Acton Institute Powerblog

Ex Ante vs. Ex Post Government Action

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I haven’t started Marvin Olasky’s new book yet, but here’s a bit from the abstract of a new NBER paper, “Rules Rather Than Discretion: Lessons from Hurricane Katrina,” by Howard Kunreuther and Mark Pauly. Speaking of property owners who suffer severe damage and don’t have the resources to rebuild:

To avoid these large and often uneven ex post expenditures, we consider the option of mandatory comprehensive private disaster insurance with risk based rates. It may be more efficient to have an ex ante public program to ensure coverage of catastrophic losses and to subsidize low income residents who cannot afford coverage rather than the current largely ex post public disaster relief program.

That solution doesn’t sound too promising to me, and it strikes me as a false dichotomy. Are the only two options government action before or after the fact?

Jordan J. Ballor Jordan J. Ballor (Dr. theol., University of Zurich; Ph.D., Calvin Theological Seminary) is a senior research fellow and director of publishing at the Acton Institute for the Study of Religion & Liberty, where he also serves as executive editor the Journal of Markets & Morality. He is author of Get Your Hands Dirty: Essays on Christian Social Thought (and Action) (Wipf & Stock, 2013), Covenant, Causality, and Law: A Study in the Theology of Wolfgang Musculus (Vandenhoeck & Ruprecht, 2012) and Ecumenical Babel: Confusing Economic Ideology and the Church's Social Witness (Christian's Library Press, 2010), as well as editor of numerous works, including Abraham Kuyper Collected Works in Public Theology. Jordan is also associate director of the Junius Institute for Digital Reformation Research at Calvin Theological Seminary. He has authored articles in academic publications such as The Journal of Religion, Scottish Journal of Theology, Reformation & Renaissance Review, and Journal of Scholarly Publishing, and has written popular pieces for newspapers including the Detroit News, Orange County Register, and The Atlanta Journal-Constitution. In 2006, Jordan was profiled in the book, The Relevant Nation: 50 Activists, Artists And Innovators Who Are Changing The World Through Faith. Jordan's scholarly interests include Reformation studies, church-state relations, theological anthropology, social ethics, theology and economics, and research methodology. Jordan is a member of the Christian Reformed Church in North America (CRCNA), and he resides in Jenison, Michigan with his wife and three children.

Comments

  • JB,

    Olasky’s book is sitting on my dresser to. Got through the first chapter, and it looks interesting enough, but I think I get his point already – people are easily freaked out and manipulated, and governments are never prepared at first but recover eventually (mostly) after spending heaps of money.

    In the meantime, Mom sent me an autographed copy of “Captured by Grace” by Dr. David Jeremiah. Frankly, I think spending a couple of weeks studying about God’s grace would be more profitable than paging through ineffective bureaucrats and disasters.

    Perhaps in God’s Providence, reading one will lend perspective to the other.

    Grace and peace,
    db