U.S. agency growth aspirations and the effect of ideological extremism

Abstract

AbstractDoes ideological extremism curb a public agency's desire to grow? This article theorizes that changes in the political environment affect a public agency leader's growth aspirations. Specifically, increased ideological extremism across an agency's elected principals leads an agency leader to be more cautious and less growth‐minded. The assessments of over 10,000 American state agency leaders are studied across 11 points in time from 1964 to 2018 and matched to data capturing the leader's ideological environment. Agency leaders, who face heightened extremism from elected state officials, are found to report a reduced interest in future growth. The results are strongest during periods of divided government, which may occur because the signal sent from greater extremism is more useful to agency leaders during these periods. When aggregated across thousands of agencies, the article's findings imply a driver of slower growth in the future size and scope of government.