Part front matter for I The Challenges in Governing Global Public Goods

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Governance mechanisms are needed to overcome GPG provision problems. The first part of this book explores the principles of governance that will ensure consistency between the preferences of citizens and the efficient provision of GPG, and it will also bridge the knowledge gap (which is a necessary prerequisite for building preferences and devising workable solutions). To avoid any moral (or immoral) bias, the first chapter shows that even starting from a set of minimal assumptions—self-interested individuals with bounded rationality—raises problems of global concern that should be governed by a combination of political and economic institutions. Among these is the provision of public goods of concern to all, which requires mechanisms for making collective decisions and managing motivations so that contributions are guaranteed. To address certain issues, individuals also have to recognize their interdependencies and their dependence on the global community.

The second and the third chapters show the necessity of broadening the categories of traditional GPG analysis. The second chapter, by Kaul, argues that the traditional public-economy theory of public good provision is oversimplified as it is fundamentally state-centered (at the national level) and fiscally focused, and therefore fails to consider the broader politics of multi-stakeholder and transnational public-good provision. In particular, various non-state actors contribute to GPGs, which increases the problem of coordination. The next chapter, by Sandler and Arce, provides a classification and definition of the various types of public goods, their interactions, and the implications for determining public-good aid to developing countries. This overview shows that there are many synergies and positive externalities between the provision of various public goods (e.g., between the conservation of biodiversity and global food security). It also adds to the overall argument of this first part, by showing that many public goods should be provided at levels that are neither national nor global. Regional public goods, such as the local ecosystem services provided by natural resources, probably pose the greatest difficulty, because often there is no clear political entity at the level of the ecosystem, and there are no clear benefit spillovers to the national or international levels. Transregional public goods require institutional arrangements that network the whole area in which the impact is felt.

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Part front matter for I The Challenges in Governing Global Public Goods

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