Public Policy Notes Unit 1 – Flashcards

In this Animated Learning Module, you will learn about domestic policy and the policy-making process. A policy is an effort to accomplish a particular goal. The goal of domestic policy is to achieve a desirable outcome depending on the issue. The fact that it is domestic means it pertains to the homeland of the United States. For example, if crime rates are high, the policy would attempt to reduce crime rates.

A policy has to be originated and developed. This is called the Policy-Making Process and it consists of five steps or stages. The first step is identifying a problem, which puts it on the agenda. This is called agenda building. Because numerous problems exist, their solutions are impossible until they are identified by policymakers. Typically, this occurs through public debate. Policymakers also rely on their constituents, interest groups, and the media to bring policy problems to their attention. Ultimately, the identification of a problem, the reaction to the problem, and the solution all form the policy process. This may come about through crisis, through the lobbying efforts of interest groups, or through others concerned about the problem. The second step is policy formulation. This consists of the debate that occurs among government officials and the public in the media, in Congress, and through campaigns. The third step is policy adoption. This is the selection of a strategy for addressing the problem from the solutions discussed. The fourth step is policy implementation. This is the administration of the policy adopted by bureaucrats, the courts, and others. The final step is policy evaluation. Groups evaluate the policy to determine if it has had the desired impact. The feedback evaluates unintended consequences of the policy adoption. The feedback is also considered part of the agenda building and formulation process.

The first is health care. Health care can mean different things to different people; however, the one concern everyone seems to have is cost and how to pay for it. Government spending on healthcare has gone up significantly over time. Compared to other advanced industrial countries, our spending as a percentage of the Gross Domestic Product is exceptionally high; double the rate of some countries. Why is that the case? Let's take a look. The rising cost of health care can be attributed to our aging population. If we are living longer, we need more care and that care is often more expensive. Advanced technology helps physicians and hospitals prolong human life. This ongoing process, of developing new technology, contributes to the cost because advanced diagnostic machinery is very expensive. The government funds about 45% of health care spending, private insurance provides about 35%, and individuals and charities fund the rest. This creates inflation because it removes much of the market mechanism that keeps prices low when there is competition. Medicare and Medicaid are examples of government spending on health care. Medicare is a federal health insurance program that covers US residents over the age of 65. The costs are met by a tax on wages and salaries. When created in 1965, Medicare did not cover medicine. Beginning in 2006, the Medicare program began paying partial medicine costs. Medicare is the second most expensive federal program after Social Security. To contain costs, the government has placed caps on payments for procedures, with mixed results. Some health care providers will not serve Medicare clients now. Medicaid is a joint state and federal program that provides medical care to the poor, including indigent elderly persons in nursing homes. The program is funded out of general government revenues. Medicaid spending has exploded in part because the income ceiling for Medicaid eligibility has increased, making it a more attractive option for low-income workers than the health insurance offered by their employers. While the federal government pays almost 60% of Medicaid's costs, the portion paid by the states has increased rapidly. The uninsured also contribute to cost. 15% of the population lack health insurance, and 35% of working Hispanic Americans lack coverage. The uninsured employed often work for small businesses, who find it hard to supply health insurance to their employees, since it costs $9,000 or more per employee. Many working uninsured are young and healthy, although a health catastrophe for such a person could force the business into bankruptcy. Finally, a special problem of shifting costs occurs with the uninsured because many health care providers charge the uninsured higher rates for services than the insured. This occurs because insurance companies and the government have the power to negotiate lower prices for their clients. Congress recently enacted the National Health Care Reform, which will change the system as we know it. The United States is the only advanced industrial country that does not have a system of universal health insurance run by the government. Such systems have lower administrative expenses than the US system, but may have trouble controlling spending on unnecessary procedures.

Our next area of concern deals with pollution, which has made environmental policy an important part of domestic policy. A major source of concern for the general public has been the emission of pollutants into the air and water. Early in the 20th century, environmentalism focused on wilderness and land use issues. Conservation was a policy under which natural resources were used, but not abused. In contrast, preservation called for natural preserves that were isolated from the effects of human activity. Beginning in the 1960's, a new movement arose that was more focused on pollution. A series of well-publicized pollution catastrophes helped bring attention to the problem. Ecology became a concern in the 1970's as some environmentalists began to advocate policies that were a radical elaboration of the old preservationist philosophy. Many even claimed that the human race itself was the problem. The public had a growing awareness of environmental problems throughout the 1970's and 1980's. Major environmental problems, like oil spills and toxic waste sites, led the government to formulate a long-term policy aimed at protecting the environment without causing major damage to the economy. The following polices reflect the government's recognition of the need to protect the environment. The National Environmental Policy Act of 1969 attempted to set national standards by assessing the impact on the environment of major federal projects, such as road construction and buildings. Such projects could not be started without first receiving an environmental impact statement. In 1990, amendments were added to the Clean Air Act of 1963, which constituted a comprehensive policy mandating cleaner air in urban areas. Utility plant emission levels were monitored, in which the plants worked to significantly reduce their amount of carbon monoxide emissions. Automobile manufacturers were required to reduce emissions of nitrogen oxide progressively until 2007. The Clean Water Act of 1972 amended the Federal Water Pollution Control Act of 1948. The Clean Water Act sought to make waters safe for swimming, to protect fish and wildlife, and to eliminate the discharge of pollutants into the water. The Clean Water Act is controversial because of its broad definition of wetlands and its migratory bird rule. Wetlands are subject to prohibitions on filling and dredging. The migratory bird rule applies to any waters suitable for use by migratory birds. It is subject to regulations similar to that of the wetlands. Critics of our environmental policy contend that these restrictions cost jobs and negatively affect the economy. There are substantial costs involved in these policies. One method of supporting cost-effective solutions was part of the Clean Air Act of 1990. The act capped overall national sulfur dioxide emissions, but also permitted free trade in rights to emit sulfur dioxide. As a result, the sulfur dioxide emissions were made by the companies reaping the greatest economic advantage from their right to emit. Air and water pollution is down dramatically from what it was in the past. Lead content in the air is 3% lower than its original levels. Sulfur dioxide is down by 4/5ths. The Endangered Species Act of 1973 made it illegal to kill or harm a species listed as endangered or threatened. The government prevented landowners from engaging in development that would harm a listed species. Restrictions on development and on property rights in general have made the Endangered Species Act controversial.