Abstrakt
Over the past 15 years there has been an increase in the use of local direct democracy in the Czech Republic. The analysis shows that the primary cause has been the regulation of development projects.
Using transaction costs economics (TCE) approach it is shown how the regulation related to the siting of development projects leads to a not-in-my-backyard (NIMBY) response resulting in political activism that uses institutions of local direct democracy. Drawing from the TCE perspective, in this article it is argued that the key sources of this political mobilisation have been the existence of contractual hazards related to development projects and an inability to form credible commitments between developers and communities.
The article highlights a previously neglected explanation for the increased use of direct democracy because sources outside the political system often go unnoticed and contributes to the research on NIMBY disputes and on the expansion of direct democracy.