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New Modes of Governance in the Shadow of Hierarchy: Self-regulation by Industry in Europe

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  • HÉRITIER, ADRIENNE
  • ECKERT, SANDRA

Abstract

In technically complex areas, political actors increasingly rely on private actors to shape public policy, due to the greater expertise of private actors. This article theorises and empirically investigates the conditions under which self-regulation by industry (governance) emerges in environmental policy at the European level and asks how effective it is. Is a shadow of hierarchy (governmental intervention) needed to ensure the emergence and effectiveness of voluntary agreements? We show that the willingness to engage in self-regulation is prompted by the threat of governmental legislation. Once legislation has been pre-empted, environmental self-regulation is implemented under a weak shadow of hierarchy. We identify the causes of this weak control and explain the differential performance in the two sectors on the basis of different market incentives.

Suggested Citation

  • Hã‰Ritier, Adrienne & Eckert, Sandra, 2008. "New Modes of Governance in the Shadow of Hierarchy: Self-regulation by Industry in Europe," Journal of Public Policy, Cambridge University Press, vol. 28(1), pages 113-138, April.
    • Handle: RePEc:cup:jnlpup:v:28:y:2008:i:01:p:113-138_00
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    Cited by:

    1. Tanja A. Börzel & Thomas Risse, 2010. "Governance without a state: Can it work?," Regulation & Governance, John Wiley & Sons, vol. 4(2), pages 113-134, June.
    2. Tanja Börzel, 2010. "European Governance: Negotiation and Competition in the Shadow of Hierarchy," Journal of Common Market Studies, Wiley Blackwell, vol. 48(2), pages 191-219, March.
    3. Kolcava, Dennis, 2020. "Do citizens hold business accountable for greenwashing by demanding more government intervention?," OSF Preprints sj4dk, Center for Open Science.
    4. Fikru, Mahelet G., 2016. "Determinants of International Standards in sub-Saharan Africa: The role of institutional pressure from different stakeholders," Ecological Economics, Elsevier, vol. 130(C), pages 296-307.
    5. Ivan Bozhikin & Nikolay Dentchev, 2018. "Discovering a Wilderness of Regulatory Mechanisms for Corporate Social Responsibility: Literature Review," Economic Alternatives, University of National and World Economy, Sofia, Bulgaria, issue 2, pages 145-174, June.
    6. Wenlong He & Wei Yang & Seong-jin Choi, 2018. "The Interplay Between Private and Public Regulations: Evidence from ISO 14001 Adoption Among Chinese Firms," Journal of Business Ethics, Springer, vol. 152(2), pages 477-497, October.
    7. Nilsson, Måns & Persson, Åsa, 2012. "Reprint of “Can Earth system interactions be governed? Governance functions for linking climate change mitigation with land use, freshwater and biodiversity protection”," Ecological Economics, Elsevier, vol. 81(C), pages 10-20.
    8. Niclas Meyer, 2012. "Political Contestation in the Shadow of Hierarchy," Europe in Question Discussion Paper Series of the London School of Economics (LEQs) 6, London School of Economics / European Institute.
    9. Judith Schrempf-Stirling, 2018. "State Power: Rethinking the Role of the State in Political Corporate Social Responsibility," Journal of Business Ethics, Springer, vol. 150(1), pages 1-14, June.
    10. Epstein, Dmitry & Medzini, Rotem, 2022. "Conversations with fellow leaders: Privacy framing in congressional hearings after Cambridge Analytica," Telecommunications Policy, Elsevier, vol. 46(10).
    11. Alessandra Arcuri, 2015. "The Transformation of organic regulation: The ambiguous effects of publicization," Regulation & Governance, John Wiley & Sons, vol. 9(2), pages 144-159, June.
    12. Eungkyoon Lee & Raul P. Lejano & Robert J. Connelly, 2013. "Regulation‐by‐information in areas of limited statehood: Lessons from the Philippines' environmental regulation," Regulation & Governance, John Wiley & Sons, vol. 7(3), pages 387-405, September.
    13. Robert Cluley, 2020. "Complaining about rivals: Indifference, cooperation, and competition in the governance of advertising," Regulation & Governance, John Wiley & Sons, vol. 14(2), pages 316-327, April.
    14. Heike Mensi-Klarbach & Stephan Leixnering & Michael Schiffinger, 2021. "The Carrot or the Stick: Self-Regulation for Gender-Diverse Boards via Codes of Good Governance," Journal of Business Ethics, Springer, vol. 170(3), pages 577-593, May.
    15. Heejin Han, 2019. "Governance for green urbanisation: Lessons from Singapore’s green building certification scheme," Environment and Planning C, , vol. 37(1), pages 137-156, February.
    16. Nilsson, Måns & Persson, Åsa, 2012. "Can Earth system interactions be governed? Governance functions for linking climate change mitigation with land use, freshwater and biodiversity protection," Ecological Economics, Elsevier, vol. 75(C), pages 61-71.
    17. Lasse Folke Henriksen & Stefano Ponte, 2018. "Public orchestration, social networks, and transnational environmental governance: Lessons from the aviation industry," Regulation & Governance, John Wiley & Sons, vol. 12(1), pages 23-45, March.
    18. Nicolas Schmid & Leonore Haelg & Sebastian Sewerin & Tobias S. Schmidt & Irina Simmen, 2021. "Governing complex societal problems: The impact of private on public regulation through technological change," Regulation & Governance, John Wiley & Sons, vol. 15(3), pages 840-855, July.
    19. Cong, Rong-Gang & Thomsen, Marianne, 2021. "Review of ecosystem services in a bio-based circular economy and governance mechanisms," Ecosystem Services, Elsevier, vol. 50(C).
    20. Peter Arbo & Thuy Pham Thi Thanh, 2014. "The missing link in marine ecosystem-based management," ERSA conference papers ersa14p248, European Regional Science Association.
    21. Héritier & Adrienne & Sandra Eckert, 2008. "Self-Regulation by Associations: Collective Action Problems in European Environmental Regulation," EUI-RSCAS Working Papers 26, European University Institute (EUI), Robert Schuman Centre of Advanced Studies (RSCAS).
    22. Reinhard Steurer, 2013. "Disentangling governance: a synoptic view of regulation by government, business and civil society," Policy Sciences, Springer;Society of Policy Sciences, vol. 46(4), pages 387-410, December.
    23. Paul Verbruggen, 2013. "Gorillas in the closet? Public and private actors in the enforcement of transnational private regulation," Regulation & Governance, John Wiley & Sons, vol. 7(4), pages 512-532, December.
    24. Niclas Meyer, 2012. "Political Contestation in the Shadow of Hierarchy," LEQS – LSE 'Europe in Question' Discussion Paper Series 46, European Institute, LSE.

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