How Much Liberty Should We Have? Citizens versus Experts on Regulating Externalities and Internalities

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University of Gothenburg

Abstract

Based on a tailor-made survey, we find that experts – academics and civil servants – are much more willing than citizens in Sweden to accept liberty-reducing regulations. Moreover, both citizens and experts are more supportive of regulating negative internalities (in terms of health) than negative externalities (in terms of climate change). While less liberty-reducing policy instruments receive more support, around 20 percent of citizens and experts support very intrusive measures such as non-transferable individual quotas for air travel and unhealthy foods. Both experts and citizens prefer encouraging to discouraging information provision, while experts are more positive than citizens to tax instruments

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JEL-classification: D04, D62, D91, Q58

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externalities, internalities, paternalism, experts, citizens

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