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The Center for Critical Democracy Studies

Demos 21: Should the People Control Public Spending?

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On Monday, November 22, 2021, Demos21, a year-long series oflectures, roundtables and workshops organized by AUPs Centerfor Critical Democracy Studies (CCDS), hosted its fourth event ofthe academic year. Guest speakers CarloBurelli(University of Genova)and EnricoBiale(University of Piemonte Orientale)discussed their forthcoming paperShould the People ControlPublic Spending? A Normative Assessment of Balanced BudgetConstitutional Amendments.The hybrid event saw audience membersattend both in-person in the Centers conference hall andonline.

The speakers began bydiscussing the historical context oftheir investigations, notingthat the last few decades have, in certain Western countries,been marked by balanced budgetconstitutional amendments (BBCAs), whichmandate that statesdo not spend more thantheirincome.These constitutional amendments have had a distinct impacton public policy, ushering in an era ofreduced public expenditure.BurelliandBialeparticularly emphasized Germany, Austria, Spain,Franceand Italyin their presentation.

In the first part of the talk,the speakersintroduced anempirical overview of BBCAs and arguedthatsuch policieshad become ubiquitous. Theythenintroducedthe tension between the idea that BBCAs couldembody democratic ideals by protecting citizens interests andthe idea that they undermine democracy by moving important policydevelopments outside of public control.Theywent on to analyzeargumentsboth infavorofand againstBBCAs. In certain circumstances, BBCAscan function as a moderating influencein unstable situations by ensuring that a democratic systemresponds to both the short-term interests and long-term needs ofcitizens;in others,they may in fact result in instability,lessened democratic control, and social inequality.

BurelliandBialewere ultimately sympathetic to the criticalview, concluding that BBCAs, while potentially justifiedin certain contexts, bring with them high democratic costs. The discussionreferencedin particular thework of JM Buchanan, John Rawls, andDavid Harvey.Following the presentation, audience members both online and in Parisraised questionson topics such aspopulism, the importance ofregionality, and thepapers place withinvarioustheoretical waves incritiquesofneoliberalism.

For more information about upcoming Demos21 events, see the CCDS webpages.