Between Pluralism and Corporatism German Business Associations and the State

Abstract

ABSTRACT This paper explores the complexities and ambiguities of the relationship between the state and business associations by examining the case of West Germany. While business associations continue to lobby the state on behalf of their members, they perform a number of other roles. Association staff often provide information and expert advice to the state. The state can lend associations organisational support by setting rules of political influence that are favourable to them. Business associations become involved in the formulation and even implementation of what are effectively public policy functions, though associations have a ambivalent attitude, preferring both autonomy from the state and influence. Business associations may fend off attempts by the state to subject their members' behaviour to legal regulation by offering self-regulation with state approval; however, this can critically affect relations between associations and their members. Devolution of public authority to business associations is resorted to pragmatically, or opportunistically, by both associations and the state as an expedient solution to individual problems. This arises because associations lack a consistent theory defining their status in relation to the state.

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