How Much Control is Enough? Monitoring and Enforcement under Stalin
نویسنده
چکیده
In hierarchies, agents’ hidden actions increase principals' transactions costs and give rise to a demand for monitoring and enforcement. The fact that the latter are costly raises questions about their scope, organisation, and type. How much control is enough? The paper uses historical records to examine Stalin’s answers to this question. We find that Stalin's behaviour was consistent with his aiming to maximise the efficiency of the Soviet system of control subject to the loyalty of his inspectors and the risk of a “chaos of orders” arising from parallel centres of power. JEL classification: H83, D73; P21; N44
منابع مشابه
Stalin and Our Times
The paper considers how a number of features of Stalin’s rule that appear most pointless or counter–productive from a present day standpoint, summed up as “futile repression”, can be understood as the rational choices of a dictator optimising his regime. The same reasoning may be applied to those aspects of Stalin’s legacy that are most commonly seen as positive, such as the industrial and mili...
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