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The governance concept explains how the state and public sectors can be combined to form a more efficient system. In particular, Pierre Hatfield-Dodds, Nelson & Cook (2011) note that the term considers “the extent to which collective projects can be achieved through a joint public and private mobilization of resources” (p. 4). Governance is a flexible structure that brings together many actors and mediates the relationship between them to resolve disagreements and the most effective cooperation (Hatfield-Dodds, Nelson & Cook, 2007). It is a form of governance in which smaller structures or institutions make decisions within their own range of interests and needs. Thus, the concept assumes the interaction of smaller structures for self-regulation at different levels without direct state control.
The evident benefit of governance is the flexibility of this system since the participants can adjust the strategy according to their needs. Increased institutional autonomy allows for faster and more convenient resource allocation. Moreover, the direct interaction of the public sector within the framework of governance simplifies the decision-making process, which removes the administrative burden from the state. The weakness of this system may arise in relation to regional governance. Perry & May (2007) underline that the concept of governance can lead to the fact that territorial characteristics will be of key importance, which will negatively affect equality among regions. Thus, some of the more resource-rich territories will be able to use them to the greatest advantage, while the situation of the less developed regions will not change or worsen.
An example of governance in everyday life is the community council or neighborhood council. This system fully illustrates the functioning of the concept since, within the framework of these collections, people can decide where to direct shared resources. To reach an agreement, they assess the needs of the community and consider possible applications. Moreover, they need to coordinate actions for the most efficient decision-making process.
References
Hatfield-Dodds, S., Nelson, R., & Cook, D. C. (2007). Adaptive governance: An introduction and implications for public policy. 51st Conference of Australian Agricultural and Resource Economics Society (AARES), Queenstown, New Zealand. Web.
Perry, B., & May, T. (2007). Governance, science policy and regions: An introduction. Regional Studies, 41(8), 1039-1050. Web.
Pierre, J. (2011). The politics of urban governance. Macmillan International Higher Education.
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