Rhetoric and doctrines of policy over- and underreactions in times of crisis
This article distinguishes between disproportionate policy response by error (bounded rationality) and disproportionate response by choice, and advances a further distinction of such choices between two disproportionate policy options, namely, rhetoric and doctrine. Probing the ‘plausibility’ of these terms, the article presents pertinent illustrations drawn from the military, financial and environmental domains in the US, Britain, Israel, Australia, Singapore and the European Union. These illustrations show that, during pre-crisis and in-crisis periods, both options can be purposefully designed to signal policymakers’ preference and/or to deliver the disproportionate responses in pursuit of policy goals.
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