Beyond the Rhetoric

Abstract

Louisville’s consolidation with Jefferson County was the first large-scale merger to take place in the United States in more than 30 years. The authors examine this merger as a major institutional innovation that was supposed to enhance economic development. Proponents of consolidation claimed that institutional change would “shake up” the system and create an economic boom. The authors use actual results to determine whether this much-heralded experience warrants claims that it can be a role model, point of reference, or best practice. In doing this, they compare data from premerged and postmerged Louisville over a full 8-year period. Of central concern are whether “shake up” worked, how elites manage results as unsatisfying outcomes become apparent, and what that behavior portends for responsible governance. The authors conclude with a number of principles and policies regarding institutional change.

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