Restoring the Integrity of Interest Rate Benchmarks : A Network Governance Approach
Kasterpalu, Anne Liis (2020)
Kasterpalu, Anne Liis
2020
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Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-2020051711895
https://urn.fi/URN:NBN:fi:amk-2020051711895
Tiivistelmä
Reforming the systemically important interest rate benchmarks has proven to be a highly complex and uncertain undertaking, requiring strong collaboration between market participants and the official sector. Introducing public-private collaboration to tackle complex policy issues has become a common phenomenon in modern society, indicating the transition towards more collaborative and integrative approaches to governance. This has led to a strong focus on the role of networks in social coordination, given their potential for facilitating interaction, cooperation and learning between different parties.
Designed as an explanatory case study, the objective of this research paper was to explore the performance of governance networks. Drawing on the literature of wicked problems and meta-governance, the study aimed to answer the following: how to enable conditions for successful network governance in the context of dealing with complex problems?
Network analysis of the interest rate benchmark reform demonstrated that the presence of substantive and strategic complexities has created barriers to problem-solving. Overcoming these impasses in decision-making can be achieved through network management, either via institutional design or process management. Importantly, managing the complex interaction processes in networks must account for reciprocal influence of the factors that shape the decision-making, which therefore must be translated in the strategic choices of network managers. However, in order to better understand the implementation of network management strategies, a more detailed analysis of interaction patterns and the causal mechanisms behind network management is needed.
Designed as an explanatory case study, the objective of this research paper was to explore the performance of governance networks. Drawing on the literature of wicked problems and meta-governance, the study aimed to answer the following: how to enable conditions for successful network governance in the context of dealing with complex problems?
Network analysis of the interest rate benchmark reform demonstrated that the presence of substantive and strategic complexities has created barriers to problem-solving. Overcoming these impasses in decision-making can be achieved through network management, either via institutional design or process management. Importantly, managing the complex interaction processes in networks must account for reciprocal influence of the factors that shape the decision-making, which therefore must be translated in the strategic choices of network managers. However, in order to better understand the implementation of network management strategies, a more detailed analysis of interaction patterns and the causal mechanisms behind network management is needed.