Government Capacities and Policy Making by Decree in Latin America

Abstract

What is the effect of constitutional decree authority (CDA) on the policy-making process of a presidential regime? Despite recent efforts to answer this question, there is still much uncertainty in the literature about the extent to which decree powers may allow presidents to control the legislative process. This article argues that in a separation-of-powers system, the existence of CDA effectively enhances executives’ ability to act as agenda setters. This capacity, however, is not uniform across all cases. Developing a simple spatial model of decree games, the author argues that the bargaining power of an executive to promote legal changes through decrees varies according to three interrelated factors: decree approval rules, the extent of the executive’s partisan support in the legislature, and the strength of the presidential veto. These propositions are supported by a comparative analysis of the process of constitutional design and the implementation of decrees in Brazil and Argentina, two cases presenting significant variation in each of the independent variables.