Exploring Public Choice Theory: Decision-Making and Collective Action in Political Economy

Introduction

Public Choice Theory (PCT) is a pivotal framework within political economy that examines the decision-making processes of individuals in the context of collective action and governance. This theory applies economic principles to political science, positing that individuals, including politicians and bureaucrats, act primarily out of self-interest. The purpose of this report is to explore the fundamental tenets of Public Choice Theory, its implications for political decision-making, and its relevance in understanding collective action challenges within democratic societies. By analyzing the mechanisms of PCT, we can better comprehend the intricacies of governance and the impact of individual incentives on public policy.

Main Body

Public Choice Theory emerged in the mid-20th century, notably through the works of economists such as James Buchanan and Gordon Tullock. At its core, PCT asserts that political