Tuesday, January 11, 2022

Angels and Agency

And when I think that I'm alone
It seems there's more of us at home
It's a multitude of angels
And they're playing with my heart

--Eurythmics

In Federalist 51, James Madison famously introduces his 'angels' analogy when considering the agency problem inherent to government.

"But what is government itself but the greatest of all reflections on human nature? If men were angels, no government would be necessary. If angels were to govern men, neither external nor internal controuls on government would be necessary. In framing a government which is to be administered by men over men, the great difficulty lies in this: You must first enable the government to controul the governed; and in the next place, oblige it to controul itself. A dependence on the people is no doubt the primary controul on the government; but experience has taught mankind the necessity of auxiliary precautions."

Madison's solution to the agency problem was a government design that separated powers between the legislative, executive, and judicial branches as well as diversifying the source and timing of choosing government officials in order to make consensus difficult.

Fine ideas to be sure. However, unlike the anti-federalists, Madison clearly did not foresee the extent to which the non-angels would seek to circumvent the framers' design to achieve their interests. 

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