Types of Public Policy

1. Requirement Policy

• Boys required to register for draft at age 18• Requirement to have a driver’s license to

operate a motor vehicle

2. Incentive Policy

• New business tax exemptions• Tax credits for new home buyers

3. Prohibition Policy

• No dogs in park• Murder

4. Disincentive Policy

• Points on your driver’s license for tickets

5. Service Policy

• Policies relating to services such as water, sewer, and road services

Policy-Making Process

Acid Rain Example

1. Problem Recognition and Definition

Public officials and environmental groups identify acid rain as a problem.

2. Agenda Setting

Action by the president, members of Congress, and interest groups put acid rain on the national policy agenda.

3. Policy Formulation

The White House executive agencies and interest groups develop proposed courses of action for controlling acid rain.

4. Policy Adoption

Provisions providing for an emissions trading system to reduce acid rain are included in the Clean Air Act of 1990.

5. Budgeting

Funds are appropriated (set aside) so that the Environmental Protection Agency can put the acid rain control system into effect.

6. Policy Implementation

An emissions trading system was created, and in 1993 the first sales of allowances for the discharge of sulfur dioxide—a prime component of acid rain—were held.

7. Policy Evaluation

After the system has been in place long enough, there will be an evaluation of the emissions trading system to determine its effectiveness in reducing acid rain.

Note: Finding that the policy is ineffective will likely restart the policy process.

What Makes a Good Policy?

What makes good policy?

• A rule must be clear and easy to understand.

• People must be able to do what the rules say.

• It must not conflict with another rule.

• It must be enforceable.

• There should be a penalty for breaking it.

• It must be posted or explained to people. (You have to “give notice”)