties having 2/3 majority in the parliament
dominate in the legislation
- Control public administration in the way of forming
the government: politically interwoven
- Jurisdiction applies laws, but not a political
counterbalance and independent
- Predomination of the government against the
legislation: and regulation by decrees

33. Constitutional State
Under the Rule of Law (2)
 Principle of checks and balances:
Aim: limitation of the power of the government and the
legislation
Tools: controlling public authorities
- Constitutional court: annuls laws, if violates the
provisions of the constitution
- Ombudsman: if constitutional rights of the individuals
are violated in concrete cases
- State Audit Office: controls the management of state
property and the the use of public money
- Media and civil organizations: power of the publicity

34. Crisis of the Liberal State Under the
Rule of Law – the Intervining State
 Public interest:
- Liberal state under the rule of law: the parliament and the
public administration act for the public interest
- In the practical reality: several interests of the social groups –
public authority in the hand of the government
 Tasks of public administration widened: (earlier just the
supervision of the „rules of the games” and the assurance of
the public order and public safety)
- Provident, servicing, regulatory state (economic anomalies,
poverty, need for infrastructure)
- The effort to make legal regulation more and more perfect
hinders solving the problems of public interest

35. Features of the American public
administration
Not the European-type public administration developed:
- Settlers in the colonies: farms, sporadic settlements, small
towns
- Ethics: Protestant puritanism – community ideas – hard work
- Law: based on the decision of the citizens, not by the central
public authority – regulates the comunity relations
- Codex: governance, public servants, elections, jurisdictions,
business life, e.g. road building, transport, fishing, trade,
storing, prices, wages, land register, etc.
- Public administration: decentralized and self-organizing

36. The American state system
 Constitution: state system, division of the
branches of power, scope of the member states,
political and liberty rights, amendment of the
constitution
 Institutions to prevent the power concentration:
- Legislation (Senat and House of Representatives)
- Public administration (president): elected
separately – not interwoved with the Congress
politically
- Decentralized public administration: autonomy of
the member states and the local governments

37. System of Checks and Balances (1)
• Function: every branch of power has the right
to control the others
• Congress: (Senate, House of Representatives):
can vote against the veto of the president and
to bring a charge (impeachment)
• President: right to propose an act and veto
against the acts, appoints the members of the
Supreme Courts

38. System of Checks and Balances (2)
Supreme Court:
- Court of appeal
- Supervises the administration (impeachment
against the president)
- Interprets, supervises and annuls the federal laws
and tha laws of the member states
The constitution does not regulate it: just
„guardian”
Dispute: sufficient rights are required to it – does
not change the balance of the branches of power

39. Principles of the
American state system
 1791. Bill of Rights: (supplement of the constitution)
- Political and liberty rights: freedom of thoughts and
press, right of public meeting and assembly, freedom
of religion
- Special rights: right to weapons, prohibition of house
search and confiscation
Ideas of the enlightenment: sovereingty of people,
freedom, legal equality
 1865. (supplement of the constitution): abolition of
the slavery, prohibition of the racial discrimination
Liberal democracy: the most typical and perfect

40. The American Economic Liberalism
• Economic liberalism - economic efficiency: - special ways
- Colonial independence
- Abolition of the slavery (civil war in the middle of the 19the
century)
Industrial great power – spectacular economic development:
- New forms of transport: railway, roads, bridges, canals,
steamship
- New markets for the farmers
- Wealth in natural resources
- Unlimited lands for the agriculture: technically modernized
farms

41. Questions of the economic
intervention
 Right for the government to intervine: basically
prohibited – it is against the public interest
- Beginning of the 20th century: economic recession
and crisis, high unemployment, collapse of the
financial market
- Expectation for the government intervention:
Supreme Court: the government is allowed to
regulate the economy, if it is needed in a sector of
the economy

42. Fields of
Government Intervention
 Central bank: stability of the financial market
 Regulation of economic activities if public
interest requires: railway, roads, restaurants,
storehouses, prices, wages, quality
requirements, state support (land, tax
allowances)
 Anti-trust law (Sherman): against monopolies
(competititon law)

43. Tools of
Government Intervention
 Prior events of the New Deal:
- Senate and Supreme Court do not support
- Roosevelt: appointed new judges loyal to him to the
Supreme Court
 Its economic policy: (fiscal policy: increase of the
demand)
- Social and employment programs (increase incomes)
- Taxes are imposed to wealthier classes
- Regulation of the financial market
- Stimulating private investments – government
investments

44. Economic liberalism
• Individualism: equality of the possibilities – everybody is
responsible for his or her wealth – poverty: failure of the
individual and moral deficiency
• Social rights: not regulated in the US Constitution – no
government responsibility
Relevance of the New Deal:
- Public interest – not the interest of the business sphere
- Managed the economic crises, started up economic
development
- 2nd World War: military industry, technical develpoment
From 1970-s: economic development slowed down (oil crisis,
Vietnam war)

45. The Neoliberal Economic Policy
Ideology:
- „More market and less state” – the state has to withdraw
fro those areas, that can be opetarted by market
mechanisms more efficiently
- Welfare: high taxes - hinders economic development
(occasional social and employment programs by the
democrats, no government responsibility for the welfare)
- Emphasize efficiency of public administration
Background:
- Business opportunities for the business sphere in the public
sector
- The middle class did not want to finance the lower classes
(people of ghettos)

46. Traditions of the
American Public Administration(1)
• Management-based:
- Operation of the public administration is similar
to the business enterprises (except: politically
determined)
- The more you apply business and management
principles in the public administration, the more
efficient it will be.
- Efficiency: if a service or state-activity can be put
under market mechanisms, it is unefficient if
government provides it – market prices – no free
or low prices

47. Traditions of the
American Public Administration(2)
• Public interest:
- Several social and economic groups
- Lobby-system: important supplement of the
political parties - democratic or not?
- Mapping the several interest of the social and
economic groups – selection
- Public policy making: based on management
principles

48. Traditions of the
American Public Administration(3)
• Implementing public tasks:
- Not by legal means, but management methods
- Administrative law has less importance
- Emphasis on „how to manage”.
- No duality of public law and private law
- Government intervention in the economy only in
the field of regulation of economic activities:
costumer protection, quality requirements,
financial market, competition supervision

49. Traditions of the
American Public Administration(4)
 Providing public services:
Infrastructural public services:
- Private ownership (state subsidy)
- Natural monopolies
- Price regulation and customer protection by public utility
commissions
Welfare services:
- No government responsibilty – no welfare institution system
- Business principles – competitition - market prices - balanced
supply and demand – importance of customer choice

50. The Chicago School
• Monetary economic policy: only the supervision
of the financial market – stability
• Fiscal policy: inefficient – governments are
corrupt or uncapable – cannot adapt to the quick
economic changes
• Market mechanisms in the public sector: the
market is more efficient than the government
intervention – public interest
• Results: more efficient public administration –
less taxes, better quality and client-oriented
public services, extended customer choice

51. The New Public Management (1)
• Infrastructural public sector:
- Dissolving entry limitations
- Establishing market competition
- No need for the regulatory bodies
Background: business sphere – new market –
lobbying activities
Fields: telecommunication, energy supply, transport
Exception: railway (state-owned)

52. The New Public Management (2)
 Local public services:
- Infrastructural: park and road maintanence, garbage
collection, public light, etc.
Privatization: inviting tender – the best quality and the
lowest price – operation on the basis of contract
 Welfare services:
- Vouchers: privatization – only market price –
reasonable consumption
- Government withdrawal: business firms are
encouraged in this way
 Health Care: business-based with some exception

53. The New Public Management (3)
• Activities of the government:
- Cafeteria, canteen, laundry, security services,
cleaning, etc.
Privatization: contracting out
- Government investment
PPP (Public Private Partnership) – special contract
- Main activities of public authorities, e. g.
legislation, prisons, tax collection, admnistrative
jurisdiction – contracted out

54. The New Public Management (4)
• Application of management means:
- Public leadership: means of business sphere, e.g. no
hiearchy, communication, satisfaction of the public
servants, good environment for the work, competition,
incentive means
- Public policy making: definition of public goals, more
alternatives, implementation, evaluation, based on
more sciences (statustics, economics, sociology,
political sciences, etc.)
- Management technics: client oriented services, cost-
effectiveness, task-oriented budget, satisfaction of the
consumers

55. Development of the Neo-Weberian
Model in Western Europe
Influence of the US neoliberal economic policy in Europe:
 Welfare services: can not be more expensive – against
solidarity (for nonprofits – professionalism, no profit – low
prices)
 State property: not necessarily in low efficient – profit-
motivation is against public interest – emphasis on
competition since the 1990-s
 Customer choice: not in every service – government has to
assure
 Management and business issues: public policy, human
resources management, PPP, contracting out
 Deregulation: simplify and rationalize the owerwhelming legal
regulations over the economy, e.g. administrative burden

56. New requirements
 Competiveness
 Adaptation to international economic processes (challenge of
globalism, interest of national economy))
 Openness
 Accountability
 Accessibility
 Predictability
 Political vs. professional issues

57. Impact of World Economic Crise
in 2008
• Expectation towards a strong state that can solve
social and economic problems in a fast way.
• Illiberal democracies in the Eastern bloc of the
EU:
- The will of the economic governance should be
implemented without any limitation and quickly
- Surpress the system of check and balances: the
end justifies the means?
- Vast suppurt from the population: lack of
tradition of liberal democracy and economic
liberalism – receptive for the populism

58. Questions?