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Congressional Oversight overlooked Police Partrols versus Fire Alarms

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1.Incentives in Principal-Agent Relationships (Journal Economic Perspectives- Volume 5, Number 2-Spring 1991-Pages 45-66
2.Congressional Oversight overlooked Police Partrols versus Fire Alarms ( Mathew D. McCubbins, Thomas Schwartz, University of Texas at Austin)

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Congress has often been the focus of criticism due to complaints that it has neglected its oversight role. Even though Congress has been growing over the years, it has not managed to cope with the new developments, and this has resulted in a situation where it has lost control over the executive branch. Changes must be made so that the oversight process works better and is more efficient.
McCubbins and Schwartz (1994) reveal that two forms of oversight exist. The first one is known as the fire-alarm, whereby it has a less centralized structure with less direct and active intervention. In this context, Congress comes up with informal practices, procedures, and rules that allow interest groups and individuals to analyze administrative decisions and report any violations. The second oversight is police-patrol, which is active, centralized, and direct. Congress is involved in examining what the executive agencies are doing to discourage unwanted activities and surve...
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