It is an ongoing discussion in the political science literature whether a federalist country rather provides a valuable setting for policy experimentation in the subnational entities or whether too much autonomy leads to destructive competition among them. One often mentioned and tested approach to the field is the race to the bottom hypothesis. In this seminar paper the race to the bottom hypothesis will be tested for land use policy and therein the regulation of secondary residences in Switzerland.
The broader frame for the study is provided through the people ́s legislative initiative on the federal level on secondary residences, the Zweitwohnungsinitiative. It has been submitted to a popular vote in Switzerland on 11 March 2012 and succeeded with a razor-thin majority of 50.6 % of total votes. The initiative demands that the share of secondary residences in the Swiss communities can not exceed 20 % of the total number of residences. In those communities that already have a higher share an immediate building freeze has to be enacted. Longchamp et al. showed that the share of secondary residences in a community is a good explanatory for the result of the popular vote. Those communities with a share already higher than 20 % mostly voted no, while the communities with less secondary residences rather voted yes. Hence, one can argue that those parts of Switzerland that will not be heavily affected by the implementation of the initiative imposed the building limitation on those parts that effectively will be. The direct democratic structure of Switzerland enables in it ́s extremes an unaffected majority to dictate policies to a highly affected minority.
The paper will start with an introduction into the basic assumptions and implications of the race to the bottom hypothesis and point out the theoretical suggestions how a race to the bottom between subnational entities can be overcome (Chapter 2). Chapter 3 provides the empirical evidence in favour and against a race to the bottom in land use policy among the Swiss cantons. Building on the data we will be able to assess the overall robustness of the hypothesis for the regulation of secondary residences in Switzerland. Chapter 4 concludes with a resume of the findings, possible explanations and a classification of the Zweitwohnungsinitiative in the field.
Table of Contents
1. Introduction
2. Race to the Bottom Hypothesis
2.1. What does the race to the bottom hypothesis say?
2.2 Factors influencing the probability of a race to the bottom
2.3. Remedies for a race to the bottom
2.4. Linguistic ambiguity
3. Evidence from Switzerland
3.1. Defining bottom for land use policy
3.2. Presenting the evidence
a) Characteristics of secondary residences
b) Correlation between share of secondary residences and income
c) Characteristics of land use policy
d) Reducing cantonal expenditures for land use policy
e) Tax policy
f) Mobility of capital and labour
g) Share of cantonal GDP of the secondary residence sector
h) Relative influence of pro-secondary residence lobby groups
4. Conclusion
Research Objectives and Topics
This paper examines whether federalist structures in Switzerland lead to a "race to the bottom" in land use policy, specifically regarding the regulation of secondary residences. The central research question assesses if cantons lower environmental and spatial planning standards to attract investment and capital, or if alternative political and democratic factors prevent such destructive competition.
- Theoretical foundations of the race to the bottom hypothesis in federal systems.
- Empirical analysis of secondary residence distribution and income correlation in Swiss cantons.
- Evaluation of land use policy regulations, tax policies, and cantonal expenditures.
- Analysis of the political impact of the 2012 Swiss "Zweitwohnungsinitiative" (Second Home Initiative).
Excerpt from the Book
3.1. Defining bottom for land use policy
As already defined in chapter 2, in the case of land use policy and the special field of secondary residences a race to the bottom can be depicted as lenient regulations for the construction and utilisation of those residences. The bottom line in this analysis is where there is no regulation at all.
Summary of Chapters
1. Introduction: Introduces the race to the bottom hypothesis in a federalist context and outlines the study's focus on secondary residence regulations in Switzerland.
2. Race to the Bottom Hypothesis: Explains the theoretical framework, defining the hypothesis, factors of influence, potential remedies, and necessary linguistic distinctions for the analysis.
3. Evidence from Switzerland: Provides an empirical assessment of Swiss land use policies, testing indicators such as expenditure, tax policy, and the influence of lobby groups.
4. Conclusion: Synthesizes the findings, noting that despite favorable conditions for competitive deregulation, no race to the bottom is empirically evident among the cantons.
Keywords
Race to the bottom, Switzerland, land use policy, secondary residences, federalism, spatial planning, interjurisdictional competition, Zweitwohnungsinitiative, institutional congruence, cantonal autonomy, environmental policy, tax policy, direct democracy, lobby groups, policy experimentation.
Frequently Asked Questions
What is the fundamental focus of this research paper?
The paper investigates whether Swiss cantons engage in a "race to the bottom"—a competitive lowering of regulatory standards—specifically within the domain of land use and the regulation of secondary homes.
What are the central thematic areas covered?
The study covers federalist theory, spatial planning, economic indicators related to tourism and construction, and the specific role of direct democratic instruments in Swiss policymaking.
What is the primary research question?
The research asks if the high degree of autonomy granted to Swiss cantons in land use policy results in destructive competition or "race to the bottom" dynamics regarding secondary residence regulations.
Which scientific methodology is applied?
The author adapts and applies indicators previously used by Nancy Olewiler for studying air pollution policy in Canada, modifying them to fit the specific legislative and economic context of Swiss land use regulation.
What topics are discussed in the main body of the text?
The main body evaluates empirical data including income disparities, cantonal expenditures on spatial planning, differences in tax policies, and the political influence of lobby groups against the backdrop of the 2012 national referendum on secondary homes.
How would you characterize the paper's key terminology?
The paper is characterized by terms related to federal political science, such as "subnational entities," "institutional congruence," "interjurisdictional competition," and "policy laxity."
What role does the "Zweitwohnungsinitiative" play in the findings?
The initiative is used as a case study to demonstrate a paradox: while no actual race to the bottom in regulation was found, the public fear of such a development was significant enough to trigger a successful federal intervention.
Does the author conclude that a race to the bottom is occurring in Switzerland?
No, the author concludes that while the structural conditions for such competition exist, the empirical evidence suggests that Swiss cantons are not currently engaged in a race to the bottom.
- Arbeit zitieren
- Maria Krummenacher (Autor:in), 2013, The Race to the Bottom Hypothesis applied to Spatial Planning in the Swiss cantons, München, GRIN Verlag, https://www.grin.com/document/231265
