The political economy of policy instruments: The Left and collectively governed markets in Germany

Niccolò Durazzi & Cecilia Ivardi

Journal of Public Policy2026https://doi.org/10.1017/s0143814x25100962article
AJG 2ABDC B
Weight
0.37

Abstract

Recent government interventions support the objectives of collective markets through public policy rather than relying on traditional strategic cooperation between non-state actors. We ask when and how left-wing governments intervene in collectively-governed markets. We develop a novel theoretical framework at the intersection of public policy and comparative political economy. We build on public policy scholarship to mobilize a typology of policy instruments available to governments to shore up collective markets, including regulation ( sticks ), subsidies ( carrots ), and information ( sermons ). We embed this hierarchical classification in a political economy framework to outline under which conditions we expect policymakers to opt for different instruments. We illustrate the usefulness of this approach through a case study of least likely policy areas – labor market and training policy – nested within a least likely case – Germany.

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https://doi.org/https://doi.org/10.1017/s0143814x25100962

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@article{niccolò2026,
  title        = {{The political economy of policy instruments: The Left and collectively governed markets in Germany}},
  author       = {Niccolò Durazzi & Cecilia Ivardi},
  journal      = {Journal of Public Policy},
  year         = {2026},
  doi          = {https://doi.org/https://doi.org/10.1017/s0143814x25100962},
}

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Evidence weight

0.37

Balanced mode · F 0.40 / M 0.15 / V 0.05 / R 0.40

F · citation impact0.16 × 0.4 = 0.06
M · momentum0.53 × 0.15 = 0.08
V · venue signal0.50 × 0.05 = 0.03
R · text relevance †0.50 × 0.4 = 0.20

† Text relevance is estimated at 0.50 on the detail page — for your query’s actual relevance score, open this paper from a search result.