Navigating slippery slopes: A paradox of power in policy and cultural reform

Abstract

This study employs game theory to investigate how slippery slope problems drive policy impasses and sticky cultural practices. It identifies conditions under which hard-lining behavior, often perceived as fallacious, becomes rational. By endogenizing the probability of one policy leading to another, the model elucidates slippery slope equilibria, where players adamantly oppose all proposals, including those they want, in order to avoid those they hate. Aggressive negotiation tactics are ineffective against such equilibria, further exacerbating the political market failure. Notably, weaker reformers are able to avoid the slippery slope market failure and accomplish Pareto improving reform, whereas strong reformers can get stuck in a paradox of power.