[Perceval]

Mancur Olson made a similar point in his 1984 book The Rise and Decline of Nations. His argument is that as time goes on, special interests and entrenched bureaucracies take what was a simpler system and load it up with exceptions and complexity. The more complex they become, the less capable of collective action they become, leading to overall paralysis.

This is an extension of his argument from his Nobel Prize–winning 1971 book The Logic of Collective Action.

[michael_nielsen]

Olson didn't win the Nobel Prize. You're thinking of Elinor Ostrom's book "Governing the Commons", which extended Olson's work considerably, and which led to Ostrom's prize.

Thanks for the tip on Olson's 1984 book, which I'd never heard of. Curiously enough, while reading Shirky's article, my mind kept turning to Olson and Ostrom, and their work on collective action.

[Perceval]

Right you are. I've read both, and knew that Ostrom got hers recently, but thought that Olson had received one as well. Oh well, still a tremendously influential book.

[josh33]

It seems like these collapses are not caused by bureaucracy. Rather, they are caused by an inability of large companies and complex systems to focus on value creation for the market/group/people/person they are serving. People pay for things that add value to their lives if they can't do it themselves for free. These large corporations seem to focus too heavily on improving the bottom line, which is another way of saying "raise revenues above expenses, or cut expenses below revenues". Both of these are by products of real value creation, and should not be the focus, but the realized result of a focus on serving the target.

[Daniel_Newby]

Pournelle's Iron Law of Bureaucracy: the people who work for the bureaucracy will always gain control of the people who work for the organization's goals.

[easp]

Thanks for the reference. I've long wondered if a societies collapse could be precipitated by an excessively complex system of legislation.

[steveplace]

I think Olson's full text is here: http://bit.ly/btbF1l

[wdewind]

thanks, just ordered Rise and Decline of Nations...