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Dysfunctional effects of altruism: an introduction to the symposium
Originally published in Public Choice
Together, these contributions question the assumption made by welfare economists about the virtues of benevolence in solving market failures, or in generating positive outcomes, and push Buchanan’s central message as well as the core insight of public choice theory one step further. It is not only more consistent to assume that decision-makers are self-interested, but it is also important to keep in mind that benevolence—whether self-interested or not—can be a source of dysfunction. Even when actors act out of compassion, a sense of fairness, or justice, their actions are shaped—and often distorted—by the same forces that govern all political and bureaucratic behavior. The dysfunctions of doing good are, however, not arguments against doing good, against benevolence, against helping, but against doing good alone. These contributions confirm that good governance may depend on benevolence but primarily depends on rules and incentives.