I am sure there has been some more serious work on this but I am toying with the idea that Government generally and public policy in particular is for the most part a reflection of social ethos. Where government’s in policy and in structure differ is in their “response function.” Are they swift or slow to respond to respond to changing ethos? Do they respond in violent fits and starts or in calm reform, etc.
In its most radical of forms this would say that the average treatment effect of absolute dictatorship or direct democracy on the lives of the typical citizen is zero. Dictatorships have a different response function than democracies and this leads to wider variance, but not to different average outcomes over the long run.
In addition, the consistent differences between life under the two forms of government represent selection effects rather than treatment effects. Societies with rapidly changing ethos will tend to “snap” more rigid forms of government.
Rapid growth in technology, particularly transportation and communication technology will tend to create more ethotic churn. Rigid governments in these places will snap. Since, democracies tend to be less rigid there will be – at least in the short term – an evolution towards democracy.
Thus when we observe the world we see that rich, pluralistic countries are democratic. We may mistakenly believe that democracy then leads to wealth and pluralism. However, it is that democracy is more “evolutionarily fit” to withstand the ethotic churn associated with wealth and pluralism.
I don’t know where this fits in the canon of political theory and if its all been said before, and better.
To the extent there is something here though, there are some implications.
For example, focusing on the regimes and policy in a government in order to change the lives of the people over which the government rules is extremely limited in its effectiveness. At most you can change the response function. This might have some important short term implications but because (a) governments over the long run are a veil and (b) governments must be “evolutionarily fit” to survive, these strategies cannot make a huge difference.
Real differences come from changing the ethos. In a practical sense this means religious or quasi-religious movements. The fact that religion does the heavy lifting in a society and that church and state have rarely been separated in history, also explains some of the over focus on government itself.
In this reading Communism, to the extent it had as large of an effect as it did, did so not because it was a new form of government but because it had the structure of a religious movement. People came to Communism as they would come Christianity or Islam.
This is why Marxism emerged as the strain of communist/socialist thought that was able to have such sweeping effects. Marxism was much more amenable to becoming a quasi-religion.

5 comments
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Sunday ~ April 24th, 2011 at 2:04 pm
Johnnie Linn
Two comments:
1. Religions might separate themselves from markets. E.g. , in the gospel of Mark:
“and when they come from the market-place, except they bathe themselves, they eat not”
Marxism is perhaps different in not making this separation.
2. Role of democracy is likely determined at the level of the functional unit. For example, ships at sea are essentially floating monarchies. But since long-distance communication at sea is now possible, the role of captain is not as autocratic as it was before.
Sunday ~ April 24th, 2011 at 3:20 pm
rhmurphy
I don’t get the last comment. Modern socialism is the progeny of Saint-Simone, whose writings are a mix of mystical and religious worship of what he called science. The purpose of Marxism is the opposite of what you said; it was supposed to have eliminated any veneer of mysticism and made it truly scientific.
Sunday ~ April 24th, 2011 at 10:47 pm
Robin Hanson
Surely in the modern world religion is only one of many influences on the “ethos.”
Monday ~ April 25th, 2011 at 12:08 pm
Wonks Anonymous
Ludwig von Mises said something similar:
http://econlog.econlib.org/archives/2006/09/my_latest_paper.html
Greg Clark also thought government policy is overrated in explaining differences between countries, because inefficient ones get weeded out over the long run.
OB post on variance in dictator outcomes:
http://www.overcomingbias.com/2011/03/are-dictators-the-future.html
Monday ~ April 25th, 2011 at 12:52 pm
Ragweed
@Johnnie Linn, point 2 – actually, the authority structure of ships at sea depends on the social organization supporting it. Historically, merchant ships were owned by shore-bound merchants, and established the Captain or Master as representative of their interests on the ship. Payment for the crew was a product of the merchant providing funds through the captain, and state authority protected the authority of the captain from mutiny.
By contrast, independant pirate vessels (in the “golden age” of piracy, say 1500-1800, and not counting the state-sponsored piracy of the Barbary states or the Maldives, et al.) were generally owned by the crew in common or in shares. The captain had no state authority to protect him from mutiny, so he was constrained by the will of the crew. In fact, many pirate ships operated under written compacts which permitted the captain absolute authority in actual combat (recognizing the need for coordinated leadership in the heat of battle), but left most other decisions to a democratic vote of the crew. So it is not just the size.
John